Residual income or recurring income is a stream of income resulting from an initial investment or business effort. There are several ways to ensure a steady stream of residual income. You can earn residual income by managing an investment portfolio, setting up an online business, or doing network marketing. These proven strategies guarantee good residual income without having to invest much time. Initially it is you who has to work hard to make it a success but then it is the setup itself that works hard to pay you back and grow your investment.
Let’s first explore the possibility of residual income through a business setup. A business setup is a good way to ensure steady income flow with an excellent command over the setup itself. The owner starts the business from scratch and designs all the business processes and internal controls himself single-handedly. Since the owner of the business is the owner of the processes as well, he has all the powers to modify the system to respond to changing environment.
You can start a trading business, one where you buy products and sell them for a margin, or you can come up with a manufacturing concern where you will design and create your own products. The process can not be initiated without huge investment at the onset. Moreover, sound business administration is required to ensure long term survival and consistent growth of the business. The return on investment is not upfront either. It takes lot of toil and time to start generating the residual income the business was aimed at.
Investment portfolio is another great method to earn residual income. You have to come up with investment avenues, ascertain your risk appetite, and decide maximum exposure to each of them. Ideally you can invest in real estate, shares, debentures, bonds, currencies, or even gold. The effort level is minimal with investment method. A wisely planned portfolio and a consistent monitoring is your key to ensure steady residual income. Diversity is the name of the game. You will need an upfront funds commitment to start it without which you can not achieve any positive results.
By far, the most well-known method happens to be online Network Marketing. Under this method, you will be selling with your trusted sales team to earn residual income. You will have to build up this team and keep it growing by recruiting the finest talent. Network marketing is also called Multi-Level Marketing or MLM in short.
MLM is a low startup cost alternative. Under an MLM setup, sales talent keeps on joining your team on a regular basis. Your job is to provide the right training and development to these candidates to groom them into full-fledged sales force. There is a myriad of MLM programs out there so everybody can be sure of getting a decent bargain according to personal preferences and aptitude. On the down side of MLM, if the program is carried out half-heartedly and randomly without any passion for your products, you are destined for failure. Similarly, the process will fall on its feet if either sales or recruiting side is under-emphasized or overlooked. You must keep a fine working balance between the two to ensure consistent growth and the resulting residual income through this wonderful method of making money online.
I have presented you a diversified methodology to ensure consistent stream of residual income. Each method has its own pros and cons. The success lies in your hard work, passion, attention to details, and a desire to overcome
