More Money With Less Work: The Game of Passive Income Explained

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StrategyDriven Entrepreneurship Article |Passive Income|More money with less work: the game of passive incomePassive income has proven to be one of the most effective strategies for all those seeking financial freedom. I being a very big believer of passive income have started several businesses that have provided me with financial freedom. I have gained all I have today through digital marketing and affiliate income. I have recently started a blog – www.SMTPServers.co on marketing automation where I do an affiliate for automation tools to increase my passive income.

The concept of passive income describes the generation of sales without having to work for it. But is that really possible? How does passive income work and which success factors need to be considered? What business ideas are possible?
In this guide to building a passive income stream, I have described the procedure step by step and given successful examples of passive income.

The problem: if you want to earn more, you have to work more

Make money without working for it. Don’t we all dream a little about it? The principle of passive income is described on the Internet on mostly dubious sites as a concept that enables money to be made without real labor – so to speak, become a millionaire overnight. But what is really there about the concept of passive income?

The origin of the idea of ??passive income is based on our supposedly inefficient use of labor. A self-employed craftsman who wants to double his turnover, but already works 50 hours a week, has a problem: His turnover increases proportionally to the work done. If he works less, he earns less. If he works more, he also earns more. The same applies to a freelance web designer. If she accepts four orders a month and is thus almost fully utilized, she can no longer increase her sales significantly without having to sit in front of the computer during the night.

Passive income: the theory

Anyone familiar with the concept of passive income will quickly notice that one has to break away from the basic pattern of work efficiency that we are familiar with. To put it more simply, if you want to earn more, you don’t necessarily have to work more.

By automating work steps, it is actually possible to achieve higher sales with little or possibly even no additional effort. Thanks to the success of the Internet and digitization, a large number of processes can be digitally mapped and thus automated. There are plenty of free autoresponder tools available online which you can use to automate your client interaction.

In addition, there is the enormous reach of the Internet, thanks to which, the potential customers from all over the world can reach us with just one click of the mouse.

The concept of passive income looks complicated at the first glance, but it is actually quite simple to implement. The following is an example of the four steps involved in building a passive income stream:

1. Step: Develop the product

A freelance web designer writes a book on the development of modern websites on vacation and needs three weeks to do so.

2. Step: Selling the product automatically

She self-publishes the book as a print edition and e-book on sales platforms such as Amazon & Co on the Internet. The books-on-demand provider takes over the entire book production.

3. Step: Generate passive income

With every book sold, she receives an author’s margin – for the next few years. All processes are automated, she has no work whatsoever.

4. Step: Regular product maintenance

A book about the development of modern websites should of course be revised regularly so that it remains up to date and is also sold frequently in the future. A little time must be invested in product maintenance.

These four levels are the basis of passive income. However, in order to be really successful, it is important to orientate yourself on the following success factors.

Success factors in passive income

In order to generate passive income, there are three factors to consider that are decisive for the success of passive income:

  • Digitization of the product
  • Automation of the processes
  • Distribution to an existing reach

With the concept of passive income it is necessary to create a product that can be reproduced without additional effort. Only in this way is it possible to decouple the relationship between workload and sales result. Digital products such as texts, e-books, images, videos or software have this property and are therefore ideally suited for use as a product for passive income.

The next step is to find sales processes that can be automated. After all, as a self-employed person, you don’t want to sell your book (if we go by above example) yourself, but rather be able to distribute it automatically without your direct involvement. The Internet serves as an excellent automated sales channel. The management consultant could sell his e-book fully automatically via his own website, with every process step being digitally mapped: from acquisition via online marketing to sales initiation on the website to payment processing and e-book download.

The automated sale of a digital product via your own website can already generate passive income, but this requires the implementation of appropriate online marketing measures, for example with Google AdWords or Facebook Ads . The creation of such campaigns costs time, money and is not an easy matter for the inexperienced. For this reason, the third success factor with passive income is the use of an existing range of potential customers. Internet marketplaces such as Amazon or Fotolia (selling photographs) are predestined for this: Millions of people can be reached through them without having to invest a cent in marketing.

