Essay Example on Cathy's Creative Journey: Ornaments Biz vs. Real Estate

The state of ornaments business is good because it is more predictable, Cathy enjoys the creativity that the job requires, and the sales are increasing. Conversely, the returns of residential real estate businesses are unpredictable, and the start-up cost is high. Therefore, I recommend Cathy to continue with her ornament business.

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The initial challenges that Cathy is facing include lack of interaction with other people need for more money, and lack of confidence with her business. She started making gold-plated ornaments after she stopped working as a real estate agent because the job was too demanding; hence, she had no time to spend with her family. The financial trend of the business indicates a positive trend because the sales have increased to $30,000, approximately double the sales of the year before. Nevertheless, Cathy fails to recognize that the sales of her ornament business are increasing; hence, solving the problem of money demand. If she stops making gold-plated ornaments, she will lose the growth of the business and the support she gets from her husband, who caters for transporting the ornaments.

The challenges of starting a new business include high start-up costs. For Cathy to be a residential real estate appraiser, she requires $10,000 to cater for a licensing course, cameras, business stationery, and professional association dues. Also, a new business has a lot of uncertainty, such as unpredictable income, time consumed in the business, and professional support from the husband. The estimated annual gross income before removing the expenses is $40,000. The income estimate shows that the new business will not solve Cathy's need for more money. I would not advise her to start the new business because it does not present more money in the short term, and it is unpredictable whether the business will present more money in the long run.

Cathy can increase her earning by venturing into other various methods. She should consider selling the ornaments in all seasons of the year besides holidays. For instance, she can design football ornaments and sell them during football matches. She can solicit more orders by advertising and selling on online platforms like YouTube and Facebook. Additionally, Cathy can enlarge her business by selling her ornaments in tourism sites or open shops in places like shopping malls. The source of Cathy's frustration is the lack of enough money, and through these methods, the returns of ornament business can grow tremendously over the coming years. The ornament business is not heavily affected by regulations such as the real estate solicitor business since one has to have practicing license and jurisdiction laws that govern leasing, development, and investment in the real estate industry.

Conclusion

Therefore, I recommend Cathy to stick with the ornament business since it is showing a positive trend with its returns, both in the short term and long term. The business will be able to solve her frustrations about her financial worries and having quality time with her children. Moreover, compared to the ornament business, the real estate business is associated with higher expenses and start-up costs. Ornament business has shown positive growth over the past three years, and with the support of her husband, she will be able to increase her annual revenue and grow her customer base.