Your Assets and the Sharing Economy: The Ultimate Guide

Posted On May 3, 2020 By admin With Comments Off

The sharing economy has become common practice in recent years, with third-party services and apps sounding up left and right to help those looking to make extra cash connect with those looking to rent. The series of things that can be brought into the sharing economy is never-ending. In fact, it’s not unusual to see consumers leasing out their dwellings, bikes, automobiles, camping gear, ships and other unique services to complete strangers online.

However, all this sharing comes with some unique challenges and threats that consumers don’t often consider before inventory their parts or services. Below, we break down what you need to know about the sharing economy, its pros and cons, and all the options you have available to start participating in this new consumer-to-consumer business model.

Pros and Cons of the Sharing Economy How to Participate Sharing Economy Opportunities

Home Transportation Equipment and Skills

What is the sharing economy?

The sharing economy is the term used to describe online stages that connect consumers to each other, in order to sell or hire things to one another. What can be sold on these pulpits varies widely. Physical items–such as dwellings, bicycles and cars–are the most common. However, services such as tutoring, personal training and cooking classes are often sold or obtained as well.

This complicated business model contains a wide range of different companies, countless that serve as a third party host for consumers to connect, while others own rent out to shoppers themselves. But fortunately for consumers–and thanks to countless user-friendly online platforms–getting involved in the sharing economy isn’t nearly as difficult as it seems.

Pros and cons of the sharing economy

Before jumping into the sharing economy, it’s important to consider the pros and cons of this extra revenue stream. While countless people commonly exclusively assure the benefits of renting out their spare items for currency, they fail to understand the amount of repair expected or the wear and tear that can happen to these rented pieces over time.

sharing economy things to consider

Pros of the sharing economy include additional income opportunities, flexible schedule, ability to travel, and a positive environmental impact from redistributing the same product to others. The environmental impact may not be as self-evident when renting out a home, for example, but is easily understood in automobile, paraphernalium or tech rentals. The ability to choose a ill-used option keeps people from preparing large acquisitions on things they are to be able to only use once or twice.

However, as the sharing economy is a relatively new venture, there are little to no governmental regulations in place to help protect those involved. Although some works offer protection for users, some consumers will be required to obtain their own coverage to protect themselves and their items in case of lawsuit or expense. Those who can’t afford it simply go without, which can be a substantial risk. There are also safety issues that come into play, as countless participants’ backgrounds aren’t properly vetted. In addition to these larger publications, the inconsistent revenues and eventual depreciation of used components are important cons to consider as well.

How are engaged in the sharing economy

There are a variety of ways you can participate in this type of peer-to-peer economy, both as a landowner or a renter. Take stock of your record and what you frequently use, and consider lending out an old-time bicycle or rarely worked material in your storage molted to establish some extra money. Feel free to get inventive — you may think that no one is interested in your older goods, but with a little bit of research, there is sure to be a market( or even an entire app) dedicated to those types of items.

popular sharing economy opportunities

Home

One of the biggest lists in this space is home rentals. When considering lease out( or trying to rent) within this category, it’s important to understand that there are a lot of options. Homes, suites, condos, individual offices, sofas and timeshares all characterize as a dwelling rental, means that people can continue to live in their home, but with the opportunity to rent out a portion to spawn extra money.

Home rentals have skyrocketed in vogue over recent years as they provide a more personal alternative to hotels during trips or business expeditions. They are often less expensive and provide more cavity as well. In addition to a cozier vibe, they are often disbanded across the city, granting renters the opportunity to pick exactly what part of town they want to stay in( and live like a neighbourhood while they are at it ).

Benefits

Before we dive into the potential risks and fees you may face when signing up for these services, the benefits are worth discussing. Listing your home( or even your couch) online can provide an extra income which can help with mortgage pays. The price of your home will likewise fluctuate on most apps depending on the season and nearby episodes, implying you have the opportunity to take advantage of crest pricing.

You too have the ability to control when and how long people can stay, plying you more flexibility than a long-term landlord. This style, if you want to have the house to yourself for one weekend or you have guests coming in who want to stay, you can easily adjust your property’s availability to fit your needs.