Examples of passive income

But enough of the theory. The following examples are among the most widespread and most successful implementations of the passive income principle:

  • Becoming an author: Selling books and e-books
  • Selling photos and video clips: Success with online marketplace for photos
  • Templates and construction kits: passive income for web designers and developers
  • Successful through online advertising and affiliate income

Becoming an author: Selling books and e-books: Let’s be honest. Who wouldn’t want to publish a book? As part of the passive income, the self-employed now have the opportunity to make this dream come true. The main effort lies in the writing of the book, a reproduction is relatively cheap. E-books as digital goods can easily be multiplied. All processes are outsourced inexpensively through production and distribution via self-publishing, so that in the end the e-book and print version can be automatically sold via Amazon.

And for whom is the book concept suitable? Ultimately, it comes into question for all those who have accumulated special specialist knowledge in a field and can put this into words accordingly. Management consultants, web designers, doctors but also craftsmen with specialist knowledge and a good writing style can generate passive income in this way. The great thing about it, by publishing a book, you create a brand for yourself and position yourself as an expert in a certain area. This can lead to appearances in various media, which in turn strengthen your own brand and generate additional orders.

Sell photos and video clips: Success with online marketplace for photos: Photographers, cameramen or motion designers can take advantage of the digital properties of their products by selling them to a large number of different customers from all over the world instead of the usual one to just one customer. On online marketplaces for photographs and moving images, such as Fotolia or Shutterstock, artists can post their works and offer them for sale worldwide. Once you as a photographer have built up a certain portfolio with high-quality images, an attractive passive income can be generated.

Passive income for web designers and developers: Self-employed web designers and programmers are usually paid on an hourly basis. If you want to earn more, you have to acquire additional customers and do extra work. Fortunately, the concept of passive income is particularly suitable for the software industry. By developing website templates for well-known content management systems such as WordPress, TYPO3 or Joomla, a web designer can sell one-time work to a large number of customers. As a sales channel, he either uses his own website or uses marketplaces with an existing reach that have focused on the sale of website templates.

The programmer can also take advantage of marketplaces by bringing his developed WordPress plugins, Java classes or shop modules to the man there. But the development of Android or iOS apps and their sale via the respective app stores, possibly also as part of a freemium model, can generate attractive passive income with a corresponding added customer value.

Successful with online advertising and affiliate income: Are you an expert in a field and have unique knowledge? With the appropriate content and a little know-how in search engine optimization , you can find a source of passive income via your own website or blog by using advertising banners or for your visitorsPlace affiliate links on your website. In order to generate attractive income, the number of daily website visitors should be at least 1,000 – this is usually only possible after a year at the earliest. It is therefore important to show perseverance with this type of passive income.

Even college students can generate passive income.  Are you a college student?  Click here to learn about passive income opportunities for college students.

Get rich with passive income?

If you have understood the concept of passive income, it is best to get to work straight away. Because for a successful passive income stream some time and work will be necessary. The belief that passive income means turnover without work is therefore wrong. Especially at the beginning, a lot of energy has to be invested in the development of a product that has the properties necessary for passive income and also offers potential customers real benefits . Only when the product has been created and all processes have been automated can you at least lean back a little and hopefully celebrate your first successes.

But can real wealth be accumulated with the concept of passive income? In principle, this is certainly possible. A few, such as successful author Timothy Ferriss, who describes his approach in the book “The 4-Hour Week”, have made it to a successful entrepreneur with passive income. However, this remains the exception. The concept of passive income should not be considered the unprecedented Path to Wealth, but rather as a new, efficient tool for the self-employed, in which working time can be used more efficiently and in accordance with the current state of technology, so that more time remains for the important things in life.

