How Can You Generate Passive Income?
Passive income is a form of income that you can earn without having to work and work for it. Rather than continuously working in order to keep the income stream consistent, when you generate passive income, you do the work once and then earn money from that work without having to do anything else.
However, some people are a little dubious when it comes to passive income, and question whether it really exists. It’s easy not to have much trust in passive income when you don’t know of the ways it can be generated.
7 Ways To Generate Passive Income For Your Business
One of the reasons why people don’t have a lot of confidence in passive income is because they often have to spend money or invest time in order for it to be successful.
Whether it’s paying the upfront costs of hosting and buying a domain name or having to outsource the more complex aspects of online sales, there are investments which you should make if you want to build a solid stream of passive income.
1. Write an eBook
If you write a blog or regularly update content on your website, you’re already probably pretty good at writing, so creating an eBook makes perfect sense. Depending on how long you’ve had your blog, you might be able to analyze your current audience and traffic in order to establish the best topic that your target audience will be willing to pay for. You write the eBook once and you can sell it over and over. Once you’ve published one on your website and have had time to monitor its success, you can begin to think about building a passive income portfolio with a second eBook.
FREE Checklist: 12 Ways To Make More Money In Your Business
2. Membership Website
Many online entrepreneurs generate a passive income with a membership website. A membership website gives access only to those who pay a certain fee for the knowledge you share on your website. Content is a goldmine online and smart marketers know how to prospect content and make it work to bring in profits. You can teach people the skills you have by setting up weekly how-to articles or webinars, cover how-to segments from start to finish and constantly give members fresh material, so that they stay with the membership site longer.
3. Develop An Online Course
This isn’t for everyone, since it often involves how-to videos and other learning tools that not everybody feels comfortable with producing by themselves. There are various ways to develop an online course, however, including text and images or step-by-step guides. Creating an online course isn’t like writing a blog where you can share your ideas and opinions with your readers quite easily. But it’s not as difficult as you may think. You obviously need to have some knowledge about your topic and, once again, you can create the content once, and continue to sell it to new students again and again.
4. Sell Other People’s Products On Your Website
There are many products and services that you can sell as an affiliate that generate passive income online. With this form of affiliate marketing, you’re given permission (in the form of a website link) to sell products that other people have created. For each one you sell, you get a commission. Most of the time, you choose products that complement yours, so they will be appealing to your audience too. These can include software licenses, access to membership websites, online learning programmes and subscriptions to publications. Affiliate marketing is an ideal beginner passive income model because the products, sales page and delivery process are already set up by the producer of the product.
5. Build and Sell An App, Plugin or Software
Another lucrative option for passive income investments is creating an app, plugin or another type of software if you’re handy with coding. Even if you’re not, and you’ve just got the basics for an idea, you can easily and cost-effectively outsource the coding. Apps and plugins are often a one-time payment, whereas for software, many are SAAS (Software As A Service) meaning the software is based on a recurring charge of either monthly or annually. Many of the big software companies like Adobe and Microsoft Office Suite now use an SAAS-type model.
6. Sell Advertising Space On Your Website
Using your blog as a platform to advertise can help to bring in extra cash. Other small businesses and bloggers may be willing to pay you a small fee per month for having a link or advert to their website on your blog. This is a great way to make some extra cash if you have a few businesses willing to pay for space on your site.
7. Sell Your Photos
If you have a passion for good photography, you can earn money by selling your photographs. This is a good way to develop another passive income stream since you can sell the same photo to many different people. There are many photo selling websites which allow anybody to upload and sell their artwork, or you can upload them on your own blog and advertise there too.
Free Checklist: How To Make More Money In Your Business
Passive income is real, but you have to give it time and be patient. You can’t expect to start earning money overnight, or everybody would be doing it. Aside from learning the tricks of the trade or taking more time to develop and improve your existing skills, you’ll also need to spend time building good networks, invest time in increasing your audience numbers and connecting with freelancers who may be able to help. For more passive income strategies checkout my free checklist, How To Make More Money In Your Business to generate more income with little upfront work.