Passive income definition simply means the earnings or income that a person gets on a regular basis and which requires little or no stress to keep up. Passive income definition can also mean money received from a rental property, partnership with people or big establishments/organizations in which the person is not particularly fully involved in. In addition, passive income definition can also mean a way of receiving income with little or no effort. In any case, the passive income definition is similar in nature but all of the passive income definition sums up to making money from a business which does not require your full attention and commitment.
Passive income is an extra source of income opportunity which majority of people engage in. It is often said that it is not ideal to put all your eggs in one basket. Passive income is a means to make money on a part-time basis without having to put in much work. In passive income, your leisure time can be turned into money. When fully established, you can even be making tons of money while sleeping.
Top Passive Income Ideas that are easy to start for anyone
This is an online business idea and also a leading source of passive income for those who are serious about it. Affiliate marketing simply involves creating a link in your website whereby people can purchase a product or goods. When the public purchases the product, you get paid some amount of commission. Some example of some top affiliate marketing sites includes Jumia, JiJi, OLX. Majority of the people I know of makes over $500 from affiliate marketing every month.
The idea that comes with affiliate marketing simply involves promoting other people’s product whilst you get paid for each product sold. Revenue sharing is the basis of affiliate marketing. The promotion of the product or the creation of the product does not make you an affiliate marketer. In each case of both creating or promoting the product, you still make a profit because of the revenue that will be shared on each product bought by the public. You can also become an affiliate marketer for more than one product, and you do not have to be actively involved. You can even receive your commission while you sleep, all it requires for you to earn is the public purchasing the product you put on sale on your website or through a link. This is one fantastic way of making passive income anywhere you are.
This is one of the most talked about passive income ideas. As the name implies, it simply means you will buy a building or build as the case may be and then lease it to someone for some amount of money. This passive income business does not need your presence at all, you are only needed whenever someone wants to hire your building. You can build a hall and rent it out. You can also build a school and rent it out.
Take for instance you build a very good hall furnished with the latest things as well as very spacious. Anybody who wants to organize one of the birthday parties, wedding receptions, anniversary and so on can patronize you. If the person is impressed with the hall, he/she will put a call across to you and inform you that they want to rent it out for a day or so. You then give them the price, and once they pay the required amount of money, they are free to use the hall until the due date.
The same thing applies when you buy plastic chairs, tables, canopies and so on. If a party of any kind wants to be conducted, they will contact you for rent. After they have paid the agreed amount of money, then the chairs, tables and other things that come with it would be given out for their use.
The rental business is a type of passive income that does not require your presence or your participation. You earn whenever you give out your chairs, tables and canopies for rent. In addition, you can also rent your personal pieces of stuff out whilst you receive money in return. Some people might want to be needing your best and attractive clothes, your pieces of jewellery as well. You can rent it out to a trusted person and get paid for it depending on the number of hours the person wants to use it for. Earning passive income from the rental business on personal pieces of stuff is what you can find amongst students in schools and also the youths of this generation today.
Selling of e-book is another top way to earn passive income online. You have the option to either write a book and sell or create contents from other people book. Whenever you write an e-book, you put it online on different web pages. Not forgetting that you must attach a price to it for people that would be willing to purchase it from you. You are required to put in your bank account details as well as contact details so that the buyer would be able to get in contact with you when he or she is interested in the e-book. Whenever you are paid, you would then release the book to the person that bought it in PDF format.
To make sales in the e-book business, it is best advised that you create eye-catching contents so that if anybody comes across it, he or she will not be able to resist it and then purchase it. Publishing your book in sites like Amazon is a sure way to make sales and earn passive income the more. E-book selling idea is very profitable because it could mean you would be earning for a lifetime. You could literary be in the beach on a cool sunny day and be relaxing while your bank account is been credited with money from the buyers.
Creating a youtube channel
This type of passive income idea is slowly been practised by a majority of people in the world. Since they now see the income youtube channels owners now make, they are then pushed to start up their own. You can earn passive income from your youtube channel when you add adverts. You practically do nothing to earn. It only requires you to upload eye-catching and interesting videos that can attract users of youtube. Not forgetting that an advert must be embedded in your youtube channel video. Whenever anybody clicks to watch the video you uploaded on your youtube channel, your earnings increases and you get paid for it at the due time.
The important key to earning passive income from youtube channels creation is to build a massive viewer base for your youtube channel as well as getting enough subscribers. When you have many people viewing the video you uploaded, then your income would be ever increasing every minute or hour. Try and upload many videos at the beginning and watch your passive income grow as people view your videos.
Let others run your small business
Majority of people both in Nigeria and other parts of the world engage in this type of passive income. In this case, you are not required to run the business you decide to open. You can either buy a bus, then you will employ somebody who would run the business of having to pick up passengers and delivering them at their destinations to be paid. You would collect the majority of the share of the money because you are sponsoring the business. The collation of the money can either be daily or weekly depending on how you want it.
While sleeping in the comfort of your home, the money will be coming in. There are varieties of business you can start up and receive money while others run the business for you. Your presence and activity will not be needed at all in this case. You earn based on what the person running your business is able to achieve in a period of time. You can only earn high passive income from this idea if only the person running your owned business is really serious and determined to move your business forward. So in that case, get the right people so that you can be smiling to the bank while you sleep.
Is imperative to have passive income
Passive income means income that you receive or get regardless of whether you are working or performing an activity or not. Though passive income in most cases isn’t very lucrative; I must tell you that it is very important to start up. Let us think about it, in this economy of ours in Nigeria where everything is difficult especially to make money, passive income will really help in curbing your financial struggles. Passive income an added way of becoming rich because it supports you financially during your day to day struggle of life. The reasons why it is imperative to have passive income includes:
It gives you freedom of time
Time is the biggest asset of the human life. Everyone has a time of carrying out one’s specific duty and task. It is often said that time is more precious than money. But actually, it is a time that brings money. Having a passive income, time is not going to be necessarily important to you again. When your passive income is established, you would not have to be present and active to be receiving money on a daily or weekly basis. With passive income, you can create time for other things that are very much important to you e.g your family, school and so on. You would have the capacity of choosing when you want to work or not. Time is one big factor that comes with having passive income.
It provides financial stability and growth
Yes, passive income enables you as an individual to be financially stable. With passive income, you can purchase the things that seem costly to you and also you can use it to take care of your self and your family. With the active job you do added with a passive income, you are good to go in terms of financial demands from different places. Some people are actually rich as a result of having passive income. You too can become rich when you have the right passive income idea.
You can work from any location
Passive income makes it possible to work from any corner of the world. In passive income, your location does not matter. Since you can earn passive income while sleeping, you can also earn a passive income whilst you are travelling or whenever you get to an all different location. If you have a phone for communication and a pc, then your problems are solved in this case.
This article was written to educate you on passive income definitions as well as passive income ideas and the reason why it is important to have a passive income stream.