Passive Income

[theapprentice]

Passive income is definitely possible, i do it mainly with affiliate programs but im trying to get into drop shipping so far ive made about $330 in one month with that, drop shipping is not really passive to tell you the truth you do need to put in at least 5 hours a week into it to be successful.

Check out Lilly Reid's book on drop shipping here: Lilly Reid : Drop Shipping Guru, its very good if you want to get into this drop shipping.

other tips i can give:

1. find something that others are doing and see if they are earning income from that and try to emulate that and make it better
2. Join forums where there are other talented people and try to learn from them
3. stop being lazy.
4. Take some risks.
5. you have to spend money to make money,
6. Gain knowledge by purchasing ebooks from those who are experienced.
7. Try being creative.


i hope that helps

TheApprentice

[DBeavers]

I've live in SW Louisiana for nearly 30 years. Cousin Dudley LeBlanc was a famous Cajun businessman. He was the founder of Hadacol, which is far before the age of any Youngpreneur.

Here is one of Cousin Dudley's bits of wisdom that seems to fit this discussion:

Why work with your back, if you can work with your hands, and why work with your hands, if you can work with your head.

In other words, work smarter (with your head), rather that working harder - with your back or hands. If you keeps your hands off the income producing effort, you are creating income that is passive.

I only recall one previous poster mentioning leverage. Leverage involves using either capital or knowledge/talent to produce income that doesn't require your personal involvement in the transaction. One common means is to employ others to do the work or selling and make some marginal income from their efforts.

Residual income is somewhat different. In my view, residual income is earned from either repeat sales, renewals, or re-fill sales. A person buys something one-time and then needs to either re-order the item or some part of the product.

A company that uses certain products in their business, will need to re-order when their inventory gets low - Example - A bank uses ink pens for the customer counter and drive-through lanes. They will re-order as needed.

A car dealer gives out a custom imprinted key tags and license plate frames on every new car he sells. He'll re-order those as part of his marketing program to keep his marketing message exposed for all to see.

Someone buys software that they use in their business, which comes with a one-year license, so he-ll pay again each year as long as he needs the product. Or similarly, a company insures their property, company vehicles, and even their inventory. The annual renewal will result in a passive commission to the original writer.

I sell promotional advertising (imprinted ink pens, license plate frames, coffee mugs, calendars, embroidered caps, etc.) and enjoy a lot of residual sales as customers order calendars every year, and order replacement stock items as their supply becomes low.

Because I sponsor and train others, I'm leveraging my knowledge and experience of selling the products, serving a wide range of business and industry, and benefit from true passive income on the sales of my associates.

Putting the residual income together with the passive income, added to my commission from personal sales, makes for one business with excellent income.

I hope my example of residual vs. passive income helps someone here.

Dennis

[Josephian]

Passive income is definitely possible, i do it mainly with affiliate programs but im trying to get into drop shipping so far ive made about $330 in one month with that, drop shipping is not really passive to tell you the truth you do need to put in at least 5 hours a week into it to be successful.

Check out Lilly Reid's book on drop shipping here: Lilly Reid : Drop Shipping Guru, its very good if you want to get into this drop shipping.

other tips i can give:

1. find something that others are doing and see if they are earning income from that and try to emulate that and make it better
2. Join forums where there are other talented people and try to learn from them
3. stop being lazy.
4. Take some risks.
5. you have to spend money to make money,
6. Gain knowledge by purchasing ebooks from those who are experienced.
7. Try being creative.


i hope that helps

TheApprentice

i vouch for 3 4 and 5 aswell

[ChiTown2222]

Passive income is certainly possible, that’s not really an issue. The question is how.

I want to answer this how so I can earn that all important capital. Capital that will allow me get my ideas off the ground and allow me to pour my heart and soul into those ideas.

Historically, the how is only answered by about 3%, generating passive income through network marketing isn’t easy, but it certainly is possible, as other posters have stated. Those 3% succeed and make tons of money in network marketing, while the other 97% don’t have the expertise and money to succeed initially. So they end up frustrated and quit.

In the past, network marketing companies’ compensation plans have contributed to this trend, the wealthy few at the top didn’t have much of a reason to help the new guys make sales and generate that illusive passive income. They had a much bigger financial incentive to generate themselves sales. They might have training calls and informational back offices, but they wouldn’t put actual dollars into driving sales to the newbies.

