At Home Oil Changing Service
Description:
Most people have a car that is in need of an oil change, but do not have the time to take it to a shop, or other place, and sit and wait until it is finished. A teenager can buy, in bulk, the oil at a discounted rate. Changing people’s oil in a relatively easy process. He or she could pass flyers around the neighborhood to get started and move on from there. The oil is easy to buy and there are plenty of places to recycle the old oil. You can still make money charging what most shops charge, but most people are willing to pay just a little bit more to have it done while they are in home so they don’t have to waste time. The business has many possibilities. It is possible to take it to the next level and employ other friends and watch it grow, or you could leave it completely behind when you head off to college, or even pass the business with your customers on to a sibling.
How I got the idea / found the employment:
My uncle did it for a while when he was a teenager. I actually wasn’t able to put this idea into practice because of previous commitments, but it would have definitely been better, and paid better than all of those yards I mowed as a teenager before I found out about this idea. I like the idea because it can be as much or as little work as you need.
Challenges I faced, and how I overcame them:
Challenges faced would be a way to transport the oil to different clients, and to transport it to a place where it can be recycled. This problem can easily be overcome depending on the distance from your house you are working. You should be able to make enough to justify having a small truck, or if you want to keep it small you can move it around in a wagon until you get enough to take to recycle that you borrow someone else’s truck for that part.
What I learned:
If you are just a little creative and find a way to make other people’s lives just a little bit easier, you can make better money and with your own flexible schedule while being your own boss. It is important to be meticulous in your work and develop a good relationship with your clients so they will recommend you to their friends and neighbors. If you do this they will keep coming back every three to five thousand miles.
Automotive repair/modification and sales
Description:
In short I purchased vehicles with blown motors or other major mechanical problems and then rebuilt them using used parts. I then sold them for a substantial profit, typically in the one to two thousand dollar range. Considering that average working time was about 10-20 hours, it was quite lucrative for a teenager at the time. I was able to achieve this by buying used Japanese cars between the years of 1985-1995, one of which can be had for a thousand or so dollars in good aesthetic but bad mechanical condition. The engines and transmissions used to refurbish these vehicles came from Japan in used condition, typically with about 40,000 miles on them, they usually have warranties of about a year or so depending on the supplier. These engines and transmissions can usually be purchased for about $800 a set. Some are as expensive as $1300 and as little as $400 for some of the more common ones such as the EG Chasis Honda Civic (’92-95). These engines and parts exist due to “Shaken”, a Japanese vehicle law system which requires all vehicles to pass inspection and pay registration fees. These fees multiply yearly and usually after about ten years (depending on the car) it is cheaper to buy a new car than to maintain your old one. As one can imagine this causes a surplus of used vehicles which are usually then cut in half and exported to other countries if they cannot successfully be recycled or salvaged. One such as myself can then purchase these parts for pennies on the dollar and multiply that if you understand the used/sports car market.
Of particular interest are certain performance oriented cars, the Nissan 240sx, Mazda RX7, Toyota “AE86” (’85-’87) Corolla, EG (’92-‘95) and (’96-‘99) EK series Honda Civic. These cars are very desirable by the younger “racer” crowd and typically are somewhat hard to come by. The 240sx, AE86 Corolla and Civic all came with much higher performance parts in Japan, these parts can then be purchased and retrofitted to the vehicles with relative ease, making them highly desirable, thereby increasing the price. For example, at the time of this assignment, I found three listings on craigslist for a 1991 Nissan 240sx between the $800 and $1500 range. Assume that we purchase one at median price, about $1150. The higher performance Silvia, or S13 SR20DET front cut which includes the engine and transmission with all needed hardware can be purchased for $1200 from Venus Auto in Sacramento, Ca (an old supplier I used). Add in the cost of typical gaskets and other small parts of $400 (through trial and error I found this to be the average cost) and we have a grand total of $2850, this car can then be sold for between four and five thousand dollars, the swap can be done in a weekend by someone with the experience.
The civic is a similar experience, a ’92 civic Si can be had for about a $1000 with a neglected engine, a Japanese high performance B16A or B18 series motor and transmission can be had for about $750, the resulting car is worth about $4000.
