Jocelyn Elizabeth never expected a $5 church-sale lamp to change her life.
In 2011, the Pennsylvania mother was working part-time as a marketing administrator when her father showed her a lamp he found at a church yard sale and noted that it was listed on eBay for $70, according to CNBC Make It.
The following weekend, Elizabeth went to a thrift store with her son in a stroller, hoping to find her own bargain for extra income. (1)
He didn’t know it at the time, but that experiment would become the foundation of a seven-figure business. Today, the 37-year-old runs Crazy Lamp Lady, a thriving YouTube channel, and NikNax, an online thrifting marketplace that hosts more than 5,000 sellers.
NikNax alone has brought in over $5.2 million in revenue so far this year, and Elizabeth personally takes 5% of every sale for a total of $260,000.
Her YouTube channel has generated another $298,000 in ad revenue, and she now employs two people, rents out two commercial spaces — and works 50 to 100 hours each week.
“It was definitely risky,” she told CNBC’s Make It. But his philosophy never changed: “I think anyone can do it if they put in the work.”
Elizabeth makes starting a business look easy, but is it really something anyone can do? Understanding financial risk is a big component of the entrepreneurial mindset.
Starting small is the key. Turning a side hustle into a full-time job isn’t always easy, and many self-starters don’t make the leap.
Nationally, Americans are opening businesses at record rates: 16 million business applications have been filed since 2021. But many founders underestimate the true costs of starting a business, which can lead to cash-flow problems that quickly sink new ventures, according to small-business research. (2)
Here’s the cold, hard number reality:
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Starting any business can cost anywhere from $3,000 to $500,000 depending on the type and location.
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Online or home-based enterprises (such as resale stores) are on the lower end: $3,000–$10,000.
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Retail storefronts and restaurants require $50,000–$500,000+ before opening day.
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According to federal statistics, about 20% of new businesses close within the first year.
Elizabeth took significant risks before the payoff came, but also moved strategically. She quit her part-time job only after her income changed.
He also invested in renting commercial space and hiring staff, both of which are ongoing expenses. It hasn’t been an easy ride: His company has seen a drop in advertising revenue, especially during the pandemic.
Even with his financial success, his 50 to 100-hour work week may not be feasible for many.
His story shows what it takes to build a successful business.
Read more: This is the quiet portfolio shift most wealthy investors will make in 2026. Should you even consider it?
If you’ve ever dreamed of turning a hobby or side gig into a real business, Elizabeth’s story may inspire, but inspiration alone isn’t enough. The real question is whether you are willing to take the risks financially and emotionally. Here’s how to make sure.
Many entrepreneurs dramatically underestimate their start-up expenses, especially when hidden expenses such as payroll taxes, software subscriptions, marketing, and scheduling inefficiencies kick in. Keep your numbers in advance to help determine if your idea is feasible or if you need more time to save.
Running a business is only part of the cost. You also have to cover your own bills before you can make a profit. This means having several months of living expenses saved, as well as enough cash to cover the operating costs of the business until it becomes self-sustaining. If losing your job immediately puts you in debt, it’s too early to quit.
Before taking the leap, it’s also smart to test your idea in a low-risk way. If you plan to sell products, try listing items on an existing platform. If you are offering a service, build a small customer base while still employed. Initial revenue, even on a small scale, is a strong indicator of real demand.
Many successful founders, including Elizabeth, found ease in entrepreneurship by holding traditional jobs until their side hustle income became more reliable. Some key milestones can help you decide when it’s safe to make the transition to full-time, such as:
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Consistently earning a meaningful share of your current income
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Saving at least three to six months of personal expenses
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Showing steady, predictable demand for your product or service
Ultimately, the right time to start a business looks different for everyone. Elizabeth’s journey shows that you don’t need perfect conditions to get started, but you do need a plan.
With realistic expectations, financial cushioning, and a willingness to start small, you can reduce risk and give your new venture a better chance of being sustainable.
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CNBC (1); Homebase (2).
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
