We all have heard of the advice to never put all the eggs in one basket. The statement could never be more truthful than in the modern age. As entrepreneurs, the quickest way to become a millionaire is not necessarily making a product that has high-profit margins. Instead, having multiple revenue streams is what would truly help you accumulate wealth.
But How to create multiple streams of income for business? No worries, here are four ways.
1. Account on How Much You Can Monetize
By creating multiple revenue streams, I don’t mean that you should start mini businesses. A good first step is to know first how much of what you have can be monetized. Simply realize you could open yourself up to a ton of ideas on how to bring in an income. “Got a spare office space? Rent it off as a coworking. Got old training videos? Bundle them up and sell it as a course.”
In a nutshell, stock of each resource you have to offer. You can also consider how a consumer may benefit, and build a business plan around it.
2. Take Note That Passive or Residual Income is Also a Revenue Stream
You need not possess all streams coming up from a series of products or services. There are various passive revenue streams that can continue to accumulate money on the side while you’re building your main business. I personally recommend building these passive revenue streams by adding different categories of income.
There are many examples, but consider streams such as from royalty income, in which you own intellectual property like research and music or dividend income, in which you own stocks or interests in businesses that pay you a percentage of their profits. The options are many, you just need to wise while choosing.
Remember, most of the work on such streams is done upfront. And then they work for you in the background.
3. Aim to Create at Least Five Streams
Never forget that “Think BIG” mindset which is threaded in your entrepreneurial veins. It’s great to have more than a single revenue stream, but it’s better to have, well, five of them. You’ll be surprised by the fact that an average millionaire has almost seven passive income streams.
As you’re continuing to aim for five. I recommend building resources and blueprints that can eventually help your customers. In other words, continue to diversify product offerings. This will not only increase your revenue but would too help me create a diverse company portfolio.
You know more than you think you do. So think about how you can share your expertise in the form of courses or informational packets. Remember, information distribution always makes you money, be it a blog or an ebook.
4. Ensure at Least One Income Source is Fully in Your Control
As you continue to diversify, I would recommend keeping at least one income stream fully in your own control. To be more specific, make sure that you’re not relying on someone else’s performance of products in order to thrive.
It’s damn easy to build up passive streams. But do make sure that there’s one source that’s your real money maker. Having one stream dependent on your own resources and talents will keep you in control of your own wealth as well.
Using these strategies can help you think through the ways to grow your revenue streams. Note, more streams = more revenue.
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