Alternatives to passive income

Do you like the idea of passive income? In the following, I present two more concepts that make it possible to generate additional income with the same amount of work:

Passive income through growth

If you are already self-employed as a freelancer or business owner, you can generate additional income without any additional effort, given the corresponding order situation. By hiring employees , you can take on additional jobs that should earn you more than the new employees cost you. Growing your own company is therefore an attractive opportunity to receive passive income.

Generate passive income with seminars and lectures

Even if the concept of passive income is not entirely correct here: If you, as an expert on a certain topic, have a lot of know-how, then you should pass your knowledge on to others. You can reach a large number of customers at the same time through paid lectures or seminars, but you only have to do your work once. In addition, you strengthen your personal brand at the same time and can enforce higher hourly rates for individual orders.

And now let’s get down to work – I wish you every success in building your passive income stream!

About the Author

Aabhas Vijay is a seasoned entrepreneur and digital marketer, who loves to explore tricks and tips on how a business can use a free SMTP to automate most of the user interaction and increase his passive income.

Ways to get an Affordable Mobile Contract

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StrategyDriven Practices for Professionals Article |Mobile Contract|Ways to get an Affordable Mobile ContractNowadays, smartphones are considered a necessity. The advent of the internet and advancement in technology has made it possible and necessary for people to stay connected with their loved ones no matter their location. Just a single click, and you can reach your family members and friends from anywhere in the world.

You are more likely to enjoy owning a smartphone if you have the right sim-only/pay as you go plan. After all, there is no point in using a 4 G or 5G smartphone if you have a costly data connection that might hold you from using it. Sure there are many phone plans in the market, but not all of them are affordable or suitable. If you have been looking for the right phone plan that will allow you to save money, here are different ways to find the best at the most affordable phone plans.

Track your mobile text, minutes, and data needs

It is tempting just to choose the cheapest deal you can find because you think you can save some money. But thanks to various penalty charges, it is often not the case with most phone contracts. The moment you use more than your allocated amount of texts, minutes, or data, the chances are that you will face steep fees for anything you’re likely to use over the allowance.

This is why you should track the amount of texts, data, and minutes you use each month and choose a mobile plan that fits your requirement. Keep in mind that you should not go for a contract that offers more than you need. Many phone contracts nowadays come with unlimited amounts of data, calls, and texts. But not all mobile plants do. So knowing your mobile usage will help you choose a mobile plan that best suits your needs.

Determine the amount of data you need on your phone contract.

Generally, your data allowance is the first to exceed because the charges are extortionate, and it is incredibly easy to use more data without realizing it. So, it is important to use specific settings on your phone to determine which apps use more data. Make sure you use these apps only when appropriate.

It is also possible to set some apps to work only when your device is connected to Wi-Fi. This will save you a lot of data. Apps like Netflix and Spotify can easily drain your data allowance quickly, which is why you should use your phone settings wisely and set these apps to only work once you’re connected to a Wi-Fi network.

As for how much data you should sign up for, many average users find 5GB sufficient. But if you intend to watch TV on your smartphone or start streaming content, you should go for an unlimited deal or a mobile contract that offers 10 GB or more per month.

Get affordable mobile phone insurance.

When you own an expensive smartphone, it is important to acquire an insurance cover in case of an accident. Most phone insurance providers will sell you what is commonly known as a comprehensive insurance package for a few pounds monthly. However, when it comes to the crunch, some companies try to find different excuses to avoid paying it. So, it is essential to carefully read the insurance contract paperwork before you sign up for a phone insurance policy.

Find mobile phone contracts with cashback offers or discounts.

Increasingly, most mobile contract websites have begun offering cashback deals with most of their contracts. Most of these deals are legit, but the chances of getting your cashback will depend on the specific mobile contract on offer. “Cashback by redemption” and other similar deals are the ones to watch out for because this means you will have to send in your monthly statements to claim your cashback successfully.

