Start-up Strategy for a Home Business: Diversify

Earning income online from home can have many options. Many people believe that ‘residual income’ is one of the smartest ways to go. This belief is based on the fact that when you make the sale once, it can represent a monthly income as well. Affiliate programs are a prime example. You are paid a commission when someone joins a program using your affiliate ID. (in your downline). Then each month when your downline pays their monthly fees, you get a percentage of that fee as a commission from the affiliate program. This is what they mean by ‘residual income’.

go with the flow
Another type of income you can add to the mix is OTO or ‘one time only’ income. This is where you would be selling a product one-time only. You earn your commission on that initial sale only. You can offer special deals for additional products at the point of sale. For example if you sold an electronic devices like a smart phone you could also offer a leather case for the phone. This is a convenience for the customer in that it is a ‘one stop shop’ and also increases your income for the sale.

‘Multiple streams of income’ describes a business that has more than one source of income. This could have a format where you might have one thing from each of the product types described above. Or you may wish to have a collection of affiliate programs, creating an opportunity for ‘multiple streams of income’ that way.

This concept is very smart in the event that one program or product is not doing so well. It’s okay because another one might be doing well and will cover the shortage in income from the slow program. Some programs base things on volume – the commissions may be small, but if you have volume, it won’t matter. For instance, while $5 is not much of a commission, if you can make 10 sales you have $50. If you are doing things right it is just as easy to make the sale 10 times as once.

It can take a while before you have time to do sufficient advertising that will generate substantial income. This may be discouraging in the beginning. You may be spending money on various services and are not realizing any return on your investment YET. You could structure your business in a way that you have some free programs and you can also discover ways to advertise them for free or extremely low cost. The object is to make a little money to cover expenses while you are building your home business online.

Programs like Clickbank and Amazon are two that are free to join and include most of what you need to start a business selling tangible items. There are a lot more details to consider than with an affiliate program. However something needs to give if you are going to make this work. You have to start somewhere. Don’t be afraid to make sacrifices in order to get started or maintain your business.

Home Business – Go Forth and Prosper

With your own home business, you can go forth and prosper no matter what happens on the surface. Unlike a day job where they may eliminate your position, you are not ‘up a creek without a paddle’. With your own business, especially if you have chosen to follow the ‘multiple streams of income’ strategy, you can just choose a new opportunity to replace one that has been lost.


keep going forth
Particularly with the ‘affiliate marketing ‘program model you do not need to miss a beat. Everything to get started is provided to you as part of the membership. It would be good though if you had done a little research previously so that you do have some information about your new opportunity.

There is certainly no rush that would make it necessary to go into something without knowing anything about the company, principals, reputation and product. So if you haven’t so far done this, you really should run a few queries at Google.com on possible business opportunities.

Because of the way things are always changing online you should be prepared and well-informed especially about the programs/products you already have and certainly before you take action to add another business opportunity.

There are some pretty strange situations that may arise and which may impact you. You need to ‘watch’ to see something coming down before it reaches crisis proportions (especially if you have money you need to recover if the company tanks).

Be sure to read the details – the real story and not just rumors and innuendos. In almost every case it is not the program or principal who has caused the trouble. Seriously, they are usually paying as agreed and both the program and the members are doing great.

Honestly in 99.9% of the problems it is a 3rd party that is the cause of the problem. It can even be the government or bank that confiscates the funds while they ‘investigate’ their accusations (and usually nobody ever sees their money as it is spent on legal fees, court costs, etc.)

Recently a very good company has imploded and then additionally been the victim of multiple scams to ‘straighten’ the issues out for them. Really sad what bottom-feeders will do even to people already being victimized (the company and members).

So the point is don’t rush to judgement, but do pay attention and try to get out with your assets if you can, ASAP. You are not the captain in this case, so no reason for members to go down with the ship although many times there is nothing anybody can do to avoid it.

Build a Biz – Be Multi-Engaged

Sometimes it takes a silly image to convey a thought when there may be no word coming to mind. Here we have a robotic being where he has multiple arms and feet. He doesn’t merely walk the walk – he is actually doing something useful with every movement. He is purposeful at all times. His game is always progress and to transcend.

To try to demonstrate how someone can become like one of these powerful beings, this might include that while doing regular account monitoring – checking your commissions and prospects in your affiliate programs, making sure you website is up and running, etc., you also take some time to see if there are any new advertising and marketing services that you might add to your arsenal.

You may also at times see if there are any new opportunities you might add to your portfolio with the possibility of earning more money. While the most important thing on your agenda has to be what you are already doing, you should also keep in mind you could be doing more. This includes even joining free programs that hold some attraction in what they may provide free. Take some time to look them over and of course see what you can do to progress either at the free or upgraded level if the program looks promising.

Multiple streams of income is a brilliant concept. Let’s compare – your salary from your day job. It is always the same; unless of course you are in a position where you may also earn from over-time income projects. These are great but not guaranteed or something you depend on in your monthly budget. (unless you are feeling very, very tired and getting used to working more than 40-hour weeks).

When you have your own home business online, there are no limits other than what you can perceive and support with your actions. Very few if any programs will do anything for you unless you work at it. Learn it, find out what to do, do it, and then keep it up consistently until you see results.

Don’t stop at results! This is just some encouragement to show you that it does happen! Keep up the good work and do more of what you are doing and always try to find more things you can do – whether it is for the programs you are excelling with or ones that haven’t really shown their true colors yet!

