A Growing Generation E (for Entrepreneurs) Means Business : Some Tips for Kids Eager to Earn Extra Money

During the summer months, kids across the country will stop taking orders from their teachers and become their own boss of sorts as they try to earn extra money in their own business.

A few tips to help get them started:

* Choose a business that interests you.

Nearly all entrepreneurs start with an idea, and the most successful ones develop a business that lets them do the work they enjoy or in which they possess certain skills. Kids who like being outdoors might consider mowing lawns, gardening or cleaning pools. Animal lovers might raise tropical fish, walk dogs or give flea baths.

“Be sure you choose something you really love, so your heart will be in it and you’ll be dedicated enough not to give up,� Tara Roebke, 15, of Clinton Corners, N.Y., advises in a recent edition of the Young Entrepreneur newsletter. Tara, a horse lover, started an Internet site called H.O.R.S.E that markets riding gear from catalogs.

* Consider the profit potential.

After selecting a business idea, the next step is to see if it can be carried out, and more importantly, whether it can make money. Among the key questions to ask: Is there a demand for what you have to offer? Do you need special equipment or supplies? Where will you get the start-up money? Do you have enough time to devote to your enterprise?

Bonnie Drew, co-author of the book “Fast Cash for Kids,� suggests that children talk to successful local entrepreneurs, particularly those who are doing what they’d like to do, to get a feel for running a business, consumer demand and competitive pricing.

* Create a business plan.

It’s often what makes or breaks many adult businesses. A good written plan will become the foundation for how a business is run. While there are many books and varying views on the subject, Drew believes a business plan should cover three essential points: organization, marketing and finances.

The organization part will include basic information, i.e., the name of the company, its location, key people involved, products and services and goals. The marketing side looks at ways to sell the product and make it known to the target consumers. The financial side deals with handling money, where to get start-up funds, whether earnings should be spent on future supplies or saved.

* Join a club, take a course, go to summer camp.

In other words: Take advantage of the many (too many to list) outside organizations, books and publications geared to helping burgeoning young entrepreneurs. There are numerous clubs, both for-profit and nonprofit and inside and outside of school, that teach kids about business. Some provide hands-on experience by allowing them to sell products for a commission.

For example, KidsWay Inc. of Atlanta, which publishes the Young Entrepreneur newsletter, has, among other things, a club in which kids can earn a profit by selling an array of environmentally friendly products. The Center for Entrepreneurial Leadership Inc. at the Ewing Marion Kauffman Foundation in Kansas City, Mo., offers the Summer EntrePrep Institute, a seven-day program for high school juniors that teaches how to start and run a businesses.