Just like investing, generate income from home should not be done from only one source.
When you invest, you choose different types of businesses in which to invest in order to leverage you losses to a minimum.
The same thing can be accomplished with your business income. If you diversify the places from where you can earn, and the types of products from which you can earn.
It doesn’t matter what kind of business you have; you can multiply your earnings by creating multiple streams of income.
First, create a product or service. Then figure out different ways to make money from it.
- Offer a wholesale price for your product and even a bulk order discount on service.
- Sell your product full price on your own website or if it’s a physical product in a store.
- Recruit affiliate (start with customer) who will promote the product and/or service for you.
- Write a book and open a coaching business or consulting business. You can even teach a class about your topic.
These are all different income streams surrounding the same product or service.
You want to have a good mix of active income and so-called passive income.
Two types of income from home:
What is active income?
Active income are activities you perform directly to earn revenue – such as providing service like coaching, writing, administrative work and so forth.
What is passive income?
Passive income is when you do work once and are paid for it indefinitely. This would be something like writing an eBook or information product or selling memberships to a club.
The wonderful thing about earning money from a multitude of sources is that if one goes south, you’re not going to starve.
Let’s look at an example of writing one book.
- Your Book: How to XYZ
- Sources of income for your Book How to XYZ:
- Direct book sales
- Product recommendations via blog and book
- Consulting/coaching with people who want to do XYZ
- Speaking at events about XYZ
- Teaching courses about XYZ
- Selling other people’s related products
- Advertising relevant ads on your blog about XYZ
- Writing for magazines about XYZ
These are all legitimate ways to make money just due to one book.
The book could have been born out of another money-making activity like being a contractor, virtual assistant, writer, graphic designer, internet marketer, or something else entirely like a health and nutrition expert.
Whatever your niche, you can make money doing the things listed above. You can create a multiple streams of income that far exceed the potential income from just one activity.
The idea of multiple streams of income works for bricks and mortar business too.
If you sell a widget retail, you can offer it wholesale, and attract affiliates to sell for a commission. Thereby creating three income streams from one product.
You could expand that further by writing a book, recommending other products, consulting with others and so forth.
It’s not hard to create multiple income from home. Once you get started, you can consider different ways you can earn from one product or service.