How to Create a Passive Residual Income
Most people join Network marketing companies to create a passive residual income.
There are some that perhaps join as a customer first and foremost but to intentionally build a team would usually mean having a goal of passive residual income.
However, the promises of easy riches and working part time to create a lifelong income is not exactly how it pans out for most people.
The Obstacles in Creating a Passive Residual Income
In most MLM/Network Marketing structures you get paid on volume of what you and your team produce each month. When you join a company you are usually told that all you need to do is find 3 people who then find 3 people and so on.
However, finding 3 GOOD committed people proves too much of a challenge for the average person as it’s a numbers game and you have to literally go through hundreds of people to find the 3 right people. So as it turns out you really need an organisation of thousands in MOST cases (not all) to be able to create that stable long term passive residual income.
A lot of MLM/Network Marketing companies also suffer from what we call attrition because many people quit often within the first 90 days. This is really just a fact or reality because its a rare breed of people that will see something through with commitment and persist. Just like any other industry about 1-2% of the people will create a success in that particular industry. Attrition then creates a vicious cycle as the fall out often will escalate upwards leaving a trail of volume decline.
The Passive Residual Income Solution
There is usually a number of ways to make a passive residual income within a Network Marketing company and they are retail sales, sign up bonuses and team production volume residual.
Retailing the products is often the first obstacle that the average network has to overcome as most people are not good at sales and they are often stuck with trying to sell over priced products that in times of recession that the average person simply can’t afford or will find a way to cut out of their weekly budget.
Solution: Work with a company that works on people’s needs and not wants.
Sign up bonuses is reliant again on people having or finding the money to sign up and therefore your upline or recommender will receive a commission.
Solution: Work with a company that has NO sign up fees, no monthly auto-ships and no annual fees .
Team volume bonus is the biggest challenge for most Networkers as duplication is critical for this type of comp plan but more often than not its the few doing a lot and many not doing anything. You are constantly required to try and motivate your team and work with them endlessly to help them move some products or sign up people.
Solution: Find a company that pays a residual income on everybody’s every day expenses. Turn your every day expenses such as fuel, groceries, clothing etc into a passive income.
People will always shop no matter what. You don’t need to motivate people or ask people to sell products that are over priced when you find the right business model that pays you a life time passive residual income on every day expenses.
Until recently I wasn’t aware of such a business model – even though it has already existed for an entire decade.
To learn more about how to create a lifelong passive residual income (true walk away passive) then CLICK HERE for more information.