Yet this trend is just starting to change. The idea of spending actual dollars to help others succeed is starting to catch on. New network marketing companies are starting to structure compensation plans so that the real value in the company is in building a deep downline full of people with the confidence and motivation to work the business. With this type of compensation plan its actually economically beneficial to help those below you make sales. Furthermore, it gives these new guys confidence and motivation to work the business and make you even more $$$. This is where the truly passive income starts to blossom. Yet the torch must be passed for this new trend to succeed long term. I’ve found such an opportunity, and I’m starting to hear rumblings that the idea is catching on.

Anyone interested in network marketing has to do their due diligence. Research the product first and make sure it’s of a very high quality. Then look at its competitors, make sure it’s at the head of it class among network marketing. Finally, find a team within that company that has bought into this new trend. A team that will put actual dollars into helping you through your growing pains, and certainly not the other way around.

[Aletheides]

The effort spent in network marketing is a waste.

The time you spend promoting another business you could be spending promoting your own business.

Network Marketing is just like being employed under a clever disguise of "owning your own business". Yea, right.

[adam_haroun]

The effort spent in network marketing is a waste.

The time you spend promoting another business you could be spending promoting your own business.

Network Marketing is just like being employed under a clever disguise of "owning your own business". Yea, right.

I can see where you are coming from in saying that a network marketing business is not "yours" in the sense of a traditional sole proprietorship...but I look at it from a different perspective.

YES, it is true that with network marketing, the business is not "yours" in terms of a proprietary product, company name, etc.

However, in a network marketing business, *YOU* are still fully responsible for retailing the product, creating a network of independent marketing representatives, training and managing this network, etc.

In a sense, a network marketing business can be compared to the business model of a franchise (on a much smaller scale).

I believe that while network marketing is not the business for everyone, it does offer an array of benefits not offered by more traditional business models:

- You are not personally responsible for stocking and/or shipping any product

- You are not responsible for paying your marketing representatives

- You don't have to invest into the research and development of products

- You will not have to invest into the creation of marketing materials, product packaging, etc.

...among many others.

So, again, in network marketing, the sole responsibilities of the entrepreneur are to retail product and build their network of marketing representatives.

Although it is also the responsibility of the business owner to train marketing representatives, there are many ways this can be outsourced.

A network marketing business is very much "yours" in the sense that you can build it on your own schedule, work only with who you choose, make a name for yourself, and with persistence and hard work, generate a significant income.

While it may not be the business model for everyone, I personally believe network marketing does offer it's own unique advantages and setbacks and that is still a viable business model for aspiring entrepreneurs to consider.

[jeffwend]

Here's my take on passive income, or as it can be called residual income.

Nothing in life is easy. I have a few websites that make money with me doing little to no work right now. However, they are not making me rich yet, so I am going to keep working on them. To get to the point when your income is truly passive you must put in a lot of work.

Change is a constant. If you get comfortable with your passive income, a change may come along and your income may trickle away. My advice is not to get too "passive" in your money making and seek multiple streams of income.

[tazman9r]

Passive income online is a possibility. It takes time and persistence. This is gonna sound obvious, and it is suppose to.

1. Generate Traffic, both unique AND return. You have to have a site people will want to return to often. You don't necessarily have to have members, just traffic. It's not too unlike fishing. Try some bait, throw it out there, and wait to see what bites. Changing the bait from time to time to see what is more effective, trying different fishing styles to get different fish.

2. A site that advertisers will be willing to pay for a listing, not just pay per click for a listing. If you have a large and regular traffic stream, advertisers will want to post on your site. I realize Google makes a killing with Cost Per Click and such, but your site is NOT Google. They have humongous traffic, and I don't think ANY of it is unique anymore. Take a look at Myspace and YouTube. As the disclaimer says, "Results are not typical", but that is the idea. Google sought them out for their popularity. Not everyone can achieve such a level, but on a smaller scale, with other advertisers and a plan for success, one can certainly accomplish it.

3. It has to offer something to both the surfer and the advertiser. The value added has to go both ways. This means free or very low cost to the surfer and relatively low cost to the advertiser. That being said, the site can and should be designed so every part of the site can be a profit center. Maybe not all parts of the site, but as much as possible.

4. It can't just be a direct "sales" page

[nolimits2wealth]

Ask any wealthy person or business man/woman and they will certainly have more than one income stream,if not several of them.

A true passive income is generated from a sale of a product that will continue
to pay you for life,every time that that person also makes a sale.

A classic example of this is here, in my business if I make let's say for simplistics sake 20 personal sales,and of those 20 sales they each make 1 sale a month,which in anyones world is so achievable,well that will earn me for doing nothing $20,000 a month.Unlimited depth and width of my team means that this $20,000 a month is only going to grow and grow,while again I do nothing.

