What are some ways to manage risk in a side hustle?

There are numerous success stories of people who started side hustles while working full-time jobs. For instance, Julie Deane started the Cambridge Satchel Company from her kitchen table with just $600, while still working a full-time job. Her company is now worth over $65 million. Similarly, Brian Chesky and Joe Gebbia started Airbnb as a side hustle to pay their rent, and it has now transformed into a billion-dollar company. Another example is Sara Blakely who started Spanx as a side hustle while selling fax machines door-to-door. Today, she is a billionaire.

Some tips for managing the financial aspects of a side hustle include: keeping track of all income and expenses, setting aside a portion of earnings for taxes, reinvesting profits back into the business, and maintaining a separate bank account for the side hustle to avoid mixing personal and business finances.

A side hustle can have both positive and negative impacts on one's work-life balance. On the positive side, it can provide additional income, which can lead to financial stability and reduce stress. It can also provide a creative outlet and a sense of accomplishment outside of the regular job. On the negative side, a side hustle can take up a significant amount of time and energy, which can lead to burnout if not managed properly. It's important to find a balance that works for you.