It is easier for many users to choose “instant cashback” as a lump sum by checking various cashback websites. To know more about whether or not your mobile contract provider offers cashback plans, contact them to learn more.

Wrap up

Different carriers provide different packages to serve everyone’s interests and needs. That means choosing the right and the most affordable mobile plan allows you to minimize your monthly bills and probably increase your savings. Even though the long list of mobile plans or mobile contracts means you have many choices, it can be challenging to find the right mobile plan if you don’t know what you’re looking for.

That said, it is important to understand the amount of mobile texts, minutes, and data you need per month, choose the right mobile phone insurance, and find the right phone contracts with a cashback plan. Be sure to analyse each mobile plan carefully and only choose what’s best for you.

How To Maximize Your Business Sales

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StrategyDriven Marketing and Sales Article |Business Sales|How To Maximize Your Business SalesWhen you run a business, you need to make as many quality sales as you can. Without making sales, you won’t make any profit, and no profit over a sustained period of time means no business. The whole point of having a business, no matter what sector it might be in, is to sell, and whether that’s a product or a service, the process and the end result is the same.

This means, of course, that if you want to have a successful business and one that grows over time, you will need to do whatever you can to maximize your business sales and make as much money – and profit – as possible. Read on to find out how to do this and boost your business dramatically, even during lean times.

Optimize Your Site For Mobile

If you’re a savvy entrepreneur, your website is going to be an attractive, easy to use one full of excellent, informative information. Your website is, after all, your store window, and without it, or with one that is not of good enough quality, you’re going to miss out on sales that otherwise could and would have been made. So of course, it’s highly likely that your website is already up to scratch and people are visiting it.

But is it optimized for mobile? More people than ever are using their mobile devices to browse the internet and visit specific websites, and if your website is not optimized for this, you’re going to lose a lot of potential customers. This is true even if your site is perfect in every other way. This will make no difference if your visitors never see the desktop version because they only ever visit on their smartphones.

The first thing to do is to look at your site on your own phone. How does it look? Does everything line up as it should? Is it easy to navigate? Does it load quickly? Does it – perhaps most importantly of all – fit on the screen? If not, you’ll need to put some work into changing your site so that it is optimized for mobile; a good web designer will be able to help you here.

Collaborate With Influencers

To make sales, you need to put your products and services in places where your target audience is going to not only see them but be intrigued by them. This might mean collaborating with influencers on social media.

Influencers are those people who have a large fanbase or following and who will, usually for payment, post about various products and services. Their thousands, often millions, of followers will see those posts and read that information, and be tempted to use the same products themselves. Imagine the boost in sales if that was your product that had been put in front of millions of potential customers and shown in a positive light by someone they know and trust. Yes, this will eat into your marketing budget, but if your target market is online, then it could also be money well spent.

Give Your Staff Sales Training

Any kind of business training is always going to be useful. Not only will it teach your team new skills or enhance those they already have, but it will also show them that you care about them and keep them loyal to you.

When it comes down to specific sales training, this can substantially increase your sales and maximize the profits that come from them. Although some people are naturally gifted when it comes to sales, the truth is that, with the right training, anyone can become a good salesperson, and it is good salespeople that will help you to build your business. You need this even if you have a great product that people find without being sold to – if you’re already doing well imagine how much better things could be if you had dedicated salespeople on your staff too.

The right sales training means that you can ensure your staff is going to treat customers in the right way and promote your products or services in the right way too. It also means there will be a consistent sales technique used across the business.

Focus On Your Existing Customers

One of the best ways to improve your sales, even though it might sound rather counter-intuitive, is to focus on the customers you already have rather than expending a lot of time and effort attracting new ones. Those who have already bought from you will know what your products are like. They will know what it was like to deal with your business. You won’t, therefore, have to go to the trouble of telling them about this and persuading them that you are the right business to use for their needs.

