Resources for young business moguls are everywhere. Surprised? You may just not know where to look. Magazines, blogs, competitions, and foundations exist solely for the purpose of equipping young entrepreneurs to launch businesses of their own. We’ve gathered a few of our favorite resources for all of you Biz Kids right here.

1. Small Business Administration: stale but informational page devoted to young people from the US government. Find our about government programs and grants.

2. Future Business Leaders of America: National club for middle, high school, and college students.

3. DECA: high school program that empowers aspiring entrepreneurs with education in marketing and business ownership.

4. Inc. 30 Under 30: read about the most successful young entrepreneurs in the country in this annual feature of the go-to small business magazine.

5. YoungEntrepreneur.com: a young entrepreneur watering hole packed with blogs, expert advice, and featured startups.

6.  Young Money Magazine: magazine with an entire webpage devoted to entrepreneurship.

7. eschoolKIDS: workshops and coaching for the biz kid who means business.

Guest post by David Bakke. David Bakke lives in Atlanta, Georgia with his young son. In addition to running a reselling business online, David writes about making smart personal finance decisions on Money Crashers.

Once you have decided on a credit card for your child, teach them how to use it effectively. Here are some things that you definitely want in your game plan and some things to avoid.

Do’s:

• Set Limits. Although the card will have a limit of its own, setting a lower spending limit with your child will eliminate the possibility of overdraft.
• Decide Who Will Pay. Determine whether the parent, the child, or a combination of both will be paying the balance.
• Sign up for Online Access. Establishing online access to the account will allow you and your child to monitor spending at any time.
• Review Statements. The monthly statement is a powerful tool to educate your children about credit cards. Reviewing it will help your child understand the benefits of managed spending, as well as avoiding interest fees.
• Put Your Child in Charge. Encourage your child to keep all receipts to track their spending, and explain to them that they are in charge of payment due dates. Of course, paying the balance on time will ultimately be your responsibility, but instilling a sense of ownership in your child will help them gain confidence.
• Handle Mistakes Intelligently. If the card gets lost, the spending limit is surpassed, or there are any other errors, deal with the issue in a mature and intelligent fashion. Speak in a calm voice; discuss the error and why it occurred. Encourage your child to be honest with you at all times.

Don’ts:

• Forget to Follow Up. There is no point in allowing your child to have a credit card if you don’t follow up regarding successes or failures. This can lead to your child developing unhealthy spending habits.
• Allow Unlimited Purchasing. Explain that they need your approval for any purchases over a certain dollar amount.
• Overreact to Errors. If your child overspends, loses the card, or otherwise makes an error, overreacting to the situation will not be helpful. It will instead encourage your child to hide things from you, rather than be open and honest.
• Let Them Make the Same Mistakes You Did. Entrusting your child with a credit card is a big step. Don’t miss out on this golden opportunity to teach them effective money management. If you have had problems in the past handling credit, be on the lookout for these issues before they arise. If you have had trouble saving, be sure to teach your kids how to save money to ensure they don’t make the same mistakes that you did.

Final Thoughts

When teaching your children about credit cards, focus on their positive aspects. They are convenient, and you can actually make money if you choose and responsibly use one of the best cash back credit cards. However, you still need to teach them the dangers of credit cards and how costly they can be if misused. If you focus on the steps to take to enjoy the benefits, you will be setting up your children for a lifetime of responsible and practical credit card usage.

What ideas do you have for teaching kids how to use credit cards? Do you have any tips to instill proper money management principles in your children?

Guest post by David Bakke. David Bakke lives in Atlanta, Georgia with his young son. In addition to running a reselling business online, David writes about making smart personal finance decisions on Money Crashers.

The best credit card to choose for your child depends on what you are trying to accomplish. There are five basic options:

• Debit. With this type of card, your child will need a checking account unless you get one that is tied to yours. The advantage here is that there is no borrowing involved, and therefore no interest or late payment fees (though other fees may apply). Bear in mind that using a debit card instead of a credit card will not build credit history.
• Secured Credit. A secured credit card is typically tied to a savings account, which means missed payments are covered as long as you have sufficient funds. A deposit is paid to the issuer, who then issues a credit card with a spending limit of anywhere from 50% to 100% of the deposit. Your child can build credit history with this option. However, these cards typically have high interest rates.
• Traditional Credit Card in Their Name. This is another option to build credit for your child. However, by doing so, you put yourself at risk regarding their spending decisions. Make sure that you are comfortable with your child’s overall level of responsibility before going this route. There are a variety of credit cards for students to consider.
• Authorized Credit Card. Adding your child as an authorized user to one of your credit card accounts may be the most convenient option, as you can complete the process in a matter of minutes. You can decrease your exposure to potential overspending by choosing a card with a lower spending limit. If the account is kept in good standing, your child’s credit history will benefit.
• Prepaid Credit. With this option, parents apply for a prepaid card in their child’s name, and the card becomes active when money is deposited into the account. When the balance becomes low, more money can be added. Prepaid credit cards are a secure option, as spending is limited to the amount of money deposited in the card’s account, and there are no high interest rates or overdraft fees. However, you cannot build a credit history with a prepaid card.

If your goal is to build credit history for your child, choose a secured card, co-sign for a credit card, or add them to one of yours. If you’re more concerned about safety, then go with a pre-paid credit or debit card.

This is part 2 in a series of 3 by guest blogger David Bakke. Check back next week for “Understanding Credit Card Do’s and Don’ts” 

Guest post by David Bakke. David Bakke lives in Atlanta, Georgia with his young son. In addition to running a reselling business online, David writes about making smart personal finance decisions on Money Crashers.

It is debatable as to whether a child or teenager should have a credit card. However, regardless of your personal belief, more children are walking around now with plastic in their pocket than ever before. Unfortunately, many do not understand how to use credit intelligently.

If you adopt the correct strategy and teach your kids about proper money management, you will ensure that your children avoid a lifetime of credit troubles. There are a number of methods for instructing kids of all ages:

1. Keep It Simple

If you want your children to truly understand your lessons, speak in simple terms. For instance, if they are too young to understand what “interest” is, explain to them that if the credit card bill isn’t paid in full, the issuer will charge more money. When it comes to reviewing statements, show your child how much interest will be due if the balance isn’t paid off, and point out the dollar amount that will be owed if only the minimum payment is made.

Showing children concrete examples in the world of personal finance helps bring the point home. Additionally, it can help to physically get down to their level. Whenever I explain any serious concept to my son, I take a seat beside him and speak in a one-on-one fashion.

2. Make It Fun

Have fun while teaching your child about credit! There are several board games that do exactly this. One is called Charge Large, where players travel around the board using cash and a credit card to purchase properties. The first person to have cash and a zero credit card balance wins.

Another option is Monopoly Electronic Banking, which is an updated version of the classic board game. Players use debit cards instead of cash, and the banker utilizes a computerized disc to transfer money.

When I play these games with my son, I add in little lessons during the game to teach him more about how credit cards work.

3. Clearly Explain Wants vs. Needs

Teaching your children the difference between wants and needs is another key to effective personal money management. Learning this difference was the number one reason why I was able to solve my personal debt issues. Kids need to be taught at a young age that a roof over their heads and food on the dinner table are needs, and most everything else is a want. Children will benefit from this lesson for years to come.

This is part 1 in a series of 3 by guest blogger David Bakke. Check back next week for “Understanding Credit Card Do’s and Don’ts”