Protect Your Side Hustle and Watch it Grow
Small business owners know that it’s a good idea to have business insurance as protection for themselves and their employees in case of anything that puts the business at risk. But few of the millions of Americans who are employed full-time and also have gigs on the side give themselves the same benefit. With your full-time employment to fall back on, it may not be devastating to you if something happens to your side hustle. However, if your hope for that business is to someday turn it into a full-time endeavor, then having the right insurance can give you the means and the confidence to nurture it along.
Thinking About the Future
Right now, your side business may only be a labor of love or it may be an important source of income. In either case, you may be putting it, and your personal finances at risk if you don’t have the right coverage. For example, if your side job has you operating a vehicle, perhaps as a rideshare driver or you need a car or truck to transport tools and equipment you should have auto insurance to cover the cost of an accident or major repairs. If so, the financial impact doesn’t have to spill over into your personal finances or prevent you from operating if something happens to your vehicle. Driving passengers has other implications for insurance requirements, in fact, we could dedicate an entire blog to insurance for rideshare drivers! Suffice to say, that if you drive people, you’ll need comprehensive auto insurance.
Car insurance is just one example but there are other types of insurance that may also be applicable to your business. If your side hustle is practicing a trade, such as electrical work, plumbing or general contracting you should (and may be required) to have liability insurance. We always advise that tradespeople carry general liability insurance, even if they only do the work on the side, to protect themselves from damage inadvertently done to the home or property of a client. Having liability insurance can even help you acquire new business from clients who may only want to work with an insured contractor.
Aside from damage done to people, or things, you should consider whether your side business leaves you open to the possibility of claims, made by clients, for financial losses due to mistakes or oversights on your part. People who consult or provide professional services need liability insurance to protect themselves in these situations which could be devastating to you personally if they are to happen.
Don’t Forget the Intangibles
Regardless of your business, insurance for your side hustle provides a tangible benefit when it covers you for any number of bumps in the road that occur when you work for yourself. The intangible benefit allows you to carry out your plan to grow or sustain the business by avoiding interruptions that can set you back or shut you down entirely. Also, good insurance coverage can give you the confidence to move forward with your big plans by taking on larger jobs and investing in the right tools to help you achieve your dream of self-employment.
Talk to us if you operate a part-time business in Troy, Birmingham, Rochester, Rochester Hills, Royal Oak, Sterling Heights, Shelby Township, or Macomb, Michigan and want to grow. E&Y Agency can help you determine what types of insurance you need for your side business. We do the hard work of shopping around to find the best rates with the most coverage and when the time comes to leave your day job, we can help you find the perfect health insurance plan to replace what you may be leaving. We are also experts in tax preparation and can assist you with filing your tax return this year. Use the form below to contact us or call us at (248) 362-1313.
