Sixth Grade
Worksheets
Matt, the Entrepreneur
Entrepreneur is a big word for someone who sets up a business. This person creates and manages the business. If you provide goods or services for sale, you become a producer. First, start with an idea of what you like to do. There are many ideas for kids. Selling lemonade, babysitting, and dog walking or grooming are just a few. One boy named Matt decided to entertain kids at birthday parties. He had two younger sisters and enjoyed clowning around with them. He decided to start his own business and see if he could get paid for something he liked to do anyway.
Starting a business is hard work. It takes creativity, organizational skills, and courage. It means taking a risk or a chance of loss. It can be very rewarding if the business is a success. Before you start any business, think about your situation. Do you have time to do everything that's involved? Will your parents approve? Will you need startup money to buy supplies? How will you advertise your business? How much will you charge your customers?
You might want to do a market survey. This is a study that will tell you if there is a need for your business idea in the area where you live. Matt decided that he would make balloon animals for children at parties. Matt went around his neighborhood and asked parents if they ever hired entertainment for their kids' parties. Were they happy with what they got? How much did they pay for an entertainer? Would they be interested in hiring a balloon entertainer?
The results of Matt's survey showed him that there was interest in his neighborhood for a party entertainer. He went to the public library and looked for books on making balloon animals. He checked out some more books about clowning. He needed some good jokes to tell while he was making the balloon animals. Matt also found some good Internet sites that demonstrated how to make balloon animals.
Matt didn't have enough money saved to start his business. He talked to his parents about his business idea. They asked him several questions. Where will you be going to do these parties? How much time will it take? Do you know how to make balloon animals? How much money can you earn? Do you have enough money to get started?
Matt's parents were impressed with his answers. He showed them that he had thought it out before he came to them. They agreed to drive him to parties and pick him up if it was too far away for him to walk. They also agreed to loan him some money to get started. He promised to repay them in writing. Matt showed his parents he was serious about starting a business.
Matt had to decide what his price was going to be. From his market survey, he already had an idea of what his customers might be willing to pay. Matt's mom found a professional children's party entertainer in the telephone book. She called to ask about his rates. Since Matt was a beginner, his mom told him that he should charge less than a professional's rate. After Matt had performed at some parties and got good "word of mouth" advertising, he might be able to charge more. Matt decided that he would entertain for two hours at each party, and each child would receive one balloon animal to keep. For this, he would charge $25 per party.
Matt's mom told him that entrepreneurs set goals for their business. Business goals should be realistic. She asked Matt what he hoped to accomplish for his business.