Multiple Streams of Income

This is really a simple concept that has been used as long as there has been business. Why do you suppose when someone opens up a retail store they have lots of different options? So that there is a greater chance that everyone will find something they want or need — to multiply the chances of making a sale.

multi-money

There are other reasons why the concept of multiple streams of income is brilliant for any business. For example, the one most often quoted by Internet affiliate marketers, is the idea that if one thing is not doing well, something else may be doing great. Hence the bottom line will not suffer.

If you have a portfolio of programs that you promote for referrals and sales, you can use any one of them as a ‘funnel ‘program. That means that you may have attracted a particular customer to one individual opportunity and now may use that ‘inroad’ to approach them about another one of the programs you are promoting.

Many times particularly if you join a free or very low cost program, the commissions until you upgrade will be paltry. With multiple streams of income you would look at them as an aggregate. That is adding together all of the small sums from your various opportunities you will come up with a nice amount of money after a while.

This is also an incentive to work very hard to keep your sales volume up so that you add together all the small sums; whereas looking forward to a $1 commission would be a little difficult to get excited enough about to continually keep yourself motivated.

Multiple streams of income is a very productive concept because again, you have a greater chance of attracting more people than if you have only one narrow niche or market to offer people. There will be those who may have some objection to some program because they have heard something negative, or because they do not like a product. No need in losing their business completely if you have something that they can like.

It is important to note here that having one website or business ‘umbrella’ that has all of your multiple streams of income included, is the only logical way to handle this. If you try to look at each program individually and feel you must promote them separately, it would be very cumbersome. You would be duplicating your efforts over and over again for each business.

If you look at it like one business with multiple streams of income, then you can do everything to advertise only once. Make sure your site is well-organized, with menus and sitemaps so that people do not become confused when trying to find the program that they are after.

Multiple Streams of Income – Mix it Up and Shake Well

In stock portfolios there are usually a combination of investments included to earn money. They ideally balance each other out more or less. Some vehicles are riskier (stocks) but can make (or lose) more money and some are more stable or less volatile (bonds) and therefore earn less. What usually drives the decisions made to develop the portfolio are whether you need to accept the higher risk to earn the most money, or whether you want to (and can afford to be) more conservative with less risk.

This is the same type of concept you should consider when developing a business with multiple streams of income. You should balance it out with some free programs, some inexpensive programs, and as you build your portfolio, you could add some programs that have the capacity to earn higher commissions. These higher-earning programs probably cost more to participate in. Sometimes you can make money quicker with one-time-only sales and to build your downline with free programs while you take the time to develop more permanent, long-term relationships with higher-value programs.

Another consideration is that although residual income is better for your bottom line than one-time-only sales, at the same time it is easier to make one-time-sales than it is to find people willing to make a long-term commitment for residual income. Residual income is income that you make after the initial sale, from that same transaction. For example when you refer someone to a program that has a monthly fee to participate, you usually would receive a percentage of that. One-time-only sales are just what they sound like. Each one has its good and bad points and therefore that is why you want to balance things out.

On the one hand you could say you might have to do less marketing and advertising with residual income as the one sale keeps generating income over time. However there is a great deal of turnover where people quit after a month or two or more, and you shouldn’t wait for that to happen before you start trying to find more sources of income.

On the other hand you can say since it takes longer to build residual income, it really works if you have some quicker sources of income to tide you over in the meantime, at least to cover your operating expenses. Some examples of these are survey programs (cash), clicking for credit programs (advertising), and selling tangible products for free affiliate programs like Amazon and Clickbank (cash).

Naturally if you can provide some services as well, this just adds to the many ways you might be earning money online. Examples of this are ghostwriting, doing SEO campaigns, posting to blogs, creating social network campaigns (ads, posting links, etc). If you really stop and think about it you can really have a nice mix of income sources which may be temporary or permanent depending on your preference.

Multiple Streams of Income Can Bridge the Gap

Mostly when we hear a about the concept of multiple streams of income we are talking about affiliate marketing business opportunities. This is a very sound theory that includes the ideas that if one program isn’t doing great at any time, the other programs will make up for it; just the fact that some commissions may be small for some programs, but if you put them together with others they even out pretty nicely.

Another way to see this multiple streams of income concept is in having for example a day job and a home business, both earning income, and/or if you have lost your main source of income and need to earn money to survive while you find another. It actually fits very well with the idea of working temporary jobs or contracts on a flexible schedule, while looking for a permanent full-time position OR building a home business!

Temporary positions can be long or short term, full or part-time. Either short term or part-time will give you the freedom to search for a job, go on interviews, etc while still earning money ‘in the meantime’. This can also work wonderfully if you have unemployment insurance, and this usually has parameters – a certain amount of money weekly for a set number of weeks (depending on your work history, etc).

There is actually a lump sum dollar amount that corresponds to this process. If you declare your part-time income from temporary assignments, then they will deduct what you earn from your unemployment benefits. It is not that you lose them — you actually save the number of dollars you have earned and thereby lengthen the term in which you will receive benefits. So by working part-time, for example, you can take 12-weeks of benefits and turn them into 16-weeks.

This gives you more time to decide what you want to do. Do you want to work permanently as a temporary part-time and run your home business? Or do you want to find another full-time job and run your home business part-time? Another good thing about temporary work is that you ‘get your foot in the door’ in businesses and may be privy to information about all of the available positions there It could perhaps go a long way if the department you are ‘temping’ in speaks highly of you to a hiring manager.

The thing is though that it is so much fun and so liberating to work at home and if you want that to be your focus so that you can eventually do it full-time, you may start getting pickier and pickier about your job interviews. You may even find yourself ‘self-sabotaging’ the interviews – completely sub-consciously – because you really do not want another job and although you need the income, there may be multiple ways you can get as much as you need!