Parental Assistance for the Teenage Entrepreneur

When your baby starts a business, it triggers a whole series of changes for them, for you, and generally for the whole household. You may not be ready for this and it is a big jump for many parents. Often your child will change before your very eyes, and this can be discomforting, although it can also be exciting if you look at it the right way. As a parent you need to be adaptive and responsive, and of course supportive, and if you can trigger these adaptations then you are well on the way to assisting your teenage entrepreneur. And of course it will highly beneficial to yourself.

When teens begin to make decisions affecting employees, contractors and clients, they definitely become more independent. But at the same time they will be willing to discuss these subjects with you if you are willing to be a springboard of ideas and any knowledge you can volunteer. If you can provide this element you will start to become involved with the business also and this is a natural progression. If you feel this is occurring discuss with your teenager how they see the developing relationship working from a commercial perspective. You both or all need to have a clear understanding as the business develops.

In some cases a really successful teen entrepreneur may turn the usual parent-child roles on their head. There are instances of this and sometimes this works and sometimes it does not. What role does a parent play in a minor’s business? And how do you separate the parental responsibilities from whatever role you will be playing? These are tricky questions with no clear answer other than in every case it will be different, and will depend a lot on the social development of both yourselves and your child. Expect your child to be somewhat more demanding, and significantly more committed than with anything else they have done before. If they have their own business and miss a single day’s work, they could be out whatever investment they (or you) put into the business, and when they see the dollars its going to be times 3.

Further, your teen may look to you to assist in as many ways that you can – its likely to be taken for granted. They will call on you to provide contacts with potential customers and clients. Naturally while being keen to assist your teenager to get off the ground, its only natural that you will provide your relationships and contacts with some trepidation. A prep discussion with your teen is useful as well as some prep work with your contacts whatever type they are.

And then there is business fundamentals; writing a business plan, setting up tax structure, talking to accountants, bank managers, and other important business necessities You can assist them in all these areas as well as with research to see if their idea is feasible. At some point you will notice that you have picked up a workload that is possibly more than you bargained for, and you may not be getting any return for this. This again prompts a review of what your roles are and I will introduce two roles in the following text.

Silent Partner

If you have a lot of confidence in your teenager then you can adopt a more passive and less intrusive role. You would then be there for providing the occasional expert advice, assisting with a problem, and the occasional business legality. Since minors are not permitted to sign contracts, they may need you to "front" for them with anything legal. eBay, for instance, requires that the seller be over 18. Or you may need to guarantee a loan or lease agreement. Naturally I don’t need to tell you how careful you need to be but with a good parent teen relationship these matters can be handled comfortably. Almost all teens that run any kind of significant business will need their parents to authorize transactions at times.

Being a silent partner means putting a lot of faith in your child. You need to ask yourself what the limits to the agreement are and will you have some input to the making of the decisions? The more involved with decisions, the less you remain a silent partner.

Involved Partner

You may have a greater role to play, especially as you may feel obligated due to the legal nature of responsibilities by parents towards children. And of course your own household rules may provide for your greater involvement until your child reaches the appropriate age. If you help to finance the business, you may have something financial at stake at its success. In this case you will retain a voice in developing the direction and structure of the company because your money is at stake. Essentially,you are a shareholder, and you will need to work with your teenager to see that he/she understand what the role of a stakeholder is. Again good communication about role and responsibilities is crucial at all times

Your teenager is starting a challenging and rewarding development which will impact all of your family. It is a special event and should be treated as such, and your teenager should be rewarded for their courage and fortitude. Learn how you can support your entrepreneurial teenager while protecting your relationship together, and of course all financial and legal responsibilities you all have. I have really only touched on the subject but I hope I have provide enough of a window to start with. From here, with effort from everyone, you may arrive at being proud parents of a gifted and successful teenage entrepreneur.

Discover the secrets to becoming a teenage millionaire and read about real teenagers making millions right now! I invite you to further your knowledge with what is possible at Successful Teenage Entrepreneur Stuart G Harris

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