Passive Income: The Check's in the Mail...
I remember the first time I got a check in the mail from a passive income deal. I remember how good it felt to cash a check that had nothing to do with my job.
Each month I ran to the mailbox to get another check. It was only $700 per month, but it felt like a million dollars.
Basically, I bid on a Federal Gov't contract for gravel. I got a quote from a gravel supplier located near the delivery site and I negotiated a price that was $700 less than my bid to the Government. I won the contract!
The gravel supplier delivered the gravel to the Government each month and I got paid $700 each month. I never touched any gravel and never even met with the Government or the supplier. It was a beautiful thing.
Making money while you sleep...
Then there's the time we convinced the property manager of an apartment complex to let us place vending machines at the complex, for residents. We then contracted with Coca Cola to provide the machines and even fill the machines for us.
Coca Cola sends us monthly commission checks as a percentage of sales. The more locations we get the greater our monthly commission checks. We're making money while we sleep. I love it!
Buy low and sell higher on credit...
We recently acquired some real estate for cheap and sold the property to an investor on contract at 9% interest. The investor is responsible for paying the property taxes and insurance. He sends us a check each month.
We learned this strategy from the book "Rich Dad, Poor Dad: What the Rich Teach Their Kids About Money that the Poor and Middle Class Do Not!" by Robert Kiyosaki.
I highly recommend you read this book. As I've said before, it changed my life!
If you decide to start a business to get passive income, I recommend you read "The E-Myth Revisited" by Michael Gerber. by Jon Goldman.
These books both demonstrate the importance of setting up support teams and systems for your business to run without you. Instead of being self employed, make sure you own a business; not just another job.
I guarantee you, once you start getting those monthly checks in the mail, your mind will become flooded with ways to make money. But in case you're stumped for ideas, here's a few ways to earn some residual income:
One of the most important steps to becoming financially free is to make your money work for you, instead of working for your money! Get passive income. After all, who's the boss, you or your money?