How to Start a Side Hustle in Australia: Equipment and Setup Costs

Starting a side hustle has become an increasingly common way for Australians to supplement their income. With living costs continuing to rise, understanding the equipment and setup costs involved is essential for long-term success.

Recent data from the Australian Bureau of Statistics shows that almost one million people are now engaged in multiple job-holding, with 948,900 Australians managing side hustles alongside primary employment. Research also indicates that 80% of Gen Z and Millennials either have or aspire to start a side hustle, with earning potential ranging from $500 to over $10,000 per month depending on scale and commitment. 

The most effective approach involves selecting opportunities that align with existing skills while carefully managing startup expenses. Many successful entrepreneurs begin with modest investments, gradually upgrading equipment by reinvesting early profits rather than committing to large upfront costs.

Low-Investment Side Hustles: Equipment Under $500

Virtual Assistant Services

Over 73,000 searches are made for virtual assistant services each month, making them one of Australia’s most accessible and sought-after side gigs. Those looking for flexible, remote work may find this to be a viable alternative because of the low startup expenses. The necessary equipment consists of a sturdy desktop or laptop computer ($300-400), a noise-cancelling headset ($50-100), and a simple desk and chair ($100-150).

A high-speed internet connection also usually costs between $60 and $80 a month. Total setup costs are between $400 to $500, and monthly expenses are mostly restricted to internet service, which keeps overheads low and margins appealing.

Freelance Writing and Content Creation

Strong income potential and little initial outlay are provided by freelance writing and content production. A working computer with word processing software (between $300 and $400) is the primary tool, but editing and clarity are supported by programs like Grammarly Premium ($12 per month).

Canva Pro ($17 per month) is helpful for people who incorporate graphic components, while basic website hosting ($10–15 per month) enables the establishment of an online presence. The majority of the initial investment is spent on developing skills rather than purchasing equipment. A lot of freelancers start off with free tools and subsequently upgrade as their clientele and revenue increase.

Online Tutoring

Online tutoring is still very popular, particularly in English and STEM topics. The initial expenses are low and usually consist of a high-quality webcam and microphone ($100–200), digital whiteboard software ($15–30 per month), and instructional materials or resources ($50–100).

Tutors should budget between 10% and 20% of their revenue for platform fees when using sites like Superprof or Preply. While testing the viability of the market, the majority of successful tutors start with simple, pre-existing equipment and progressively build up as their clientele grows. This keeps the initial expenditure cheap.

Medium-Investment Opportunities: Setup Costs $500-$2,000

E-commerce and Online Retail

E-commerce represents a significant opportunity, with Amazon reselling generating nearly 90,000 monthly searches. Setup requirements include:

House Cleaning Services

House cleaning continues to be one of Australia’s most popular side gigs, with over 85,000 monthly searches and an average hourly wage of $33.27. A professional vacuum cleaner ($200-400), cleaning supplies and chemicals ($100-150), protective gear and uniforms ($50-100), and public liability insurance ($200-400 yearly) are usually considered essential startup expenditures. Transportation costs vary depending on the region. As their clientele and revenue increase, many would-be cleaners decide to upgrade from basic supplies that they started with to expensive equipment.

Content Creation and Social Media Management

More companies are hiring freelance creatives to handle social media administration and content production, making these tasks attractive side gig opportunities. A high-quality smartphone or DSLR camera ($400–1,200), editing software subscriptions ($50–100 per month), lighting equipment ($100–300), and tripods or stabilisers ($50–200) are all necessary startup equipment. Many prosperous producers start with simple smartphone configurations and free tools, progressively improving their gear as their revenue and audience size grow.

Essential Technology and Software for All Side Hustles

Investments in essential technologies are applicable to almost all side projects and gain value as your business expands. Tools for financial management that provide extensive bookkeeping features, such as Xero or QuickBooks, range in price from $25 to $50 per month. Time tracking tools (free to $20) and invoice software ($10–30) facilitate project accountability and expert charging. 

Reliable tools are just as important for productivity and communication. Professional email services usually cost $5 to $15 per month, while video conferencing software (free to $25) and social media scheduling platforms ($15 to $50) help with marketing and customer interaction. 

Cloud storage services ($5–20), password managers ($3–8), and project management platforms (free to $20) all contribute to daily organisation by preserving data security and efficiency. These techniques protect client relationships, promote consistency, and improve operational discipline as side businesses grow.

Legal and Compliance Expenses: Crucial Capital

Australian side hustlers cannot avoid legal and compliance expenses, thus these should be included in their original budget. Registering for a free Australian Business Number (ABN) is the bare minimum. If your yearly income surpasses $75,000, you must register for GST. It costs $102 for three years or $44 for one year to register a business name. These prerequisites guarantee that your company is legally established and that Australian tax and consumer regulations are followed.

For risk management, insurance and licensing are essential in addition to registration. For service-based firms, professional indemnity insurance runs from $300 to $800 per year, while public liability insurance normally costs between $200 and $600. Equipment insurance, which typically amounts to 1% to 2% of the equipment’s annual worth, should also be taken into account.

Some side businesses, such as childcare or food services, could need licenses or certifications like first aid training, health inspections, or Working with Children checks. These precautions protect your business and show clients and consumers that you are a responsible professional. 

Funding Your Side Hustle Equipment

• Saving money and investing gradually: The majority of prosperous businesspeople advise starting a side project gradually and buying equipment when money permits. Informed purchase selections are made possible by this cautious attitude, which also lessens financial stress.
• Equipment Financing Options: Personal loans can supply the required funds for larger investment opportunities that call for rapid equipment purchases, distributing expenses over easily manageable monthly installments. With established side projects that have demonstrated revenue potential, this strategy works especially effectively.
• Rapid Access Funding: Sometimes, opportunities that are time-sensitive call for the quick acquisition of equipment. When conventional lending schedules don’t align with business requirements, weekend loans might offer quick access to capital.
• Support from the Government: A number of state and federal initiatives provide low-interest loans and small company incentives for the acquisition of equipment. Look into local initiatives for company development.

Smart Equipment Purchasing Strategies

• Start Small, Scale Smart: Start with just the most necessary equipment. Rather than buying high-end equipment right once, reinvest early profits into improvements. By doing this, you may identify your true demands and maintain cash flow.
• Consider Second-Hand Options: Great equipment deals may be found on Gumtree, eBay Australia, and Facebook Marketplace. Since high-quality instruments can last for years, buying used is a wise economical decision.
• Strategies for Tax Deduction: The instant asset write-off program frequently allows for the immediate deduction of equipment purchases under $20,000. Many pieces of equipment can be deducted from taxes, so keep thorough records of everything you buy.
• Seasonal Buying: After Christmas clearances and end-of-year sales provide substantial discounts on equipment and technology. Try to time large purchases around these times.

Getting Started: Your Next Steps

While it does need careful budgeting, launching a side business doesn’t have to be expensive. The majority of Australians start out with equipment they already own and only upgrade gradually when steady revenue warrants additional expenditure.

It is crucial to conduct in-depth research in your chosen profession and utilise free or inexpensive resources before investing in pricey technologies. Almost half of Australians are looking for an additional $614 every week, so if done effectively, side projects offer a genuine chance to enhance financial security.

One aspect of the equation is equipment. Real success is the result of developing your abilities, comprehending your target market, and continuously providing clients or consumers with value. Regardless of whether you’re starting with a $200 virtual assistant setup or a $2,000 e-commerce investment, your objective should be to scale wisely and match your expenditure to reasonable earning expectations.