The RX7 is one of the best and easiest, an FC chassis (’86-’91) RX7 can be purchased for about $800 routinely, as they are prone to engine failures at about 150,000 miles, typical for a car its age. A front clip for this vehicle can be purchased for about $1200, add in the $400 cost of a random small parts and unforeseen expenses and it adds up to about $2400, the resulting car is then worth between three and four thousand five hundred dollars depending on the condition of the body. The FC RX7 is particularly attractive due to its low vehicle purchase cost, high availability and it is a very simple car to work on.
There are other options, creating simply reliable commuter type vehicles can also be easily done with great profit margins, it depends simply upon the market and expertise of the mechanic. During the time that I did it, the demand for semi high performance rear wheel drive cars was quite high making the RX7, AE86 Corolla and 240sx very popular and easy to sell. If one keeps on top of the demands of the used vehicle market through research in a few classified ad networks or publications and has some knowledge of the automotive market it is quite easy to turn a small capital investment into a decent amount of cash. Typical cost of entry is about $3000 to begin and average earnings can be as high as $3000 monthly working about 20 hours a week.
How I got the idea / found the employment:
Automotive stuff is a genetic disease in my family and as such I loved to modify, build and race cars. The problem is that this particular hobby is quite expensive and so I needed a way to pay for it. I helped some friends of mine change the motors in the very same cars I began to recycle and it just seemed like a natural progression. After helping them, I saw the prices on such vehicles before and after their modifications and refurbishing and it just seemed like an obvious thing to do. My older brother had also done something similar when he was younger as well and he taught me some of the “tricks of the trade”, so to speak. I was able to learn much more about cars, have a lot of fun, and make a lot more money than the typical teenager which in turn funded my habits. In retrospect it was a bad investment, but I learned a lot and had a great experience.
Challenges I faced, and how I overcame them:
The biggest challenge I faced would be the market, since there is not a constant supply of the most cost efficient vehicles. There were months where I made very little if anything and others where turnover was so high I debated skipping class to go work. Typically December to February is a good time to buy and early summer is the best time to sell. Finding a place to have cars lying around was also a big problem for my teenage self, I ended up getting a job at a local repair shop, making friends with the owner and then having afterhours access to the shop, yard and tools made all the difference in the world. Another major challenge was the initial capital to start. I overcame it by taking out a small loan from my Dad and working and saving, I then paid off my Dad, had just enough to start another project and then after that it was completely a completely self sufficient business.
What I learned:
I learned a lot about money, capital and investing. After having spent all the profits, I’m as poor a college student as the next, it would have been much wiser to save and invest.
Another great thing I learned was how to buy and sell a car, how the used market works, what people look for and how to help them get it, in some cases I’d do work for specific people. The experience from that trades over into pretty much any business.
I also learned a lot about patience, perseverance and faith as the market would flux up and down quite a bit. Fortunately it wasn’t my primary source of income, it simply paid for my lifestyle but I learned a lot of life lessons through dealing with people, stress, wants and goals. I would recommend running a small business to any teenager as it provides a great focus during times of meandering and a lot of good life experience that just doesn’t come by playing video games.
Golf Cart Modification
Description:
When golf carts get old usually the golf course sells them for a discounted price. What this job entails is buying those golf carts and modifying them for profit. More or less you buy shocks and a body kit, some look like hummers and other look like jeeps. You also need to take the governor off the engine (all of which a mechanic can do, it will just make the profit margin little smaller). Then you sell the refurbished modified golf cart for a profit. Often car used car lots will let you display the golf cars for sale. There is a huge profit that can be made.
How I got the idea / found the employment:
It was my friends business idea. This idea could have easily came from MTV or any number of reality shows like pimp my ride which change cars to make them more desirable. Many times we see celebrities that had modified golf carts and they look cool. Also people who he knew helped with the mechanic aspect, with the initial connections to suppliers of the parts for modification.
Challenges I faced, and how I overcame them:
I faced, and how I overcame them: Biggest challenge is getting the money to start out. Being a teenager and trying to buy your first one then modify it can be difficult but once you do one you then have money to put into the next one. Supply and demand really affect the market, and how many golf cars I can buy and make.
What I learned:
There is a lot of money that can be earned by supplying a product that is different. Often the first time something is done it is the hardest because it is all new but as you continue on a given path it gets easier and easier.