Are you working for money? One important reason why people struggle financially is because throughout their schooling life they are drilled into thinking taking a job is the best way to earn money.
This results in people working for money, trading their precious time to money. Most are so caught up in this paradigm that some never consider a passive income opportunity.
What is a cb passive income review?
They are simply ways for you to earn money even when you are not doing anything, even when you’re asleep. You put in the effort once and you continue to get paid again and again without you having to put in more effort on your part.
An example of a passive income opportunity is you putting in the effort to build a successful online business. It continues to generate income for you as long as your business is running, whether you are there or not.
As Robert Kiyosaki said, passive income is your money working hard FOR more money FOR you.
Taking on a passive income opportunity is the key to financial freedom, but it’s important to evaluate them.
As we all know “get rich quick” scams are all so common these days, and there are so many out there. It’s important to know what to consider so that our time is well spent on a passive income opportunity which will bring us real results in the long run.
Here are the 2 criteria’s to evaluate a passive income opportunity.
1. Right Market
One important point to evaluate a passive income opportunity is to make sure that the market is of considerable size and has lots of growth potential. When you have a huge market, there is enough of everyone, and you don’t face breakneck competition.
For example, the personal development market is an US$64 billion market. And just how big is 64 billion?
Let’s say you have 1 million seconds of free talk time for your mobile phone plan.
Assuming you use the phone 24 hours a day everyday, you will use up your 1 million free second talk time in 11.5 days.
What if your plan gives you 1 billion seconds of free talk time?
You will need 33 YEARS to finish using the talk time!
If it’s 64 billion, generations after generations from your family will be able to use your free talk time.
The personal development is one example of a very large piece of cake. You take a knife and make a cut, the residual on the knife itself is A LOT. You do not even have to make a slice! Taking on a passive income opportunity in this market is an excellent way to go.
2. Right Guidance
To make full use of a passive income opportunity and to achieve results quickly, it’s imperative to receive the right guidance from people who have already achieve success in building streams of passive income.
If Robert Kiyosaki did not have “Rich Dad” guiding him, do you think he would be able to achieve his current standing today?
I have spent a year and a half trying out passive income opportunities on my own. My first attempt is opening up an online retail store selling wooden toys, but I have no mentor to tell me that wooden toys is a highly competitive arena and my small little online store will be competing against giant online wooden toy malls which buy their supplies in bulk and sell them at prices which I couldn’t compete in. I wasted an entire year’s worth of effort and money.
Mentors are VERY important in helping you take the right directions and the mistakes to avoid when you take up a passive income opportunity. You will save SO MUCH time and effort when you leverage on your mentor’s experience.
From this article, I hope you realize the importance of these 2 criteria’s when evaluating a passive income opportunity. Make the right choice, don’t waste time and leverage whenever you can. All of us have only 24 hours a day, so spend them wisely.
Kai Wei has found the right Internet-based passive income opportunity. Competing in the $64 billion industry of personal development and having the right mentors and resources to guide him, Kai Wei is very well on the way to building a sustainable stream of passive income.
Passive Income Streams – What Are They and How Can You Get Them?
It sounds fantastic, doesn’t it? The very idea of a stream of income that is passive is incredibly attractive and seductive to any thinking person. But just what does passive income really mean? Definitioins of the term “Passive income” on the Web vary, but my personal favourite is found at Wikipedia which seems to cover most bases.
One obvious example of passive income is the interest accrued by a savings account – this is all very well while you have savings in place, but the problem with this kind of income is that it is residual, meaning that in order to maintain the income stream, only the residual part can be used.
If you fall upon hard times or the interest rate drops dramatically you might have to start spending your lump sum, then of course the passive income disappears along with your savings. Not an ideal situation and it demonstrates the fragility of residual income.
The best kind of passive income then is continuous and does not rely on a lump sum. Once the wheels have been set in motion then no further action is required for the income to be generated, or as the Wikipedia definition states; “without continuing effort” – Quite simply, it happens all by itself! Sounds good to me, but how is that kind of passive income model created?
There are a number of ways, but probably the most well known are royalty payments earned for creating popular songs or best-selling books. We’ve all heard of the massive royalty cheques received by songwriters and top authors. But hang on a minute; does that mean you have to write a hit record or a bestselling novel in order to generate passive income?
Well, if you have the talent, along with the patience and perhaps a bit of luck on your side, then by all means go for it. However, most of us fall short of one or more of the required criteria, and the number of people earning a living through this kind of passive income alone are in the minority.
One thing that cannot be overlooked is work. Don’t be fooled into thinking that just because your time is not directly traded for cash that no work is required on your part. In most cases a great deal of time and effort has to be expended before even the smallest amount of passive income is realised, and this kind of ‘up front’ work without any obvious instant rewards will put many off before they even get started – after all; who wants to spend their evenings researching and writing articles for a Website when they could be out socialising or relaxing in front of the TV? Only the very dedicated, I believe.
However, the Internet, or more specifically; the World Wide Web offers up opportunities for the passive income seeker that would have been unheard of not so very long ago. Many unseen and unknown Website owners are silently raking in huge profits as a result of allowing advertising on a popular site.
Imagine the earning potential of PPC (Pay Per Click) advertising on a site that pulls in 100,000 visitors per day, or the fee that could be commanded for a prominently placed banner on such a site. That kind of result surely justifies any amount of up-front work? Let’s not forget though that a successful Website requires ongoing work to remain popular so it might not be considered the perfect example of a truly passive income stream model.
Some passive income streams can also be very small, requiring a combination of streams to make up a full time living. This can again be seen on the Internet when a webmaster has a number of Web sites each making a small amount of money from advertising (most recently AdSense has been the favourite) – In examples such as this it is the combined force of these smaller revenue streams that make up the overall income.
On the face of it, this is not such a bad idea when you consider that if one of the sites fails it does not have a major effect on the overall earnings of the site owner, thereby avoiding financial catastrophe. For the belt and braces approach a number of different advertisers would also be combined, so that (as in this example) AdSense is not the only source of revenue.
The conclusion is that passive income although desirable to most in theory, will require some up-front effort to achieve, and not everybody has that discipline. For the person that is both disciplined and determined there are different ways of creating passive income streams and the World Wide Web offers one of the greatest opportunities of our time including the possibility of drawing income from a number of sources and combining them together into one larger sum – this is the model used by many successful AdSense devotees.
However, it has also been seen that it is not always wise to put all of our eggs into one basket, and that a combination of different income streams could be the sensible option long term to cover the expenses necessary for living a fulfilling lifestyle.