VIRTUAL WEALTH FORMULA
With the current economic (and political) climate - more and more people in North America, and around the world, are now searching for ways to gain greater Success, Financial Security, and Time Freedom ... to "OWN their life".
1) ACTIVE / Lateral Income (Weak)
This might include ... working more hours (if that's even possible) ... getting a 2nd job (if that's even available) ... starting a 'traditional' small business (where you'll need to raise capital, and take financial risk, and YOU will need to be there, to run it, assuming you have the skillset / endurance, etc). In every case - we're looking at (the disadvantages of) ACTIVE Income generation.
2) PASSIVE / Digital / Leveraged Income (Moderate)
Let's say you decide to launch a DIGITAL Online type of business (which is excellent, because it can be very flexible, to suit your needs) - and you choose to market someone else's AFFILIATE product, such as an eBook, or Video Course, via Clickbank of JVZoo.
They sell it for $50. and you offer it on your Website or Blog (or you use 'their' Sales Page & Marketing Funnel).
They pay you a 40-50% commission (= $20-$25) - which is fine. Part of that might be "passive", in that the eBook sits on your Website / Blog, and someone sees it - and buys it - while you are doing something else, or sleeping, etc. - but it's not "recurring" income (it's a one-time sale). Here's a better way ...
a)- Private Label Right
What about using Private Label Rights (PLR)? These are very popular. That's when you purchase say, an eBook, but you are allowed to put "your" name as the author, modify some of the content, , and then sell it - which is good, because you can price it at whatever you feel is appropriate, and you don't have to "share" that revenue with anybody else (such as the owner of an Affiliate product, as mentioned just above). With PLR, you don't have 'pride of ownership' and you're not really the 'author'.
b) - Your OWN Digital Product
Here, you write your "own" eBook, where YOU are the expert. Yes, 'you' will still need to look after all the 'red tape' - but at least you could use a simple payment processor like PayPal to collect payments - and because "you" are the author (and therefore, have the credibility, that you can 'back up') - you will more likely be perceived as an "authority" - your own "expertise' is being touted (-vs- PLR, where it's actually someone else's - making it more difficult to "brand" yourself, since you personally don't likely have a 'track record' and/or the 'professional credentials' in that area).
For example, if I were to promote a PLR eBook on say, Weight Loss / Divorce / Crows / Motorcycles, etc, with my name on it - I would not have the background knowledge / expertise or experience to back it up ... whereas, if it were to promote an eBook about say, Time Management / Financial Planning / Network Marketing / Business Profitability Strategies / Affiliate Marketing, etc. -
I would gain more TRUST, and be perfectly comfortable (due to my own background experience, and my professional credentials, in all those areas). And it means I would be building my 'own' brand - and that will help me 'market other things' in future as well. ((Regarding TRUST and DIGITAL products, see below)).
Ok, let's go a step further ...
3) PASSIVE Income
Digital / Leveraged / Automated / Recurring (Powerful!)
Think of this as follows ... you have a business where you sell a very, very 'special' (in demand) HAMMER ... it IS unique ... you built it ... that's all you sell ... and it sells for $150. Think of the ways you could "leverage" that hammer, to increase your money flow. Now, if YOU sell (10) of them, you make $1,500. Now, let's expand on this ...
a) - HORIZONTAL Growth
But what if you were to set up your 'own' AFFILIATE Program to sell your hammer ... and you paid them (your Affiliates) a 40% commission ... and you got 1,000 Affiliates ... and they're each selling (2) or (3) of your special hammers every month. Well, your "profit margin, per hammer", is way down ... but, in addition to your 'own' sales ... your sales VOLUME is way up. This is called Horizontal Growth ... since, let's say you went from selling just (10) hammers ... to selling 10,000 of those hammers (because of your Team of Affiliates).
b) - VERTICAL Growth
Now, suppose you decide you're going to also sell a BELT (a Carpentor's Belt) ... one that's specific to your unique hammer. Now, you decide to "go back to" those first 1,500 "hammer buyers" yourself ... to promote your Belt (you decide 'not' to make the Belt an Affiliate product - and remember - all the people who "bought hammers" are YOUR customers / clients (not your Affiliate's customers). This is called Vertical Growth (in other words, when some of your 'existing' customer / client base decides to purchase "other" products from you - products which are likely to be "related" to your initial product).