That is true Residual/Passive Income.

[hugh009]

I stumbled upon one that involves the Florida Lotto and how you can make a VERY nice passive income with it.

If you want to learn more please privately email me.

[Freakintelligent]

Creating Passive Income:

Step 1.) Stop being lazy

Step 2.) Stop reading Robert Kiyosaki Books

Step 3.) Find something you love and put your heat and soul into and you will find yourself in longterm a very rich individual if you can manage your money properly.

Step 4.) Read every book you can find about managing your business and money.

Step 5.) Find books on how to invest (LONG TERM)

Step 6.) Stop trying to perfect your short game, because its going to led you no where and if does led into money it will only be there for so long (BECAUSE ITS CALL A SHORT GAME!)

If you wish to thrash at me for this post, I'm only here once in a blue moon, you can find me at Young Go Getter -- A blog and forum community for helping entrepreneurs young at heart better their small businesses.

GREAT RESPONSE!!! ESPECIALLY STEP 2. I REALLY HATE HEARING PEOPLE SAY "PASSIVE INCOME". THAT WORD DRIVES ME CRAZY, IT'S LIKE EVERY PERSON IN THE WORLD HAS READ "RICH DAD POOR DAD" OR SAW THE INFOMERCIAL. AND THE "WANNABES" SEEM TO ALWAYS USE THAT TERM WHEN YOU START TO TALK ABOUT RICHES....I CAN ONLY LAUGH!

[Aletheides]

GREAT RESPONSE!!! ESPECIALLY STEP 2. I REALLY HATE HEARING PEOPLE SAY "PASSIVE INCOME". THAT WORD DRIVES ME CRAZY, IT'S LIKE EVERY PERSON IN THE WORLD HAS READ "RICH DAD POOR DAD" OR SAW THE INFOMERCIAL. AND THE "WANNABES" SEEM TO ALWAYS USE THAT TERM WHEN YOU START TO TALK ABOUT RICHES....I CAN ONLY LAUGH!

This is one of the books I read 5 years ago that changed my thinking, and the rest is history.

Just because it's mainstream doesn't mean you can garner worthwhile information from it. Heck, the fact that it is mainstream probably means that it's creating lightbulbs for plenty of people.

I assume you've read it before being critical?

[Pascal's Wager]

The LQQK at The SPAM wearing Sun glasses from Hawaii ......Claims to have to best selling ebook on ebay. Is that so?...or could it be the ebay pulse pages are rigged and this guy lives there 24/7 ?...the whole world is wondering......is there a magic code......could be?......maybe it goes farther than that?.....who knows..(ok ok I do know ) how because I broke down everything he does and 4 others on the main pulse pages....including the employees from ebay....or lets call them the (pinkies) just to be nice...but I'll tell you this. I'll stack my ebook up agiasnt his any time of the week and let the people vote. Who's ebook is better......? Let the people tell the truth,,,,I'm not scared.....are you Mr shades?....My ebook speaks the truth. Are you up for the challege, Mr cool....mr shades.....mr Spam from hawaii. Geeeeeeeeeeeeeee this guy leaves a trail clear across the internet...anyone could follow. He pops in to let everyone know he has an ebook for sale.Anyways...........
My ebook has the real codes,tells of how the real scams are run... my ebook tells how to really make good honest money. I also don't have a ton of badfeed back cover ups that were reversed like you do mr Spam in Glasses. Infact I never had 1 feedback reversed. Oh and by the way on the ebay Matchup Challege...my ebook and my trust from the ebay buyers beat you.....yes you mr cool...mr Spam in glasses by 3 to 1 across the board on average.........they trust me more. And My ebook isn't a shorty like yours.
Heather48DD

Well, where is your ebook?

[Squandered Halfpints]

I've read through this thread and I think most of it is garbage, so I'd hate to keep it going. But I just don't understand why people always affiliate the term "passive income" as a Robert Kiyosaki strategy. Its a basic financial term thats used to classify the income of individuals into categories.

Passive Income: A special category of income, composed chiefly of income derived from real estate, limited partnerships, and other forms of TAX-ADVANTAGED investments.

As opposed to Active income (everything for wages and salaries to bonuses, tips, pension income, alimony) and Portfoilo Income (savings accounts, stocks, bonds, mutual funds, options, futures, etc.)

This isn't any type of get rich type of strategy, its just a basic concept in Investments 101.

[eliz4biz]

Thank YOU!!!!!!!