The resale market is booming, and it seems as though everyone wants to get in on the action. From second-hand clothing and pre-owned shoes to used furniture, resale has emerged as one of the biggest shifts in retail in recent years. Young entrepreneurs have the opportunity to benefit from the market change if they learn to innovate, develop resiliency, start investing early, gain capital, and build their network.
Small business owners rarely get their start in the industry where they create their long-term success. In many cases, these professionals start off by dabbling in other niches such as lawn care services or selling handmade products. People who are taking advantage of the resale market are seeing a new world open up to them as they better understand what it means to be a young entrepreneur and the benefits that come with that.
Learn to Innovate
As industries like tech, crypto, entertainment, eCommerce, and others continue to grow, there are no signs of innovation ever stopping. There’s always something new to try and new products being created. Many of these improvements are coming from young entrepreneurs who got their start in resale markets. The sneaker industry is a great example, with multiple young entrepreneurs making a name for themselves.
According to Statista, the worldwide sneakers market is worth more than $85.5 billion in 2022. That number is projected to surpass $102 billion by 2025. While this includes major players like Nike, Adidas, and Puma, many young entrepreneurs are also starting to gain traction in this growing industry as they buy and sell rare or collectible sneakers.
Zach Brooker, a 21-year-old student-athlete at the University of Southern California, began dabbling in the resale of designer and trendy sneakers at age 11 when he sold an old pair of throwback Air Jordans with the help of his mother. The process of researching, evaluating, displaying, and selling these shoes appeared to be a one-time accomplishment at the time, but it ultimately changed his life.
Despite his youth, the sale fueled his entrepreneurial fire and swiftly evolved into a high-yield hobby that blossomed into a rich side hustle for Brooker. It was at that point that he discovered something he could do without it feeling like a job, which is the ultimate goal of any entrepreneur.
Selling sneakers could be where a young entrepreneur gets started as they learn to understand business and the growing need for innovation.
Anyone who is an entrepreneur knows it isn’t easy, no matter how old you are. Failure is inevitable at one point or another, but it’s the determination to push through it that separates successful entrepreneurs from the ones who quit.
Resilience is built up over time as a young business owner makes mistakes and learns to adapt through experience. As you experience failure and face rejection, you’ll learn how to avoid certain pitfalls in the future and eventually gain confidence in what you already know works. With more experience, things become less about you and more about the outcome of a situation on behalf of a client or customer. Building confidence will lead to success as you continually move forward.
Start Investing Early
With the steady rise of inflation, there is no time like the present to begin investing in your future. Building a steady cash flow as a young entrepreneur means you’ll have money to invest in everything from the stock market to cryptocurrency and beyond.
Among the many benefits of getting started younger is that you’ll be able to take more risks with your investment portfolio. The bigger the risk, the bigger the potential return.
While investing is always risky, there’s much less risk involved when you’re young. If your investment doesn’t work out, you have time to revamp and come up with a different strategy.
Thanks to compound interest, the earlier you start, the better your returns will be when you’re ready to retire. As long as you manage your portfolio or work with an accountant that manages it well, you won’t have to worry as much about what the future holds.
Gain Capital for Future Business
Most young entrepreneurs don’t stick to just one thing for the rest of their careers. Many of them end up using the capital gains from their efforts to build new companies and create new products.
Elon Musk is a prime example of using capital gains as he has transitioned from starting Zip2 and PayPal to later using funds from those to start SpaceX and Tesla.
While there is no set price to start a business, the earlier a young entrepreneur begins their journey, the sooner they can earn capital.
When a young entrepreneur sees success early, it’s likely their interest in business ownership grows. It could lead them down other avenues as they work to create the same results in new and exciting industries.
Build a Network
One of the biggest keys to long-term business success is establishing a network of like-minded individuals as well as other people who could provide value. Social networking on platforms already like LinkedIn offers free access to connect with other entrepreneurs who have either created their own success or are on a similar journey to your own. These connections can lead to partnerships, collaborations, and even mentorships. While engaging on LinkedIn can be intimidatingthe benefits outweigh the awkwardness.
Young entrepreneurs have an amazing opportunity to find mentors along their journey to success. Learning from someone who has already done what you’re trying to accomplish is a surefire way to follow in their footsteps.
A common suggestion many mentors will offer is to develop multiple content platforms such as a blog or a YouTube channel. These help young up-and-comers gain credibility as business owners and entrepreneurs.
Many entrepreneurs are learning how to become more business savvy through resale industries. Whether you start by selling clothes or a digital offering, there are many advantages that come with beginning your entrepreneurial journey early.