Build a Strong Foundation With Residual Income

What is ‘residual’ income? It is income where you make a
sale one time and it generates income on a regular basis
going forward. Residual income can even be earned on
multiple levels. For example if you refer someone to an
affiliate program, you make a commission for a percentage of
the initial sale. In the future when your customer pays
their membership fees for the program each month, you earn a
percentage of that as a commission. With
‘multi-level-marketing’ you may also receive a percentage
of the commissions when your customer makes sales of their

So the idea is that you have income that continues to
generate as a result of that initial sale for as long as
your customer remains active in the program. This would
also be true if you were directly selling a service, for as
long as your customer continues to use the service.

Usually if you are selling products directly, these are
considered ‘one-time-only’ commissions, as you earn money
only one time when the purchase is made. Nothing wrong with
this but it does take much more work to build and sustain
your momentum to keep those one-time sales coming in on a
regular basis.

It is a good idea to have a combination of sales types and
the money all adds up to represent a substantial income.
However it does seem like a brighter idea to have residual
income – just in the way it is more efficient to plant
‘perennials’ that bloom every season after they are
planted once, than it is to have ‘annuals’ that you must
replant every year.

It’s fun that the plant analogy really does work so well
when discussing residual income too – because for example
when you have a perennial plant it will not only bloom each
year in the same place, but the wind will carry the seeds
and the plant may pop up in many different places.

With residual income it is the same in that you have
contacted the initial customer who then contacts others, who
contact others and before you know it you have built an
‘organization’ just from that one initial action that you
took by ‘planting the seed’.

Internet marketing and in fact marketing in any industry is
about generating lots of volume with your efforts. This is
because the majority of people will not be interested and
will not respond. It is a bit like the proverbial ‘needle
in a haystack’ in that you must weed through all the people
who won’t be interested to find the few that will.

Actually there are many that will respond over time – but
just as a percentage of the human population on earth, only
a few (million) are interested in starting a home business
or working from home. Remember as well that it is believed
that people do not usually respond to an ad the first time
they see it. It is approximately the 5th or 6th time. This
is another reason to always keep the volume of your
advertising turned up to the max. This week someone may not
be interested – but things are always changing and maybe
next week they will change their mind and respond to your

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