WHAT ARE THE BENEFITS OF PASSIVE INCOME
Are you an entrepreneur that is tired of trading time for money?
If so, you stumbled upon the RIGHT blog to read!
I am passionate about helping women have more FREEDOM in their life and business! The freedom from time, money, and stress so that they can live a life that they'll adore by keeping their priorities in check: Faith, Family, and Business and living their life on their terms.
I too was a frazzled, hot mess, and overwhelmed entrepreneur that was on the verge of burnout before I finally decided to take passive income seriously. Truthfully, it was something that I had on my mind for over a year but put it on the back burner due to time constraints. Recently I decided to make it a priority because there was no way I could keep up at the pace that I was going. Meeting with several 1:1 clients a day wasn't going to allow me the full freedom that I desired. It just wasn't going to happen.
Therefore, for me to have more time freedom I needed to have a way to consistently have income that would eventually allow me to take on less 1:1 clients and enjoy more of the freedom-based lifestyle that I craved.
Before we dive headfirst income passive income, let's explore what active income is. It's income that is directly linked to you doing the work. Think of working with 1:1 clients, selling a product in person or even the dreaded "9-5" job. You're paid based on the work you do.
What is passive income? Passive income is a way to earn money on a regular basis that requires minimal effort from you to maintain it. Let me caveat this by saying that passive income does need some work, but it is not dependent on the hours you put in to get paid (i.e., active work).
Passive income can come in various forms. Such as intellectual property (ebook, e-courses, training, etc.), affiliate commissions, investing, and more.
There's a misconception that only certain businesses, such as creative business, can create passive income streams. That is a total myth! I firmly believe that any business can create passive income. It doesn't matter if you're an online service provider, a creative entrepreneur, a local business or even in Direct Sales, Multi-Level Marketing or Network Marketing. You can create passive income.
Sure it may require you to think outside of the box a little bit, but isn't that why you became an entrepreneur? You wanted to push the envelope a bit more than the rest and be UNIQUE, right? Don't put yourself in the box that society puts you. Open the flaps and step out! You have so much to offer this world, and it is time to share your incredible gifts by creating some passive income.
What are the benefits of passive income?
Time freedom allows you to STOP trading your valuable time for money. There are only so many hours in a day that you can meet with clients. Therefore, having a passive income product as additional revenue allows you to have extra revenue coming in while you legit live your life! Less working directly with clients and time to enjoy all of the things you love. Such as family time, traveling, going to museums, learning a new skill, writing a book or whatever your heart desires!
ABILITY TO GIVE THOSE NOT READY TO INVEST HIGH DOLLAR A TASTE OF WHAT IT'S LIKE TO WORK WITH YOU
Creating a passive income product that meets the needs of your tribe so that you can offer a product at a low investment price point for those that aren't ready or willing to invest a high dollar into your products or services. It provides an opportunity for them to get a "taste" of what it's like to work with you without the high investment. This strategy allows you to funnel them through your sales funnel by nurturing them each step of the process. If you're able to WOW them with something at a low price point, they're more apt to work with you at a high price point down the road.
"LOW HANGING FRUIT" OFFER FOR QUICK SALES
The ability to make some quick sales that are passive income related through "low hanging fruit" offers is a no-brainer. If you desire to learn more about making quick sales feel free to read my related blog post: 3 Ways to Make Quick Sales in Your Business. It's epic!
"Low hanging fruit" means these are offers that you can promote and sell like "hot cakes" to people who have already expressed interest in them previously and are an ideal client prospect within your tribe. These sales are easy to make because they require little effort on your part and can be an additional source of revenue.
Some low hanging fruit offers could be:
- a previously recorded training + a workbook
- a free challenge + a workbook
- an exclusive workbook for a coaching program being sold individually to your tribe
- a previously recorded webinar + a checklist
The options are endless! The key is to look at what you already have in your arsenal and use it to your advantage. You may need to add something to make it POP for your tribe, but it's an easy way to make passive income and work smarter, not harder by repurposing what you already have.
ABILITY TO SHARE YOUR GIFTS WITH MORE PEOPLE
The capacity to share your gifts with more people ties directly with time freedom. Since there's only have so much time in a day to meet with clients, there's no way that you can make a profound impact on thousands of lives in one day. Yes, over a lifetime but wouldn't you rather share your unique gifts with more people? Most people do! By creating a passive income product, you're able to share your skills, knowledge, and experience with others by providing an insane amount of value to them. You're able to work smarter, not harder!
ADDITIONAL STREAM OF INCOME
Did you know that most millionaires have seven forms of income? Pretty incredible, right? Maybe you want to be a millionaire, and maybe you don't. Either way, having an additional form of revenue is SMART! Having extra income coming in while you focus on serving your 1:1 clients or enjoying life is perfect for helping you pay off debt, set aside for additional investing or saving, and more.
Passive income also provides a buffer for those times when you're unable to work due to an illness, death in the family, accident or even while you're on vacation. It helps you remove some of the stress from working about making money while you're not working.
SECURING YOUR FINANCIAL FUTURE
Having additional income coming in with passive income helps you secure your financial future. The extra revenue can be used to save for retirement, invest in property, stocks or bonds that you'll be able to sell years later to fund your retirement. Investing in real estate is something my husband and I do currently to secure our financial future.
Also, if you would like to work less or even close your business, the passive income revenue will allow you to do that once you have established a continuous flow of money from it. Passive income does take a bit time to generate consistency, but it is doable.
As you can see, passive income has many benefits, and I'm sure there's more than the six I outlined above. However, what I have shared are my personal favorites.
Are you excited to explore the world of passive income? Not quite sure where to start with creating your first passive income product? If so, I have a couple of resources for you in my Digital Boutique:
Please share in the comments below: What was your favorite benefit from the ones I outlined above?