Side Hustles Come in Three Flavors

It is no secret that I have a ridiculous love affair with side hustles.  This love affair started in childhood with rank speculation and has grown over the years.  I even spent a little time as an art mogul.  It is difficult to calculate the amount of joy these ventures have brought me.  Not only have they propped up my finances, but also have added texture and spice to my life.  I have learned so much over the years by both succeeding and failing at these little activities I engaged in when not otherwise busy with my main W2 occupation.  But it is noteworthy that not all side gigs are created equal.  in fact, side hustles come in three flavors.

So before you jump head first into these potential money-making adventures, it is important to ask yourself one simple question.

Do you feel lazy, fat, or lean?

Lazy Side hustles

If side hustles come in three flavors, then the lazy side hustle is the tastiest.   These side hustles use your unique training and skill set from your main hustle to make a little extra cash.  As a physician, it was easy to parlay my years of practice and experience into becoming a medical expert for legal cases as well as a medical director of nursing homes.  Although I had never performed these tasks before, I was able to step into the roles without any extra learning.  If you are an accountant, you might do personal tax returns on the side.  If you are a computer programmer, you might help people create websites for their business.

The major benefit of this flavor is that it leverages prior abilities to maximize income.  There are, however, some downsides.  Unlike most other side gigs, you are often expendable and at risk of the lazy side hustle shuffle (having to move from project to project in rapid succession).  The other issue is that this type of project has a high correlation with your main gig.  if the economy goes south and the need for your main hustle dries up, the same will occur with most lazy side hustles.

Fat Side Hustles

If side hustles come in three flavors, fat side hustles are the richest.  These type of side hustles leverage investment capital in order to make a few extra bucks.  Real estate is the perfect example.  The barrier to entry is often the down payment on a rental property or a minimum draw for a syndication deal.  The stock market, if considered a side gig, works similarly.

Entrepreneurial ventures can also fit this category if they have high start-up costs.  My years as an art mogul required an original five thousand dollar investment to purchase my first product.

While fat side hustles can be very lucrative, there is a downside.

It takes money to make money.

Lean Side Hustles

I love lean side hustles.  These money-making activities abide by lean startup principles.  The idea is to get cash flowing and avoid a chunky down payment.  Blogging is a perfect example.  Although you have to spend some money on a domain and hosting platform, you can usually keep the initial investment under a thousand dollars.

That doesn’t mean you get something for nothing.  While short on investment capital, these businesses often are heavy in human capital.  To make these gigs successful, you have to work your fanny off.  But in the end, it may be worth it.

The passion tail could just possibly wag the money dog!

In Conclusion

Side hustles come in three flavors.  Each flavor has its own benefits and risks.   In my opinion, lazy side hustles are the most lucrative.  Fat side hustles are the most costly.  And lean side hustles are the most fun though human capital-intensive.

Whichever flavor you choose, there are few ways to rocket the path to financial independence as fast as a good old side hustle.