Cash-strapped mums turn to home-based businesses
Amid an assortment of medals from competitions and family photos, Madam Salinah Salim skilfully works her sewing machine, sewing anything from baju kurung to tote bags.
The 37-year-old has been in this business since 2012, operating out of a sewing studio which is a converted bedroom in her three-room flat in Woodlands.
Business is good, she says, but her family of four finds it difficult to save for the future. Madam Salinah’s income varies from about $1,000 to $2,000 a month, while her husband – a food delivery rider – earns less than $3,000 a month.
Madam Salinah is among a group of financially challenged people who run home-based businesses. They may be from low-income backgrounds, or are temporarily financially unstable because of a change in their situations.
The business owners featured in this article receive help from the Government, or charities, or non-governmental bodies.
For Madam Salinah’s family of four, the household income per member range of about $1,000 falls below the 20th percentile in 2022, according to the Singapore Department of Statistics.
To qualify for the ComCare Short-to-Medium Term Assistance – a government social assistance scheme – residents need to have a monthly household income per capita of $800 and below, among other things.
Volunteer-led initiative Her Rise Above, which provides business training for female home business owners, has mentored over 40 women since its founding in 2019, with 18 still actively running their businesses.
Its co-founder Sapna K. Malhotra said the businesses empower these women to take charge of their lives. “Our ladies in particular share a story of resilience, overcoming adverse situations and the creativity, and determination to provide a product or service with excellence."
She added that while a main goal of the movement is to increase household income of those under them, the businesses can also help women improve aspects of their lives such as their resilience, and entrepreneurship skills.
Ms Erica Goh, 21, who lives in a public rental flat with her full-time national serviceman husband and two-year-old daughter while waiting for their Build-To-Order (BTO) flat, started her eyelash salon business this year.
“I want to expand my business, perhaps provide more services, then maybe I can think about having a studio or a shop,” said Ms Goh, who is now in a “low” period with three or four customers a week. She charges between $50 and $70 for each two-hour session.
Running home-based businesses can be challenging because of inconsistent demand, lack of business knowledge such as marketing and budgeting, and even space constraints.
Often, these owners do not earn enough to support an income, said Ms Ruth Tan, executive director of South Central Community Family Service Centre (SCCFSC).
“By the time they deduct the costs – don’t forget they have their own electricity bills, water bills – the amount they make is not significant,” she said.
When Madam Nooril Azurah Suntek Noor started selling baked goods a few years ago, she did not make any money as she did not track her costs. She now tracks her costs and profits through a computer application.
She hopes the Government can fund courses targeted at home-based businesses and she might consider finding a full-time job to qualify her for the incentives of stable employment under the ComLink+ scheme. She still wishes to run her business on the side, to earn more income and for her love of baking.
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