Ever since I launched my e-book, my eyes have been totally opened up to the world of passive income, residual income, and just multiple streams of income in general. I’ve read about it. I’ve followed business coaches and entrepreneurs that I look up to that talk about this concept, but I don’t think I really grasped it until I created some of my own.
First of all – if you didn’t know that I wrote an e-book, you can check that out here. I really wanted to create a helpful resource for my friends in multilevel marketing and direct sales, so that’s what my e-book is all about.
OK, back to this whole idea of multiple streams of income. First of all, let’s define a few common terms within this topic:
Passive income is income received on a regular basis, requiring little effort to maintain it. A perfect example of this is my e-book. I created the e-book once, and now that it’s “live”, it requires little to no effort to receive income from it. Obviously, this is a very small example, but other examples could include getting cash from a rental property, having ad revenue on a blog, getting affiliate income, etc.
Here’s a great blog from Dave Ramsey that explains it a little more in-depth.
Residual income is a little different. It’s net income that an investment can earn over time. Just being honest: I’m no pro at this and I’m definitely in the beginning stages of learning. But there seem to be some blurred lines between residual income and passive income. Residual income seems to be more of an investment that earns money over time, like stocks for example. Residual income in NETWORK MARKETING is income you build over an extended amount of time and continue to earn based on efforts you put forth initially. This income is based on selling your products and getting other people on your team. The products sold continue to generate sales, paying you continually over time. This is one reason why “consumable” products are the most effective in network marketing. Obviously, the larger your network marketing organization is, the better.
I currently have 4 main streams of income in my business. 3 of those are very small right now, but it’s a big goal of mine to grow them!
Before we talk about how to create multiple streams of revenue, let’s talk about why it’s important and beneficial for your life and business. Plain and simple: it’s extra money. Money isn’t everything and it certainly doesn’t buy happiness. I love what Dave Ramsey says about this: “Money just makes you more of what you already are”. You can’t deny that a little extra money in your life can make a big impact.
It was “side gigs” and additional streams of revenue outside of my primary full-time job that was extremely helpful for paying off my student loans, paying off my car, building an emergency fund, etc. Striving to become debt-free isn’t “the norm”, but I never wanted to be “normal” anyway. I’m a firm believer than being debt-free can change your whole life. Being debt-free is one of the things that allowed me to leave my full-time job with salary and benefits to pursue entrepreneurship. #Hallelujah. I have a blog post on how I paid off $30k in under 3 years. Check that out HERE.
OK, so how do you add another revenue stream to your life or business? Here are some thought starters for you…
Say you’re a boutique owner…
You could create styling tutorials (fashion, beauty, home decor, anything!) and sell them online.
You could host a Ladies night, selling exclusive items in the store, making a craft, or teaching them how to do something that goes along with your brand.
You could create an online course on how to start and grow a boutique.
If you’re an online business owner that provides a SERVICE (like me!)…
You could write and sell an e-book about your industry.
You could create a monthly membership group with exclusive trainings for paying members.
You could partner with companies you’re passionate about and receive affiliate income from them.
If you’re a blogger or influencer…
You could partner with a network marketing company that goes along with your brand and your passions to receive extra income.
You could put ads on your blog.
You could do sponsored content on both your blog and or social media.
You could create a digital resource teaching OTHER bloggers and influencers how to do what you do.
Keep in mind that all of these ideas are IN ADDITION to the way you’re already bringing in your main source of income.
OK, so if you’re not an entrepreneur, and maybe you’re a teacher, a stay-at-home-mom, an interior decorator, a barista, anything…
You have skills that people would pay to learn! If you’re serious about creating another source of income, really think about something you’re good at. What do you enjoy? Oftentimes, it’s easier than you think to find something you’re good at, you enjoy, and that people would pay you for. And I think you’d be surprised at how many people that WOULD pay to learn your skills, whether that’s online or in person.
Could you host an event for other teachers to share lesson plans, ideas, etc. and charge a small fee to attend?
Could you create a membership group or course for moms who homeschool their kids?
If you’re a stay-at-home-mom, could you partner with a network marketing company that you love, in order to share products you enjoy and make some extra income between nap time, school pickup, etc.?
Could you start a “mom blog” and social media account and grow it to the point where you could receive ad revenue and sponsored partnerships?
If you’re reading this blog post and wondering what people would actually want/pay for, I have a great blog post on how to do market research that will be super helpful for you. Check that out HERE.
As I wrote above, this is a whole new world that I’m just starting to dabble in for my online business. I’ve almost always had a side gig or second (or third!) job, but I’m really learning the importance of multiple streams of income especially as an entrepreneur, because let’s face it: your income isn’t necessarily stable or “guaranteed” when you’re self-employed! It’s always a good idea to have a plan B or another stream of income coming in for the “extras” that come up in your life, or just to throw some money into a savings account each month.
If you’re curious about the different streams of income in my business, and how you can maybe add some additional income to your life, please DM me on Instagram! I’d love to talk through it with you!
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