Working full time certainly rhymes with regular income, but unfortunately it is not without risks. Even if you have an indefinite contract, you may be unemployed when you least expect it. If so, you have no choice but to say “goodbye” to your only source of income. That’s why it always makes more sense to reconfigure your life by creating new sources of money. This will help you get out of your salary dependency situation. As amazing as it sounds, it is possible to make money doing almost nothing – create “passive income” to supplement your month-ends.
Passive Income – What Exactly Are We Talking About?
Specifically, a Revenue is considered “passive” when it requires very little effort to generate. In other words, it corresponds to the income that a work already carried out continues to generate. For example, the rentals you receive monthly to rent your property fall into the passive income category. The same goes for the copyright that your inventions generate, or the commission you receive for every sale you make on behalf of a merchant, and so on.
Keep in mind, however, that even if passive income is generated without significant effort, some upstream jobs are essential to create them. For example, if you want to sell training online, you must first create your own content and choose the educational medium that you will implement.
Now that you know the principle of passive income, you can now take action. Here are some reliable sources that can generate it regularly.
Dropshipping to generate passive income
the Dropshipping or “direct delivery” is one of the fruits of the popularization of e-commerce. It is a real lever that allows you to get regular passive income without spending a substantial amount in the beginning. Therefore, its principle is relatively simple. Create an e-store where you highlight and market the products of a large supplier, who is responsible for sending the package to your customers. In return, this supplier grants you a commission for each sale made.
That said, by becoming a Dropshipper, you become an intermediary distributor, but also a professional in charge of promoting to consumers the products of certain large suppliers and manufacturers with which it is in collaboration. This allows you to generate passive income quickly.
However, before this business can bear fruit, there are several steps you must take:
- Creating an e-commerce site
- Establish partnerships with major suppliers
- SEO of your site
- Developing your audience
- Creating product descriptions
- Implementing a web marketing strategy …
Sale of digital products
Know that your knowledge of subjects you master very well, your skills or talents are a real source of passive income. You just have to be more discriminating with the help you render toward other people turn them into downloadable digital products. These products can generally be presented in different forms:
- E-books or digital books
- Podcasts or audiobooks
The advantage of this solution lies mainly in the fact that it allows you to always find people who want to learn everything you know, whatever your specialty or topic that interests you. In addition, you can sell your products without having to worry about limitations related to inventory management and delivery. Online training, photographic work, audiovisual work, mobile applications …, the creation of dematerialized products requires a more substantial work up, so to speak. !
Real estate rental
Depending on the type of property or the area in which it is located, Real estate is especially effective for making money passively, in the long run. In order to take full advantage of the benefits, you must purchase a property (house, new or old apartment, parking, etc.) and then rent it. Once you have made your investment, you only need to collect your rent periodically. You will see that in a few years you will be able to fully recover the total amount initially invested.
The only drawback of this solution is that it requires a more or less astronomical starting capital. That is why real estate is a dream that, to this day, remains inaccessible to many French people.
Purchase of shares with high dividends
Buying shares with high dividends is certainly a good way to get passive income on a regular basis without doing almost anything. Keep in mind that it was this kind of investment that allowed American billionaire Warren Buffett, nicknamed the “Omaha Oracle,” to build part of his fortune.
So if you want to follow the same path as this billionaire, In fact, you should buy stocks with high dividends. In the stock market, dividends refer to the payments you receive each year for the shares you own. However, before you begin, take the time to measure the pros and cons of this investment. Make sure it fits your purpose and situation perfectly. If you want your investment to provide you with recurring income, There are several rules you must follow :
- Follow the evolution of stock market prices more closely
- Encourage companies to offer their shareholders a good dividend yield
- Diversify your portfolio to protect yourself from the risks of concentration
- Invest regularly
- Be accompanied
Affiliate Marketing or Affiliate Marketing
In case you don’t have money to invest, You can create passive income for yourself by making the most of affiliate marketing. The latter is a form of marketing where an “affiliate” is responsible for promoting a merchant’s products or services. In return, you receive a commission for each sale made. Keep in mind, however, that affiliation requires some personal investment and time.
To become an affiliate, you must first create a website or blog through which you will promote affiliate products and services. Then consider creating a large enough audience. After these steps, carefully select the company you want to partner with. Then, as you go, you can multiply your partnerships to maximize your profits.