Young entrepreneurship requires a depth of responsibility, skill and knowledge that prepares high school students for their future college career.
Monroe's Morgan Wolf, 16, is one high school student who started a business at a young age. At age 12, she started selling wool products to a family friend, with the help of her parents. It all started with a few felt balls that Wolf cleaned, felted and sewed herself.
As Wolf showed her growing capability, the orders grew bigger as well. Soon, the orders for felted balls became orders for custom animal ears attached to colorful headbands and cat toys with bells inside. Morgan gets her wool from local sheep producers by trading shearing work for wool, as well as from her own flock.
"Eventually, it got to the point where [the customer] was emailing me, and I said to Morgan . . . she needs to email you,GÇ¥ said Amy Wolf, Morgan's mother. That was when Morgan's small exchange took its turn from paid hobby to micro-business.
Morgan set up an email address and began organizing her own finances, such as expenses, income, tithe and product pricing. When pricing her products, Morgan keeps in mind the price of materials and how long she works on an individual product. She said a reasonable rate for her time was $10 an hour, around Washington's minimum wage.
Now in high school, college costs have begun to have their impression on Morgan, who plans to attend college but hasn't decided where. The average student debt in Washington state is $24,418. With her growing source of income, Wolf said she feels better prepared with this small business experience. She also said that being her own boss makes running this business much easier because she can set her own hours and work whenever she pleases.
Responsibility is also key to running a successful micro-business. As a parent, Amy addressed this skill and how important it is to become a responsible young adult, starting in junior high and high school.
"I think we underestimate our youth,GÇ¥ Amy said. "We don't allow them the opportunity to really try something hard. I see around us the youth that are struggling.GÇ¥
Morgan has kept up with the responsibility of her small business for four years by planning her schedule around upcoming orders, but now she's coming up on another obligation: taxes.
Washington relies heavily on a gross receipt tax ' a tax on product profit. When Morgan's overall profit margin reaches $3,000, her micro-business will fall under this tax. She will need to learn this new part of financing to keep her business running legally. Morgan predicts she will have to begin paying this tax sometime next year. Taxes are a big part of life, and this experience will prepare Morgan even more for the future.
Starting a business in junior high or high school can be difficult. "Think it through,GÇ¥ Morgan said. "Don't just do it on a whim.GÇ¥
As for Amy, her advice for young entrepreneurs: "Keep going forward. Don't listen to the naysayers because that harsh critique can kill your passion.GÇ¥
Caption (girl with goat): Highschooler Morgan Wolf has made a successful business selling products she makes from wool, like headbands, cat toys and felt balls. Photos courtesy of Morgan Wolf
Caption: Felt balls. Photo courtesy of Morgan Wolf
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