12 Year Old Makes $150,000/Year

[Chef Dave]

I stumbled across this article at MSN.com.

A 12 year old kid began making homemade natural hair products when she was just eight years old. Her "lemonade stand" business quickly outgrew her door to door sales.

Last year she grossed $45,000 in sales. This year she anticipates making $150,000. :eek:

Wow!

http://articles.moneycentral.msn.com/Investing/StockInvestingTrading/3KidCEOsMakingBigBucks.aspx#pageTopAnchor

[nancycs]

Wow.. at that speed she should be able to have enough money for college and for retirement at 21!

[Chef Dave]

I wonder what her actual net profit is. Gross revenue is simply that ... the total amount received in sales. Net profit would be the amount left after business expenditures: advertising, website, packing supplies, cost of ingredients etc.

I wonder whether this business has affected the quality of her life. Insofar as she spends 7 days a week running her business, has she had time for friends? Has she had time to enjoy her childhood?

One thing seems for certain. If she likes what she's doing, she won't have to look for a job when she grows up. Heck ... at the rate she's going, she may very well build this business into a multi-million dollar cosmetic empire.

It will be interesting to see whether she reappears in the news a decade down the road.

[Seabear]

She must have had a good teacher!

[MissTeach]

I wonder what her actual net profit is. Gross revenue is simply that ... the total amount received in sales. Net profit would be the amount left after business expenditures: advertising, website, packing supplies, cost of ingredients etc.

I wonder whether this business has affected the quality of her life. Insofar as she spends 7 days a week running her business, has she had time for friends? Has she had time to enjoy her childhood?

One thing seems for certain. If she likes what she's doing, she won't have to look for a job when she grows up. Heck ... at the rate she's going, she may very well build this business into a multi-million dollar cosmetic empire.

It will be interesting to see whether she reappears in the news a decade down the road.


Hopefully she has parents who have encouraged her to interact with people her own age and to participate in activities for youth.

[kjem]

I love this story. I did an economics fair with my students last year-they had to make a product and sell it. I had one parent who sold jewelry at craft fairs who really chewed me out because she said I simplified business-I highly disagree. True, there are taxes and such. But the basics are extremely simple: think of a great product, market your great product and make sure your costs are lower than your selling price so you make a profit.