$70 an Hour from Home? How to Start a Bookkeeping Side Hustle (Greatest Hits)
Oct 3, 2024
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Kate Johnson, a diligent Side Hustle Show listener, launched her bookkeeping business in 2017 and now aims for an impressive $70 an hour while working from home. She shares her journey from discovering a need for a side hustle to landing her first clients with ease. Kate emphasizes the significance of mastering bookkeeping software and leveraging networking for client acquisition. Tune in to learn how her initial venture opened the door to a surprising new side hustle, balancing professional growth with family life!
Kate Johnson successfully built her bookkeeping business from home by utilizing nine additional hours a week, demonstrating effective time management.
Investing in formal education, such as the Bookkeeper Launch course, significantly aided her in acquiring essential bookkeeping skills and confidence.
Creative networking opportunities, like unexpected speed networking events, played a crucial role in landing her first clients and establishing credibility.
Deep dives
The Rise of Remote Freelancing
Remote freelancing has emerged as a viable opportunity for individuals seeking flexible work arrangements. This podcast episode details how a mother discovered her knack for virtual bookkeeping while managing her family’s schedule. With a previously untapped nine hours each week, she leveraged this time to build her service-based business, Heritage Business Services. By focusing on remote work, she was able to create a sustainable income stream while balancing her family commitments.
The Importance of Education and Skill Acquisition
Learning fundamental accounting principles and bookkeeping software is critical for success in this field. The podcast emphasizes that while self-education is possible, investing in formal education can accelerate the learning curve and provide essential knowledge. The featured guest took a course called Bookkeeper Launch, which equipped her with the foundational skills and confidence to start her business. As she advises aspiring bookkeepers, understanding the difference between accounting knowledge and software operation is essential for delivering value.
Building Client Relationships and Securing First Contracts
Acquiring clients can feel daunting for new freelancers, but creative networking strategies can lead to opportunities. The guest successfully landed her first bookkeeping client through an unexpected speed networking event, demonstrating that spontaneity can yield positive outcomes. By positioning herself as a QuickBooks Pro Advisor, she built credibility and trust, despite lacking prior client experience. This initiative highlights the importance of having clarity about the services offered and being willing to provide solutions to potential clients’ challenges.
Pricing Strategies and Perceived Value
Determining how to charge for services raises questions around value and perceived expertise. Initially, the guest started by undercharging at $20 an hour but gradually shifted to a pricing strategy based on the value provided to her clients, eventually aiming for $70 per hour. She recognized that valuing her skill set not only positioned her better in the market, but also served as an effective bargaining chip when negotiating with new clients. By focusing on the value she generated for others, she was able to build her confidence and pricing strategies aligned with that value.
Diversifying Services and Future Growth
As the business evolved, the guest identified opportunities to diversify her offerings beyond traditional bookkeeping. By creating educational content and services, such as one-on-one coaching and office hours for DIY bookkeepers, she developed a unique niche. This pivot allowed her to serve a broader audience while maintaining a manageable workload, aligning with her preferences for client interaction over volume-driven engagements. The approach of blending client services with educational offerings positions her business for sustainable growth, catering to different client needs.
Side Hustle Show listener Kate Johnson started her bookkeeping business in 2017, and now serves several recurring clients. She targets an effective rate of $70 an hour, and is able to work from home.
With her youngest starting preschool, Kate found herself with an extra 9 hours a week. “I wanted to be a good steward of that time,” she explained.
