Teens strike it rich with their own companies!
(Well, sort of.)
by Sarah Denham, TG Co-op Student

Have you ever thought of becoming a teen entrepreneur and opening your own company? All you need is a good idea and ... the money to back it up. But what if somehow money wasn't an issue? You could make cool products like CD clocks, note pads and plexiglass/wood envelope holders. Even if you didn't turn a profit, you wouldn't lose a cent!
"I've got a great idea! I bet JA could help me!"
In 1992, Elizabeth Piper of Halifax, Nova Scotia did exactly that and she's still singing the praises of Junior Acheivement (JA), the organization that allowed her to do it.

Every week for two hours, Elizabeth met with a group of 12-20 students from many different schools. She became involved for the experience, but wound up with a wealth of knowledge and $100 extra. She made new friends and important business contacts. Through sales and presentations, she learned to speak in public and also gained confidence and leadership abilities. She explains, "With Junior Achievement you don't have to be a leader to be involved, but inevitably you learn how." One of the most useful skills Elizabeth gained is how to deal with people in all sorts of business environments, an advantage for future job searches.

At the start of the school year, interested teens grades 10 and up across Canada are recruited by JA business consultants through their local high schools. The students are put into small groups and advisors then instruct them on what needs to be done. "First, you have to create a business plan with specified goals," Elizabeth explains. The plan must include a service or product, plans on how to manufacture it, projected costs and profits, a company name and elected company officials. Next, a target sales group is chosen and the marketing plan is organized. Finally they capitalize by selling company shares. At this point, running the company becomes the responsibility of the teens.

Sales are made at area trade fairs, in booths at local malls, at local Universities and door to door. All students must keep accurate financial records, work on production lines and produce financial and management reports. In April, the companies liquidate their shares. Companies that make a profit pay their shareholders, generate a report and then decide what to do with the left-over money. One year, Elizabeth and her company donated their profits in appreciation to JA.

Elizabeth believes the program is a clear representation of life; real problems arise but there is a safety net. If the company fails, the people involved do not have the consequences of losing their families and livelihoods.
JA is an international organization supported by business and industry. Every year it attracts over 6 000 volunteers from sponsoring businesses (such as Air Canada, Sears Canada, Canadian Chamber of Commerce) who donate their time to counsel and teach. The goal is to teach young people about the principles and dynamics of business and Canadian economics. Outside of Canada, JA is active in more that 80 countries world-wide.

In the future, Elizabeth is confident that she can succeed in entrepreneurial pursuits and may open an engineering firm with her sister. "What I learned through JA, I'll remember 40 years from now and will still be able to use it." This year, Elizabeth won a University scholarship through JA and last summer spoke at the Canadian Business Hall of Fame in Toronto.

Elizabeth's message for fellow teens is simple. "JA has made me focussed about what I've done and where I'm going to go. All you have to so is set your goal and figure out how to achieve it. Once this is done, personal dedication and motivation will make all the pieces fall into place."

Click here to visit the JA web site.

(By the way, the company program is not the only one offered by JA. There are programs for kids of all ages.)