What Is A Passive Income
One of the many definitions of the phrase “passive” according to dictionary.com means “not involving visible reaction or active participation”. Therefore it means that when you setup a smart passive income stream, you do the work “once” but keep making money over and over again.
I mean how would you love to set-up a passive income business stream just once but keep generating profits from it in months or even years with little or no active participation from you?. That will be great right?
With that said I want to share with you not just one or two but 9 smart passive income ideas and streams that you can set-up and make profits from over and over again.
9 Smart Passive Income Ideas And Streams Of Income
1.Affiliate Marketing: Just recently I wrote about on affiliate marketing for dummies which is a great foundation on what affiliate marketing is all about. Basically affiliate marketing is a system where you get a commission for every sale you make.
Even though are not the creator of the program or service yet for every sale that comes through you, you will get a commission. Isnt that fabulous? :-).
Lets assume you are selling a product which pays a $30 commission for each sale, just by selling 30 of such unit a month you will have a $900 a month business or $10,800 a year business from one affiliate program alone.
So how do you begin affiliate marketing?
Well I wont go into details as that will be a blog post of his own but really all you need is explained in this course here.
You need to pick a product that you want to sell. You can find that by going to clickbank.com and choosing any out of the over 20,000 products they have in their market place.
Set-up a website which can be done within two hours and then drive traffic to it and you will start making money. It isn’t that hard. I will advice you watch this video for a more comprehensive training of passive income .
2. Google Adsense: Similar to affiliate marketing, the only difference here is that you will be paid by Google.:
For Google adsense unlike affiliate marketing, you get paid per click and not per sale. That means Google will place some ads on your website and each time someone clicks on the ads whether they buy something or not you will get paid.
Here is what a Google adsense on a website looks like:
The downside to adsense is that you wont get $30 per click like you can from affiliate marketing. To really make a lot of money from adsense you need to get MORE people to your website and more people clicking on the ads.
Even though in Google adsense the average earning is $0,50 to $2 per click, there are people making as much as $10,000 from google adsense every single month. You just need to know how it is done and that is why I recommend this Google adsense guide. It goes into deeper details on how to start from scratch and setup a money making Google adsense business.
3. Website Flipping: Do you know you can build a website to a moderate income level and sell it for a considerable amount?.
Infact if your website is making money you can sell it for 10x its monthly revenue. That means if you take your website to $100 a month it can be sold for $1,000. Sweet profits right?
What you need to do is to set-up the website for start. If you don’t know how to set-up a website all you need to do is to get a domain name and then host it in a reliable hosting company. I recommend bluehost.com which is where I currently host this blog and they have never disappointed me. For $4.95 you can host your website today.
Then you need to set-up your website and make profits from it. In other words going back to the number 1 and passive income idea that i shared after making money from those websites you can sell them for huge profit!. This is just so interesting and profitable
Once again the passive income guide I recommend you study goes into details into each of this passive income opportunities
4.Online surveys: I know many people shy away from this business opportunity as there has been MORE bad than good stories coming out of it. So why did I mention it here? Well just because there are accidents EVERYDAY wouldn’t stop you from driving would it? same-thing applies to every business opportunities.
With online surveys what you need to do is to find companies that are going to send you some form of questionnaires and once you answer it the way you are instructed to you will get paid. In other words you will get paid to read emails.
Unfortunately there is no “particular company” that I can ask you to go because this things are not constant. That is why most people prefer to join a reliable survey program that regularly compiles list of hundreds of companies whenever they have paid questionnaires for you and all you have to do is to fill them up and make some cool income. The best among them right now is the get cash for surveys program.
Now I would leave a caveat here. Participating in an online survey program is NOT a sustainable online business because you are always waiting and hoping for companies to send you questionnaires.I prefer to run a business that i have control over. nevertheless online survey can still be a good money maker for you.
5.Membership Sites: This is arguably the best passive income earner. Why? Because once you enroll people to your membership program as long as they retain their membership you keep getting paid.
Let’s assume you setup a membership site on dating tips for men where every month you share the hottest dating tip that is working at the moment and you are able to enroll lets say 150 people in your first month, with each paying you $19 every month. Not only is that a $4350 a month business but the next month you will still have some members retain their membership and you still make money without spending a dime on acquiring new customers.
Think about this, if you want to sell 1,000 product for a $29 ebook that’s $29,000 right? but for a membership site, if you get 1000 members that’s $29,000 in the first month!. Even if you lost 20% by send month you still have 800 of the SAME people who are going to pay you $29!.
I love membership sites and I have plans to set-up some of them in the year 2014. Great passive income earner I must say
6.Ebooks and Training Courses: Every one of us know something that someone else is willing to pay for.Mike geary makes $1million a year just by selling how to lose weight ebook that goes for $29. This is the powwer of selling information product. You will be amaze how what you call insignificant someone else is willing to pay for. it…and I mean a lot of people.
How do you start? Well you have to be certain that there are loads of people searching for the same information and are willing to pay for it. There is a technique to that it is explained in this course here. Once you master it then you can create your first information product, setup a payment provider and start making money daily.
Just imagine having a course on how to play guitar that sells for $29 and you sell just $5 a day at that pace you will have a $145 daily income!….Now just incase you are wondering if people would gladly pay for such information like that, well they will because in Google alone 60,500 people search for “how to play guitar last month”!
Like I said information marketing or selling information product in a great source of passive income that I highly recommend.
7.Consultation Service: Similar to selling information product, you are also selling your an information but this time around it is with your time!. Consultation services can be a great and HIGH income earner.
Infact you can earn as much as $2,000 every week from just 3 clients if you know what you are doing.
Firstly you have to position yourself as an expert and as someone people can go to for the solution to that particular problem, then you will need to set-up a website or a medium at least to display your expertise and skills and overtime you will start making good money consistently too.
8.Advertising Space: How does facebook make is money? what product do they sell?
They sell people.
Their product is people.
Once you have a website that pulls in thousands of monthly readers you will start getting inquiries from companies and individuals who are willing to pay a monthly fee to place a banner ad on your website!.
This is a nice source of passive income because as long as your website continuously gets thousands of readers you will keep getting such enquiries and keep making thousands each and every month
9. Blogging: I left this for the last because it is quite different. No one makes money JUST by blogging. But from your blog you can do almost all of the above. Think about that for a moment.
From your blog you can sell advertising space, place Google adsense, Consult at fee and of course sell your own product and membership site.
Blogging is a great source of revenue because you can build all these smart passive income under one stream and blogging is the best platform that allows such.
Someone like John Chow makes $40,000 a month from blogging by doing almost all the passive income above and I know people who make much more. This is the power of blogging.
So there you have it my friend. Nine smart passive income ideas and streams that you can set-up today and get running immediately!.
If you are wondering what next to do, this is my advice, read this passive income guide as it goes into proper details of each of the 9 business opportunities I mentioned above and even more.
Watch the videos, implement the steps,take action and make some passive income.