3 Ways Network Marketing Is A Passive Income Business
Making money without working can be known as a passive income business. There are many ways to do this online today. Network marketing is one of those opportunities, but initially you do have to work.
This brings up the question of when does a network marketing opportunity become a passive income business? Let's discuss a few of the things that go into making this type of opportunity passive.
1. First of all you are going to have to work to build your business up initially. How involved you choose to be is up to you. Today outsourcing makes it possible for you to build a large network marketing business without doing much of the work yourself.
2. Use the Internet to develop leads. This is much easier than cold calling off of a lead list or calling friends and relatives. The hard part is actually cultivating the leads.
The top network marketers today let the Internet attract prospects, and then sort through them. Most of the initial follow up is done via an autoresponder.
As a matter of fact there are people earning seven-figure incomes per year who have never personally spoken to anyone or enrolled them. They let the Internet sponsor people and do all the follow-up training.
Once you get to this point you really do have a passive income business because you take advantage of Internet marketing.
3. What is residual income? This is getting paid again for the work you do one time. In an mlm business it is also referred to as a walk away income.
In the past very few people ever achieved true residual income. This was because most people never personally enrolled enough distributors to build a large downline.
Today that has changed because anyone can use the Internet to build a large group of personally enrolled and downline distributors. You can even reach a point where you could choose to no longer actively pursue new distributors and your income would continue to come in.
True residual income is money that will be there next month just like it is this month. When you reach that level you actually have a passive income business working in your favor.
The reason large numbers are needed to sustain this is because there will always be people dropping out of the business. Products need to be moved on a wholesale and retail level and that is why you need a large number of distributors underneath you doing that.
One final key point is to note that it is possible to be involved in more than one network marketing business. The more income streams you have coming in the more you will develop a passive income business from MLM opportunities.