Connect with us

Hi, what are you looking for?

Online Business Success

Meet Mighty, an online platform where kid CEOs run their own storefronts; a “digital lemonade stand” – TechCrunch


For kids of a certain age — think 9 to 15 — options for enrichment are somewhat limited to school, sports, and camps, while the ability to make money is largely non-existent.

A new startup called Mighty wants to provide them with a new alternative through a platform it’s building that, like a kind of Shopify for kids, enables younger kids to open their own store online and hopefully learn a bit in the process. In fact, Mighty — led by founders Ben Goldhirsh, who previously founded GOOD magazine, and Dana Mauriello, who spent nearly five years with Etsy and was most recently an advisor to Sidewalk Labs — sees itself as smack dab in the center of fintech, ed tech, and entertainment.

As often happens, the concept derived from the founders’ own experience. In this case, Goldhirsh, who has been living in Costa Rica, began worrying about his two daughters, who attend a small school and he feared might fall behind their stateside peers so began tutoring them after school. He says he was using Khan Academy among other software platforms, but their reaction wasn’t exactly positive.

“They were like, “F*ck you, dad. We just finished school and now you’re going to make us do more school?’”

Unsure of what to do, he encouraged them to sell the bracelets they’d been making online, figuring it would teach them needed math skills, as well as teach them about startup capital, business plans (he made them write one), and marketing. It worked, he says, and as he told friends about this successful “project-based learning effort,” they began to ask if he could help their kids get up and running.

Fast forward and Goldhirsh and Mauriello — who ran a crowdfunding platform that Goldhirsh invested in before she joined Etsy — say they’re now steering a still-in-beta startup that has become home to 3,000 “CEOs” as Mighty calls them.

The interest isn’t surprising. Kids are spending more of their time online than at any point in history. Many of the real-world type businesses that might have once employed young kids are shrinking in size. Aside from babysitting or selling cookies on the corner, it’s also challenging to find a job before high school, given the Department of Labor’s Fair Labor Standards Act, which sets 14 years old as the minimum age for employment. (Even then, many employers worry that their young employees might be more work than is worth it.)

Advertisement. Scroll to continue reading.

Investor think it’s a pretty solid idea, too. Mighty recently closed on $6.5 million in seed funding led by Animo Ventures, with participation from Maveron, Humbition, Sesame Workshop, Collaborative Fund and NaHCO3, a family office.

Still, building out a platform for kids is tricky. For starters, not a lot of 11-year-olds have the tenacity required to sustain their own business over time. While Goldhirsh likens the business to a “21st century lemonade stand,” running a business that doesn’t dissolve at the end of the afternoon is a very different proposition.

Goldhirsh acknowledges that no kid wants to hear they have to “grind” on their business or to follow a certain trajectory, and he says that Mighty is certainly seeing kids who show up for a weekend to make some money. Still, he insists, many others have an undeniably entrepreneurial spirit and says they tend to stick around.  In fact, says Goldhirsh, the company — aided by its new seed funding — has much to do in order to keep its hungriest young CEOs happy.

Many are frustrated, for example, that they currently can’t sell their own homemade items through Mighty. Instead, they are invited to sell items like hats, totes, and stickers that they customize and which are made by Mighty’s current manufacturing partner, Printful, which then ships out the item to the end customer. (The Mighty CEO gets a percentage of the sale, as does Mighty.)

They can also sell items made by global artisans through a partnership that Mighty has struck with News, an impact marketplace that also sells through National Geographic.

The idea was to introduce as little friction into the process as possible at the outset, but “our customers are pissed — they want more from us,” says Goldhirsh, explaining that Mighty fully intends to one day enable its smaller entrepreneurs to sell their own items, as well as services (think lawn care), which the platform also does not support currently.

As for how it makes money, Mighty plans to layer in subscription services eventually, as well as collect transaction-based revenue.

It’s intriguing, on the whole, though the startup could need to fend off established players like Shopify to should it begin to gain traction.

It’s also conceivable that parents — if not children’s advocates —  could push back on what Mighty is trying to do. Entrepreneurship can be alternately exhilarating and demoralizing, after all; it’s a roller coaster some might not want kids to ride from such a young age.

Advertisement. Scroll to continue reading.

Mauriello insists they haven’t had that kind of feedback to date. For one thing, she says, Mighty recently launched an online community where its young CEOs can encourage one another and trade sales tips, and she says they are actively engaging there.

She also argues that, like sports or learning a musical instrument, there are lessons to be learned by creating a store on Mighty. Storytelling and how to sell are among them, but as critically, she says, the company’s young customers are learning that “you can fail and pick yourself back up and try again.”

Adds Goldhirsch, “There are definitely kids who are like, ‘Oh, this is harder than I thought it was going to be. I can’t just launch the site and watch money roll in.’ But I think they like the fact that the success they are seeing they are earning, because we’re not doing it for them.”



Source link

Click to comment

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Advertisement

Latest

Technology

AI innovation: Game development is an incredibly time-consuming and expensive process, with art and animation budgets often eating up a hefty chunk of a...

Top Stories

The official announcement on Mirror from ENS states that $ENS will be used to vote on a proposed constitution and govern protocol parameters. The...

Top Stories

Jules Urbach, the CEO and founder of OTOY, wants to democratize content creation, specifically as it pertains to virtual assets. OTOY’s technology intends to...

Online Business Success

The ability to exclude capital gain on the sale of qualified small business stock (QSBS) is one of the most powerful and exciting tax...

Social Media

They’ve been in testing over the last few months, but now, Twitter is rolling out its updated visual customization and editing tools to more...

Top Stories

Blockchain platform Telos raised $8 million in funding led by ConsenSys and Polygon investor John Lilic. The funding was secured right before the launch...

Top Stories

Bitcoin investors appear to be increasingly sitting on their hands in hopes of higher prices, with the share of Bitcoin’s supply that has remained...

Technology

Santa Clara, California-based company, Advanced Micro Devices (AMD), says its “Milan-X” AMD EPYC processors with 3D V-Cache, to launch in early 2022, will deliver...

Advertisement

You May Also Like

SEO Guide

Want to rank in Google image search? Images that you use as a featured images when writing a post actually appear on Google Images...

Technology

Sonos is one of the most popular wireless speaker brands in the world, and for good reason – its range of portable Bluetooth speakers,...

Online Business Success

Carrying Credit Card Debt Isn’t Just Bad for Your Budget. It May Also Affect Your Health. The stress of carrying card debt through adulthood...

Online Business Success

File photo The Economist Intelligence Unit (EIU) has said that inflation will remain high in Pakistan for the next six months and the rupee...

Advertisement