Not only is it easier to focus on your existing customers, but if you do a good job with them, they are likely to let other people know what a great experience they had. They will, in essence, do your marketing for you when it comes to finding new customers. Just make sure you keep introducing high-quality and relevant new products to your range. If you can do this, your existing customers will be happy to come back time and again.

Learn About Your Competitors

Many business owners are comfortable with the idea of finding out more about their competition. They don’t like acknowledging that there is competition in the first place, let alone delving deeper into their practices (especially if they are particularly successful; it can be a humbling and even concerning experience).

Yet even if you don’t enjoy doing it, and even if it makes you feel worried, it must still be done. If you want to maximize your sales, understanding more about how your competitors are selling is going to be helpful. You’ll gain some new ideas about what to do and, if you’re outselling and outranking them, you’ll find out what to avoid too.

Promotions

When you offer some kind of promotion within your business, whether it’s money off or a free gift, or anything else, you are sure to attract more attention; customers like getting the best value they can. This will usually lead to more sales, and even if the overall profit is a little less because of the offers you are giving away to your customers, the volume of sales should make up for it.

Successful Negotiation: 5 Effective Techniques for Better Negotiation

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StrategyDriven Practices for Professionals Article |Techniques for Negotiation |Successful Negotiation: 5 Effective Techniques for Better NegotiationAs one of the most crucial components of modern business, negotiation occurs every day in a variety of forms, and the outcome of these negotiations can significantly impact your bottom line. Successful negotiations serve as the foundation for profitable interactions and allow you to cultivate valuable long-term business relationships. While every negotiation is different and features unique circumstances, there are certain techniques you can employ during any negotiation to enhance your position and increase the likelihood of reaching the best outcome for both parties.

Consider the five techniques below to discover how you can improve the negotiation skill set of your team, then contact Shapiro Negotiations to schedule training with our expert negotiators. When your employees participate in our strategic, interactive program, you can be sure they are prepared to secure the optimal results in the toughest of negotiations.

Encourage Conversation

In any kind of negotiation, your negotiating partner needs to know you value their perspective and take their priorities seriously. Encouraging conversation by asking open-ended questions allows you to gain valuable information and guide the negotiation process to a favorable conclusion. Display a commitment to reaching a win-win outcome from the very beginning of the negotiation and take time to resolve any remaining doubts so the agreement may be entered into with trust and confidence. Remain professional, polite, and friendly throughout the discussion and maintain open body language to signal your receptiveness.

Listen Actively

To enhance active listening skills, Shapiro Negotiations teaches “The 3 Cs” – connect, consider, and confirm. Connect with your negotiating partner by making eye contact and using their name frequently throughout the discussion. Consider your response carefully, pausing to reflect after the other party finishes speaking before formulating an appropriate response or counterargument. Confirm the goals for the discussion and the progress you have made in reaching them. By following this approach, you can learn what the other party feels is most important in the negotiation, as well as the limitations they face and the areas they may be willing to compromise.

Demonstrate Value

To negotiate effectively, you must retain an accurate idea of your product’s value and be capable of proving this value to your negotiating partner. Demonstrate your company’s expertise in the industry and highlight your record of proven results by sharing hard data concerning outcomes of past successful deals. Suggest potential clients explore reviews and testimonials to hear first-hand accounts of your company’s character, values, and dedication to delivering the highest quality products. If the product in question is only available from your company or in especially high demand, the value of your product is even higher, giving you more leverage in the negotiation.

Explore Alternatives

Negotiations rarely end after the first meeting, often involving extensive back-and-forth between both parties to adjust the terms of the deal until they feel they have achieved a win-win outcome. This requires thinking beyond the details of the initial proposal and exploring creative alternatives so you can reach a fair, acceptable agreement. You can discuss a variety of options, including requesting or proposing concessions, “expanding the pie” by widening your offer or providing compensation to make up for sacrifices made by the other party.