Potential perils

The most obvious risk of leasing out your dwelling, peculiarly if “youre living” there while you hired specific areas of it out, is your safety. Your home is also at risk, as things could get impaired or stolen when a brand-new guest comes to stay. Luckily, most fellowships are prepared for this. For example, Airbnb offers host protection insurance, which protects you in case of damages or a litigation. Although conventional home insurance policies won’t protect Airbnb business transactions, you can apply for commercial insurance as an individual to give you added security.

Participating companionships

Depending on the item you are looking to post, there are a lot of different services you can sign up for to connect you with the right people. Below are some of the most popular apps and websites, segmented by category.

Home and apartment

Airbnb HomeAway VRBO FlipKey

Couchsurfing

Couchsurfing BeWelcome Trustroots

House sitting

Trusted House Sitters HouseCarers MindMyHouse HouseSittersAmerica

Miscellaneous alternatives

Home Exchange Love Home Swap Buyatimeshare.com Vacatia

Transportation

Transportation rentals are a hot commodity in major metropolis across the nation. You can choose to stay in control of your vehicle and sign on as a rideshare driver or clear additional cash from your just applied car, RV or bicycle by enabling others to use it for short periods of time. Transportation rentals are most often used by those who traveled via plane but are looking for the freedom a vehicle can provide while at their destination.

Benefits

Rarely used automobiles, crafts, campers, and bikes are often sold for a fraction of the purchase premium. If you still use these pieces on occasion, part-time rentals can be particularly appealing, as they allow you to make money without coming rid of the item altogether. If you don’t like the idea of trusting someone else with your vehicle, you can still make money by becoming a rideshare driver with companies like Uber and Lyft.

Potential Dangers

Car accidents and other damage caused to your vehicle is one of the top dangers to consider before roll. Your private policy won’t cover coincidences when someone else is driving or even while you are driving for a rideshare firm, and in fact, you run the risk of losing your car insurance altogether when signing up for these services. However, many companies offer protection for their customers that can help bridge the gap and stop you secure in the event of an accident.

Another pitfall of the sharing economy is that vehicle upkeep upkeep descends to the owner and can require a lot of extra work if the vehicle conversions sides regularly. Oil reforms will need to be performed as the mileage increases in addition to other routine maintenance checks. Most rideshare fares tip-off based on the cleanliness of the car, symbolizing constant cleanups are required to ensure you are getting the most bang for your buck.

Participate business

Below are some of the third party-services you can list your parts on( or find a possible rental) to stimulate some additional cash in the transportation category.

Vehicle rentals

GetAround Turo Maven HyreCar

Ride sharing

Uber Lyft Hitch

Bike lending

BikeShare BCycle Spinlister

Miscellaneous alternatives

Carma Carpooling Antlos Get My Boat Surfair Harvest Host

sharing economy apps and websites

Equipment and knowledge

Miscellaneous equipment like technology, outdoor and camping paraphernalium and tools are more unique ways to participate in the sharing economy. However, tangible assets aren’t the only way to make money off your peers. Offering up your abilities in conjunction with these rig rentals is another huge room to turn a profit off of what you already own( and what you are good at ).

For example, those that are good with pets can sign up to walk or qualify unruly puppies with additional analyses and leashes they have lying around. Meanwhile, those with a garage full of workout gear can rent their cavity out to others and offer personal train business on the two sides. With this sharing category, buyers have the opportunity to show off their skillset and readily clear extra currency on the things they love.

Benefits

Similar to home or transportation lists, the benefits of renting out your gear and knowledge focus mainly on the lent revenue stream. This category, however, offers you an opportunity to double up on income streets. By charter out your pieces and offering an additional related service, you can find buyers already interested in what you’re selling and offer them an opportunity to become a client rather than merely a renter. This allows for more flexibility, as you aren’t sacrificing inevitabilities like your car or home to bring in that additional cash.

Possible jeopardies

Damaged or stolen quality is always a risk when hiring out your parts to others. Unfortunately, more unique components don’t offer much in the way of insurance coverage. This is especially true if you plan on listing parts and assistances in a range of lists, as most insurance coverage is sold over longer periods of time. As a rule of thumb, it’s best to double check the coverage and guidelines of the third-party service you are using before lending to ensure you will be covered in case of damage or asset loss.

Participating Corporations

Once you’ve decided what you are interested in offering to the public, the next step is to find a service that allows you to post your parts or services. Check out the schedule below to see your options for forming