I suspect this is largely sampling bias.
I host meetups for indie founders, and several attendees earn their living through solo businesses. When I go to conferences like Microconf, I meet lots more.
The problem with measuring financial success by who posts about it on HN is:
* The more someone is making at their solo business, the less they want to blab about it and attract competitors.
* The people earning at the low end are more desperate for people to see what they're doing so they can pick up new customers, so they're more likely to talk about their work.
* The more successful founders are busier and spend less time posting on HN.
Exactly! And this is why every time I see someone selling a course while bragging about making a lot of money, I know for sure they are _not_ making money.
Well, yeah, they’ve got a system. Their system is selling hope to schmucks like you. Their seminars, their self-help books, their crazy diets and exercise plans? That stuff doesn’t help you. It helps them.
This text can currently be found in the blurb for a shirt at https://shirt.woot.com/offers/steamworks-operatica .
It's possible that's where I found it originally, but my memory suggests to me that I found it somewhere else, on a blog, and that the continuation was different.
No indy hedgefund algotrader gives away their golden goose, that would crowed out the trade.
Isn't this also sampling bias?
I thought it was supposed to be "passive".
Hard disagree.
As the article notes, I think if you concentrate on a real business, not a scam-y 'get rich quick scheme' business then, especially with the internet, its never been easier to run a solo business at scale.
For myself, I wrote an app as a side hobby, which then took off, so I started working on it part-time, then moved to full-time when the revenue justified.
It's now growing to where it exceeds what I would have made working for someone else.
Note this took 7+ years of constant work, improvements and care.
It's the type of dedication that makes you competitive with even larger organisations.
And the time required to be a 'success' ensures that you won't have any competitors who just want to make a quick buck or get to "passive income" within a year or two.
Just because you took 7+ years to develop a business does not mean that all businesses require that or that it is the only way.
HN is one of the few places left where low effort snark is thankfully below the noise floor, please don't destroy that.
It's enough to pay for itself easily and pay for a vacation or two a year, for about 4 hours of work a week. If we really put effort in, it could replace our day jobs.
Where most people go wrong is their expectation. We expected this to fund a vacation and maybe car payments. That it's doing that is exactly right and we don't want to take it any further. If people had that view, instead of feeling like they have to make a billion dollars, I think side gigs would be a different beast entirely.
In fairness though, given inflation is the average, housing costs outpacing means something else underpaced.
You can be comfortable on not very much money with realistic expectations while not working yourself to the bone was kind of my point.
The dog walking business example was also appropriate in my mind. My spouse fortunately broke even, minus time, on her attempt with drop shipping garbage nobody really needs. Now she makes decent money with her oil paintings. Not "passive income" but real money and profit. Not enough to retire (that's what I am for!) but actual money nonetheless.
Years before your spouse enrolled in that Amazon course, people were spending tens of thousands of dollars on Trump University. Many years before that I had a friend that got sucked into the Equinox International MLM scam. Point being those types of promises of easy money after paying for a course, or outright scams, are not something new or unique.
Some people just lack the capacity for this sort of thing, and unfortunately fraudsters target them by trying to convince them otherwise.
From my perspective, you have to take a lot of shots, I did around 20 side hustle ideas last year and 2 are making over $100/mo. The other 18 I dropped. The only note I will give is that the 2 that succeeded really played to my strengths.
About me: I once had a hustle that did around $6k/month but that was many years ago and I decided I would be happier as a hired gun coder. The rise of AI made me rethink this so I'm clawing my back to providing services.
is someone making money on a side gig really a solopreneur? By definition a side gig is not something you expect to make significant amounts of money on. if a side gig starts generating significant amounts of money then you would probably make it your primary gig.
That amazed me when I heard it recently. The number of tradeable things continues to increase, but most of them are two or three steps removed from real-world production.
"Passive income brain" people are not the only one's trying to "build revenue engines," that same sort of talk exists in corporate America. There are already people that that own companies which are there "to generate passive income for me," right now--there's a whole class of millionaires and billionaires that don't have to work. Passive income people didn't ruin the "content quality of the entire internet" and are far from the only ones doing so. Many of these folks are likely the ones that would have owned a hardware store if America didn't ignore it's regulatory duties while preaching about how "important" small business is.
In the U.S. situation really seems to have fossilized into a few big players/platforms, and they continue to freeze up through the process of things like private equity roll-ups. There's a thread on the front page right now about Amazon's alleged price-fixing tactics, which hurt customers and small businesses. Further: Real-estate is an investment, so for most being able to pay commercial rents is a pipe dream. Healthcare is tied to employment, so people are less free to try and start something other than "on the side."
American's choose "convenience" when shopping and to put people in power that serve these large companies or their owners, not small businesses or communities. Dropshipping, creating a "sweaty startup," etc... it's all just people trying to make do within the system they're trapped in.
It has long been easy for anyone to buy health insurance without an employer in the US. If you are self employed, you can even pay for it with pre tax income.
The problem is it costs $500 to $2,500 per month per person plus $10,000 out of pocket maximum per year, which means you need a high income to be able to afford it.
But, public hospitals with low or no cost care exist in some of these places, and from my observation, I do currently think it's a contributing factor to why small businesses are more likely to exist. But, it's only one knob to turn.
Maybe free health care would help, but i think its kind of minor compared to other factors.
We remember the success stories, we don't remember the bankruptcies.
Part of that was accurately diagnosed by the article in the bit about the dog walking business vs dog walking platform.
My partner bootstrapped a successful full-time cleaning business that she ran for a few years and the limiting factor was basically her ability to hire and retain good employees. A physical cleaning business has no path to scale like a tech company though.
When I was in high school 25 years ago, unless you got lucky with an IPO, tech didn't pay all that well. (I worked in software while I was in high school, so I know some of this first hand).
It was office space. It didn't matter how smart you were, if you didn't go into management, or join Apple/Microsoft at just the right time, you weren't going to live a rich lifestyle.
Not only that, you'd probably be reporting to some MBA type biz guy who has no idea how software works, you'd not be well respected, and your perks were drip coffee and occasional donuts on friday.
Of course brilliant, hard working, talented engineers said "fuck that" and go build something awesome themselves. Things have changed drastically. Now, brilliant hard working people can literally make millions at dozens of companies .
You will report to another engineer who has slightly optimized for soft skills, you get lavish perks (except amazon, but at least you get paid well there), and real equity.
There's a whole spectrum of options for ambitious software folk that didn't texist ~25 years ago.