Know When to Walk Away

Recognize when the other party’s demands have become unreasonable or if the terms they suggest create an unprofitable outcome for your business and make the decision to walk away from the negotiating table. Before the negotiation begins, you should be aware of your limits and gather market data to support your assertion that an offer or price is not fair or reasonable. A potential client that does not value your offering or insists on drastic contract amendments will probably continue to be difficult to work with after the deal concludes, so sometimes the wisest course of action is to get out before the stakes become too high.

Learn More Negotiation Techniques with Our Training Program

Informed by science and strengthened by experience, the negotiation training program offered by Shapiro Negotiations has helped businesses improve their negotiating skills for more than twenty years. With training sessions customized for your business objectives, we can instruct your team on how to effectively utilize a wide range of techniques so they can conduct successful negotiations for years to come. Boasting an impressive 300% return on investment, our team has helped more than 250,000 people in all kinds of industries enhance their negotiating abilities and achieve the best possible outcomes in any future business deals.

If you would like to learn more about how we can prepare your business for a lucrative future, contact us today online, call (410) 662-4764, or email [email protected].

3 Legal Tips Every Entrepreneur Must Know

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StrategyDriven Entrepreneurship Article |Legal Tips|3 Legal Tips Every Entrepreneur Must KnowEvery business faces the possibility of legal issues at one point in time or another. Did you know that the smallest companies in America with about 250 employees and less encounter legal issues the most? This highlights why business owners need to know all legal matters related to their business, to be on the safer side. How can you keep these issues to the bare minimum? Below are a few tips to help.

1. Be sure to document any agreements or contracts

As an entrepreneur, you may need to go into agreements with various professionals along the way, for example, contracting some independent service providers. For all such engagements, contracts will most likely be involved to set clear terms and conditions. In such cases, it’s advisable to have all contracts and agreements documented for future reference. For accuracy’s sake, be sure to contact a lawyer to assist you with your drafts so that your documents are well prepared, can be easily understood and enforced by law. Doing this will also help prevent any future misunderstandings.

2. Guard all your ideas and innovations

Being an entrepreneur mainly involves identifying problems and coming up with creative ways to solve such gaps. Even if your business idea already exists, there’s something that sets you apart from your competitors; whatever that differentiating factor is, you can protect it. All you need to do is speak with a lawyer and know how best to protect your ideas, designs, or creations. Your lawyer may suggest using the help of copyrights, trademarks, and many other forms of protection that will benefit you and your business.

3. Protect yourself, your business, and any other personal possessions

Starting up a business as a sole proprietor comes with many benefits, like your ability to enjoy the total profit. However, a sole proprietorship has less protection as compared to a limited liability company. Be sure to have a chat with your attorney for advice on what business choice would best suit you and be most beneficial to you. You may end up switching to a limited liability company and getting access to the required protection your assets will need. You can also protect your business and properties by ensuring you have all the necessary documents, such as your certificates, licenses, and permits. The type of business you’re running will determine the kinds of documents you’ll need to have. Your attorney can offer advice to help you know all the requirements of your type of business.

Similarly, taking care of personal injury within the office building must also be considered by entrepreneurs. There are many incidents that has been noticed regarding the personal injury of employees within the office premises, thus, read more about it if you are not aware of its legal consequences.

Another way to protect your business is by making sure you have the right insurance coverage. Workers’ compensation plus general liability insurance are good options to have. Lastly, be sure to conduct a safety and risk assessment for your business. It’ll help you ensure that your work premises, hardware, and business operations align with best practices. Additionally, contact capable personal injury attorneys whenever you experience any damages to your personal or business properties.

Starting a business comes with several legal rights and responsibilities, and sometimes it may come across as burdensome or even boring. Despite your take on this legal aspect of the business, the fact remains that the legal stuff is vital, so get all the assistance you can. Find yourself an attorney to handle all the legal issues to protect your business from any trouble.