Today, I’m starting with a personal question. I want you to be honest with yourself. Take some time out from what you are doing and answer this question.
Do I have enough income streams?
When you are honest with yourself about building multiple income streams and putting the effort into acquiring them only then you can truly start to live and build your dream lifestyle.
When the income streams become diversified there is a magic to knowing you are continually making money and growing wealth.
Diversification of Multiple Income Streams provides financial freedom, freedom of time, less stress and the option to live your dream lifestyle.
Table of Contents
- What Are Multiple Income Streams?
- Overwhelm Factor (Less Stress)
- How to Make This Work in Reality.
- The Magic of Diversification
What Are Multiple Income Streams?
Most people have only one source of income. Their job. So, if their job is affected or they are made redundant, the income stops. When this occurs there are two choices, find another job or go on benefits.
When there are multiple income streams, if one is cut off then there are always other income streams to bring in more income.
What most people fail to understand is that there are 8 different types of income and when income is generated in all eight only then is there true financial freedom. They tend to say they have lots of income streams but when you look at the source of income it fits into just one type of income.
Only when there is income generated through all 8 categories does a person have true financial freedom.
For example, this morning I checked my bank account. There were deposits from subscriptions (residual income), rents (rental income) and book sales (royalty income) so, there were 3 different income streams in my bank account today.
Next, I checked my share account and cryptocurrency accounts and sure enough, there were dividends (dividend income) and payments for staking (interest income)
When I checked my business accounts there were some coaching sales (profit income)
So, just today, there were 6 different types of income streams.
Overwhelm Factor (Less Stress)
Building multiple income streams doesn’t mean running around like a headless chicken from one income stream to the next and feeling overwhelmed.
Having a plan ensuring little or no stress will help reduce any overwhelm felt either through thinking about the process or applying it.
Pick a type of income that you want to build over the next couple of months and set everything up for that income stream. For instance, to create dividend income simply open a share trading account, set up an automatic payment to the account and instruct the broker (platform you open the account with) to invest the money into a specific share. As dividends are paid ask for the dividends to be reinvested.
Once the work has been done to set up the account and automation applied and you have checked everything is working okay, the account looks after itself then move onto the next income stream and build that one.
Now all that is required is about 10 mins a month to ensure the share automation is working and the shares are still the right ones for your investment strategy.
Each income stream requires a little work upfront to set it up and start generating income. Book royalties, involves writing and publishing the book. After that, sales are generated through marketing. Book marketing and advertising can be semi or fully automated.
The more the systems are automated the more freedom generated.
How to Make This Work in Reality.
Let’s take as an example one of my products for Affiliate Marketing and how to generate royalty and profit income.
Step 1 – write and publish a book about affiliate marketing. In the book mention a mini-course on affiliate marketing and offer a book discount for the course. (Royalty Income)
Step 2 – the mini-course covers ways to get the product in front of potential clients. At the end of the mini-course offer and upsell to another affiliate marketing product. (Residual Income)
Step 3 – the upsell is about build funnels to help increase sales of the product. At the end of this course is an upsell to a live coaching masterclass training for affiliate marketing. (Residual Income)
Step 4 – during the masterclass training mention your affiliate products that clients can sell. (Profit Income for Masterclass and Residual Income for selling affiliate products)
Step 5 – What Next? Keep asking yourself, what next and all your hard work of building income streams will keep growing and delivering value to your clients and income for you.
In this example, 3 different types of income streams have been created with only the masterclass being the one that has to be personally delivered. The others are on autopilot.
Many people get scared at the thought of writing a book or creating mini-courses. The advent of AI means books can be written very quickly and published via Amazon.
Or an alternative is to get licenses for the reselling of books and courses.
The main thing here is that you don’t need to create the items they can easily be legally acquired and you become the reseller of content generating additional income streams.
The Magic of Diversification
With diversification and generating multiple income streams a kind of magic exists. This magic means that with some planning to ensure continuous growth and monitoring of each process multiple income streams can be created without the need for overwhelm.
Diversification offers the ability to add more products and services to a business, ensure continued growth and income streams. It takes away the stress of trying to juggle too many income streams at once.
Now, not only are you creating multiple income streams but creating financial freedom, time freedom and able to live your dream lifestyle.
Are you using the magic of diversification?