So now you have "both" Horizontal Growth and Vertical Growth (an extremely important objective with 'any' business, for higher success levels) ... your Money Pump is now greatly 'expanding' its money flow. That is, you're gaining more & more customers / clients ... and they are spending more & more money with you ... because you're putting things in front of them that are of high VALUE (to them). Now, let's bring this up yet another step ... because the "highest level" of this (Horizontal + Vertical Growth) is something called a ...
c) - CONTINUITY Program
Here. let's say you decide to also create a good VIDEO TRAINING COURSE, on ... how to use this unique hammer ... tips & ideas for it ... providing Q&As about it, etc. ... and you put together a MEMBERSHIP Program that tells them you're going to provide them with 'Master Class Training' ... on a monthly (recurring) basis ... and they can join this Membership Program for only $15/month. So now what you've done is this ... you've sold them a hammer ... plus a hammer belt ... plus a video training course, with a monthly fee (where they will be sending money to your business - automatically - "every single month" (that they decide to maintain their membership). This is the "purest form" of Passive, Recurring Income (one customer / client - spending money - repetitively). Build it once ... receive the financial rewards over a long period of time.
So, what types of Continuity Programs are there? Well, there are AFFILIATE Continuity Programs, where YOU do not need to create anything (as mentioned earlier). Some of these Affiliate Continuity Programs provide Online [Digital] Training Courses ... access to Tools & Resources (say, on "marketing" or "personal finances", etc) ... where people willingly "pay a monthly fee" ... and YOU receive commissions from them. OR, you might want to create your OWN Continuity Program (when the time is right). But most start out with an AFFILIATE Continuity Program, as it's much easier. Let's raise the bar further ...
d) - Network Marketing
When you add this step to the equation, you now expand your PASSIVE INCOME possibilities enormously. Network Marketing is a business model that, although 'not' perfect (what business / profession is?) ... it is today, a very well crafted, legal business enterprise. True, there are 'illegal' Network Marketing companies out there (pyramids) - just like there are 'illegal' attornies and 'illegal' doctors - just like there are people who cheat on their taxes, etc. Also, there has been (and will continue to be) some 'negative press' on Network Marketing - just like there is about every other industry (banking / retail / airlines / insurance / real estate, etc).
- It's DIFFERENT
When you consider that the failure rate in a "traditional" business is very high (as it is in Network Marketing) ... here's a KEY difference ... Network Marketing enables YOU to "leverage the time, and efforts, of OTHER people" (your network of Team Associates) ... much like a FRANCHISE business model does. Network Marketing gives you a "multi-tiered" income potential ... where you not only earn revenue from your OWN efforts - you also share in the compensation results from the efforts of 'others' in your group.
But more importantly, Network Marketing is the "only" space that provides these three (3) powerful financial forces, all at one time ... LEVERAGE + COMPOUNDING + RECURRING (residual) INCOME ... all working in harmony, "together" (simultaneously). NO other industry / business / profession can claim this. None.
Although "I" used to be one of its biggest "critics" - I now have a high respect for its business model, after having been involved in it (part time) for over 30 years). I guess you could say I have a "love / hate" relationship with it ... just as I have a "love / hate" relationship with the Financial Services industry ... just as I have a "love / hate" relationship with the Leagal Profession.
Nevertheless, I served on the Board Of Directors of the Network Marketing professional association for 4 years, representing Canada (the Association of Network Marketing Professionals - ANMP.com), which is a global, non-profit, organization which serves to educate, protect and inspire Network Marketers everywhere.
This experience gave me a deep "inside look" at this industry (both pros & cons) ... regarding its field leaders, companies, CEOs, compensation plans, products, etc ... such that I feel I'm in a strong position to be able to "evaluate" companies properly (the good ones, and the not so good ones), with access to data, tools & resources that most would not have available to them.
Suffice to say, there are "many" fine, reputable, well financed, Network Marketing companies to select from ... with both "physical" as well as "digital" products (although very few in this latter sector). Ok ... here's the perfect "extension" to (regular) Network Marketing, within the Passive Income arena ... a major KEY ... IF a good "Digital" product / service can be found ...