How to Develop Passive Income in 6 Months or Less
vemuda.com - Passive income is a way of making money that requires little to no effort on your part to maintain. In other words, you get money for doing almost nothing. And as crazy as this sounds, a lot of people have passive income streams, and some even live on that alone.
This is the “4-hour workweek” lifestyle. You can travel the world and enjoy life by doing almost nothing. So obviously, the chances are that you'll only get here after probably, months or years of hard work. And anyone that tells you that you can achieve a million-dollar passive income in months with no hard work is lying to you.
|Source: unsplash.com by Alexander Grey|
Most of those so called “gurus” who tell you otherwise aren’t even millionaires themselves, and yet, here they are trying to teach you how to become wealthy.
This is not one of those post that are meant to confirm what you already know. My goal today is to teach you exactly how you can develop a passive income in 6 months, with no initial investment.
As crazy as this sounds, you can do it, as long as you play by the rules, work hard, and stay focused. There are many ways to develop passive income, and real estate and dividends aren’t the only solutions.
Now, in order to avoid giving you generic advice, I will stick to one method which I believe is more versatile.
Not everyone has to become an investor, and not everyone has to get into eCommerce. There are many strategies to get there and today I’m going to describe to you one of them: a service business.
So this isn’t your usual eCommerce or dropshipping business, this is something different that not many talk about, but that you should definitely consider.
1. Choose A Skill That You Can Offer Remotely
This skill might be anything from video editing to design, or even copywriting. It is totally up to you to choose a skill that you already know or at least have some level of experience with.
Today we are going to use the example of copywriting, but you really can use any skill that you want, as long as you can offer it remotely.
This means that you must be able to do everything from finding the client to delivering the final product online, without having to physically meet anyone.
This will help you develop a remote business with remote employees, and you’ll understand why soon.
2. Develop That Skill for 30 Days
You cannot decently develop skills in 30 days, but for this strategy to work, you don’t need to. You just need to get a basic understanding of how that skill works and how to make the difference between a good and a low-quality product.
In the case of copywriting, you should be able to write simple and effective copy and understand what goes into creating a decent copy, but you don’t necessarily have to become a master at it.
Anyway, the goal here is to be able to offer that skill at an entry or intermediate level. You have about 30 days to do this, and you can definitely do it online, for free, as long as you’re willing to do your research.
If you’re confused about where to start, begin researching random topics regarding that skill and then go deeper and deeper with time.
For example, if you want to develop copywriting skills, you are going to start with a “how to write good copy” blog post you found on Google.
You read it, but then you find out that you have no idea what a CTA is and how to get people’s attention with words. So you research CTA and find out that it stands for call to action.
But you don’t know what it takes to craft a good CTA, so you look for that. Get the point you just have to keep researching the missing pieces until you can’t think of anything that is unclear.
If you get to this point before the 30 days, you should probably pick up a book, read it, and then find more topics within your skill that you don’t fully understand, then keep researching that.
I think that you should go for at least 2 hours of learning every day, but the more you learn, the more you raise the chances of actually succeeding after the first phase.
3. Become A Freelancer
For the next 3 months, you are going to offer that skill to the market to the best of your abilities, to do this, you obviously need some time, to get used to the process and get in the habit of dealing with people.
You can definitely use freelance websites like Upwork, Freelancer, and Fiverr, but there are many strategies that you can use to find your first clients.
We’ll go over them in a minute, but first, there’s something you need to seriously understand.
4. You Are Risky
As a beginner in your field, you represent a risk to your clients. Why? Because you are asking them to commit to money paying you regardless of your little to No experience. This means that it is a lot harder for you to guarantee results, or to be believed.
So, people are going to ask for past work, samples, and so on. If you do not have any samples, I strongly invite you to create some.
For example, if you’re a copywriter, you can start making up some products and writing copy for them. Then you can develop a whole case study and add it to your portfolio. It isn’t hard at all, really.
Another good way to reduce the risk of your clients is social proof. This is real feedback from real past clients that talk about how good you are and how many results you can generate.
