Residual Income, also known as Passive Income is the income you continue to receive through efforts that were made initially in which you then profit from through indirect involvements later on.
A good example of this would be Real Estate. The owner buys a house and continues to make residual income through rental payments on a monthly basis (these would be houses he/she purchased). Realizing this I began searching for residual income opportunities but through research realized that without a wealth of money, I would not be able to invest in any ventures such as Real Estate.
Knowing this I went on the internet and started searching for another residual income model. One that required hardly any starting capital and had a high earning potential. Through hours of searching (I must have been searching for a good 5-6 hours) I came across a business model called MLM (short for Multi-level Marketing) and looked to be the answer to my problem. Only a small investment required, boasted a great compensation plan and the products that most sold werent too shabby either.
So I began my research and to my fortune came across several training articles explaining that 97% of Network Marketers (that is people who work within an MLM) failed in this industry and the reason for it was the out-dated marketing methods being taught by uplines and businesses. meetings and prospecting in highly populated public areas such as the Mall (what’s funny is I read a few stories where people had been ejected from public areas for bugging the public about their business opportunity). Obviously i was irritated, thinking “well, if the succession rate is only 3%, how in the hell do I stand a chance of succeeding”. Knowing that, for some bizarre reason I continued my research of a good business model to promote and join. Through research and common sence it had come to my attention that Social Media was a must for Network Marketers nowadays due to its increasing potential for people to promote their business on these Social Mediums. Knowing that I created accounts at Twitter, Facebook, Youtube and Myspace.
Close to a day later I received a message from a Network Marketer called Kevin thomas telling me “tired of being the 97% that fail? Learn what your upline wont teach you and use these secret marketing techniques to become the 3% that succeed”. Obviously I was stoked and excited. Long story short, I clicked on his link, taking me to his website where I began to learn the secrets of marketing online, prospecting the right way and producing several residual income streams. If you havn’t yet worked out what business model I’m taking sides with and recommend to you, it’s the MLM business model, as it has a high earning potential with low start up costs (In my humble opinion) So without any further explanation, following these 6 simples steps will help creating unlimited residual income and success:
1. Choose the right Business Model/MLM Company
Now this may not be the most important part to creating residual income online, partly due to the fact that among the best MLM companies the product should be of good standard and the main factor for success is not what you sell but how you go about selling it (In most cases). With that said, I would recommend seeking out a Company that has been about for a while and preferably has a product which you are more inclined towards or can relate to. The reason for this is 9/10 pre-launches fail, and getting yourself involved in this will only have you looking for another Company a few month down the line.
2. Brand Yourself, not your business opportunity
You may be thinking, “what are you talking about? You’re supposed to promote your product or opportunity”. WRONG! Studies have found that using something called Attraction Marketing (The Law of Attraction, I highly recommend you read up on this) is a far more effective method. This method includes positioning yourself as an Industry leader by providing real value (this could be training, free reports, consultations or newsletters). What this does is put you in the lime light, financial freedom. Learning to market and brand yourself will have prospects poring from the tips of your fingers wanting to join you. I want you to ingrave this into your brain as it is crucial to success “People do business with people, they don’t join companies, they join people”. Provide value and you will become that sought after leader.
3. Use the Internet
Plain and simple the reason most at fault for creating such a high fail rate in the MLM industry is the old-school methods being taught to prospects, which forces them forget the recruiting potential of the internet, focusing only on recruiting offline which inevitably leads them to failure. Not knowing that only around 15% of people have a Type A personality that allows them to thrive with offline marketing. The same people who will call 150 leads only to receive 1 yes and 149 no’s, knowing that the next set of 149 leads may be no’s before he reaches another yes, do you want to waste your time doing that?. The internet has made this industry far more accessible to your average joe and if you aren’t using it, your missing out on a lot of profit.
4. Duplicable System
In order to become successful in this industry, you need a marketing and lead generation system in place. There are 2 ways to go about this, you could spend a lot of time and money in either creating or outsourcing your own system which has no guarantee of working, or you can plug-in to an existing proven system that has all the proper marketing and lead generation materials already. The key here is to be able to recruit your prospects into a Duplicable system where they can immediately plug-in and start learning without you having to be there. Lets be honest, if you had to stop and teach every person you recruited into your business and how to create their own system, they’d either quit or you’d lose too much time. By plug-in them into an already proven marketing and lead generation system, your downline can begin to learn and funnel their own leads into the system and business while you spend time on more productive tasks. Remember, your success is only as good as your downlines success, the above does not mean you should neglect them when they require help.
5. Other Multiple Streams of Income
Another reason for the majority crashing out of this industry within the first few months is the lack of money available. With an MLM company you have to purchase an auto ship on a monthly basis, but most are not able to recruit enough people into their company to cover those costs and are forced to quit and find a job to supplement that loss. By learning a method that will allow you to profit from 95% of those who say no to your primary business opportunity you can produce enough income to cover costs and some even make a living from these income streams alone, sounds good right?
6. Focus, and stick with it
Statistics say that 95% of those who stick with their MLM Company eventually make 6 or 7 figure incomes yearly, instead of going from opportunity to opportunity on a monthly basis, stay focused, stick with one and you will succeed. There is no quick and easy route to make money, no corners you can cut or no special magic potion, this industry does take some effort but if done right the income potential can be limitless!
To Your Success,
Jason Perez O’Connor, Attraction Marketing Coach.