6 Tips for Making Passive Income a Reality

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So you want to live the dream lifestyle that allows you to work less and earn more. You know people who make money while they aren’t even working because they have established passive, or residual, income streams and you wonder if it’s possible for you to do the same.

I’m here to tell you it is. Anyone can learn to make passive income a reality so they can increase their income without increasing their workload. In fact, in time, you could even work less than you do at your full-time job while still earning more money.

Define your Unique “Why”

Before you start creating business plans, setting up a blog and promoting yourself, you need to identify what your unique “why” is. Your “why” is what drives you. It’s what has spurred you to start a business and what is making you want to pursue a passive income.

I started my passive income business because I wanted to build a life around more free time with my family and still make the same money I was used to in my full time job.  It gets better, I was able exceed my full time income sustainably which gave me the opportunity to then invest in real estate properties.  

Maybe you want to spend more time with your family, travel, have more time to relax or just don’t want to trade hours for an income anymore. Whatever it is that drives you, define it as your driving force to spark your ambition when things get tough.

Choose a Niche you can Excel At

All businesses, including passive income streams, start with a good idea that fills a niche need. What can you do well? What talents or skills can you leverage to create a product or service?

Some common types of residual income businesses include network marketing, real estate, investments, creative works production and affiliate marketing. Your passive income stream needs to reflect your talents and let you make your passion and talents into a lucrative business.

Find Real Value in your Product

Now, the key to making your business take off is finding real value you can offer your customers. It’s one thing to be good at something and it’s another to fill a need in a valuable way that generates sales and a passive income for you.

Package your skills or knowledge into a product that people will want to buy because they receive a very defined benefit. People need a reason to become a customer, and by providing real value you can grow your customer base and increase your passive income.

Identify your Target Market

As you begin to define your business and products, identify your target market. What group of people would find the most value in your products? Who can you best serve?

This group will make up your target market, and should be the demographic you actively promote yourself to. Identifying this now will help you create a better strategy and recognize whether there is a large enough demand for what you can offer.

Set up a Powerful Business Strategy

All successful businesses have a powerful business strategy. The strategy should outline your goals, how you plan to achieve them, team member responsibilities, marketing plans, internal procedures and other details that will make your passive income possible.

As a business coach, I work with all kinds of business leaders to create strategies that lead to success. I have seen firsthand how vital a good strategy is. Regardless of the type of passive income source you are striving to create, you need a business plan that will guide you as you launch your business, grow your customer base and increase your income.

Do your Due Diligence before you take the Leap

Finally, before you decide to jump into a passive income business, do your due diligence. This means learning all you can about an opportunity, exploring your options and setting yourself up for success from the very beginning.

I’m a firm believer in the idea that anyone can be successful at network marketing and making passive income a reality. I wrote my latest book, called “Creating Freedom: What you Need to Know to be Successful in Network Marketing,” for people who want to start this career path the right way.

It’s possible for you to have that dream lifestyle you see others living, and it all starts with a solid foundation with a business strategy that will make passive income your main source of income. If you’re interested in learning more about how to do this for yourself, contact me.

About the author 

Deborah MacDonald

After almost 25 years as an entrepreneur, I continue to grow my business, my passive income streams and my wealth. And now I mentor others on their wealth journeys by teaching them how to fund their own freedom lifestyle.

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