Passive Profits
How to Make Money While You Sleep.
Some Good Ideas to Sleep On
Passive profits are generated by a business and do not require personal or direct involvement of the owners or employees."Sounds good to me" Sometimes direct involvement is necessary, but only on a limited basis. They can can come from several different sources, and a company may have several different methods of creating them. Receiving revenue from various sources is referred to as multiple income streams. Depending on your type of business, it may well be worth thinking about in terms of what you’re marketing and how you market it (or package it).
Residual Income.
One of the most familiar forms of passive profits is residual income.Income is generated continuously from work that is done either one time or periodically. An example of residual income is a customer’s payment for the renewal of policies and contracts with a business. A sales person initiates the first policy or contract after closing the initial sale. After a period of time, the policy or contract may be renewed with a limited amount of personal interaction between the business and customer. There may only be a friendly reminder sent by mail or Email to the customer regarding the renewal, or the salesman may actually make a short visit to talk to the customer.
E Books.
Another variation is the sale of a publication, such as an e-book or printed manual via
internet based marketing.
After creating the reference book, it can be offered as printed material or an e-book to be downloaded on the customer’s computer. The sale of the publication will continue to generate revenue without additional work, except for necessary revisions to the publication. These books can be offered on your Web site, requiring minimal sales efforts.
Leveraged Income.
Leveraged income is another option and involves using the work of other people or businesses to boost your revenue.
Forming strategic alliances
with other suitable businesses and selling your products and services through that business is a way to use leveraged income.
Commissions.
Additional income can be earned through commissions from the sales efforts of other people.For example, a contractor who hires several different sub-contractors to complete the construction of a building will generate income from the work of the sub-contractors.
Active Leveraged Income.
Passive profits can be generated by seminars, classes, conferences, and conventions. This type of passive profit generation is known as active leveraged income.The cost & effort required to organize one of these events can be quite extensive, but if you can attract enough people to attend, it will pay off. Many books, CD’s, workbooks, and other material can be sold at these events or made available to purchase online. All this material can be bulk purchased and used for many seminars, to further increase your passive profits.
Modern Net-Wit:
"Love, marriage and kids are fine, but I wouldn't give up an hour of comedy for them" .........................................................................Frank Skinner
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