Now you’re probably asking yourself “yes, I get it, but how do I get these first clients?”
Simple: by using the third strategy to reduce the client’s risk: reducing the price.
You can literally use this phrase. “I know usually my competitors would give you higher rates, but here’s the thing. I’m completely confident that I can deliver results, and as you see from my sample work I do have the required experience.
I’m currently looking for client feedback and testimonials, so I reduced the price to invite you to write me stellar feedback at the end of our project if I do deserve it.”
Just remember that with your first 2 or 3 clients, your goal is not to make money. Your goal is to get that feedback and those testimonials that you seriously need in order to achieve a certain level of credibility. The thing is, most people aren’t willing to do this, because they have big egos.
But here’s the reality: the market decides what your real value is. If no one trusts you, there’s a reason for that. I mean, why should they? You have no experience, no past feedback, nothing to show. So you have to sacrifice a little in the beginning and overdeliver as much as you can.
5. Strategies you can use to find clients
Freelancing websites are great, but there are other strategies that you can apply as well.
Linkedin is, basically, the social media of professionals, entrepreneurs, and basically people that are trying to make some money or make some connections. It’s great for organic reach and, it’s basically a free marketing tool (just like Tik Tok), but it’s also fantastic to meet new people that could potentially become your partners or even your clients.
If you study your approach trying not to be pushy, selly or spammy, you are going to get more clients that you can handle. And that’s your goal.
b. Cold Outreach
Outreach in sales is the process of reaching out to people. Cold means that you are either sending cold emails, messages, or maybe making phone calls.
The distinction between “cold” and “warm” in sales is pretty simple. Warm leads are contacts that already know who you are, what you do, and what you sell.
They’re almost ready to buy, but they have some level of doubt, which you need to solve before you can move on with the sale, Cold leads are people that don’t know who you are and what you sell. Maybe they don’t even know that they need your product.
So, cold outrecìach is basically one of the most aggressive and controversial strategies out there.
But hey, i don’t care if you like it or not: it just works, if done properly. And basically anyone can do it, as long as you have a sales script, and a lot of motivation.
Probably the simplest strategy that we highly recommend is freelance. Once you get your first clients and you start making some money, it’s time for expansion.
6. Get More clients than you can physically handle
Do you know the law of supply and demand It’s a principle in finance and economics that rules the whole economy, even stock markets, real estate, and basically almost any product that you can think of.
The rule is pretty simple: if something is highly demanded, its price will go up. For example, if you’re selling your copywriting services and you have more clients than you have time in one day to handle, you are going to bring the price up.
By doing this you increase your profitability and you can actually filter the clients that have a lower budget, and keep the ones that can afford a higher price.
Follow me so far? Good. To get to this point, you have to remember one thing. Most business people and freelancers only look for clients when they desperately need them. That’s not how life works. The more desperate you are for something, the harde it’ll be to actually get it.
To solve this, you simply have to always be looking for new clients, even when your schedule is full. Why? Because of the law of supply and demand.
7. Get A Team
Now the passive journey begins. About 5 months are gone, you have a lot of clients, and you have some money. Now you’re going to hire a remote team that is going to work for you.
Your goal is to delegate the work to your team, and keep a percentage of the profits. All you would need to do from that point on is to keep track of progress, and decide who is going to work on what. After some time, you might even hire someone that manages the team, so you would literally have to do nothing.
However, I would personally keep an eye on the team for a certain time The rule is: “I will micromanage you until I will trust you 100%”.
To find a decent team that is going to be willing to go to war for you, you need your skills in place. For example, if you’re a copywriter and you’ve been looking for team members, you need to interview as many people as you can.
Before you can hire them, you need to be 100% confident that they know what they’re doing and they won’t ruin the reputation of your company with bad service and no results.
Once you get your team going, you have no limits, Every time you have too many clients, you just hire a new freelancer, you delegate the job, and you’re done. Makes sense? Good.
So, thank you all so much for reading. I hope you’ve enjoyed and found value in this post. With that said, have a great day, and I'll see you all in the next one.