Are You Wasting Time Building Your Residual Income Business?

Success with a residual income business in the home based income industry comes from continually getting your business in front of lots of people on a consistent, regular basis.

The problem is most people spend all their time trying to find people to talk to (spending all their time marketing, whether online or wandering around in shopping malls offline, etc) which then leaves them with little, or often NO time to actually talk with people about their business (presenting the business).

Even for those online marketers focused on creating leads for their residual income business: what good is it to spend all your time learning and actually generating leads if at the end of the day, you have no time left to actually call and talk to them?

As we all know and have heard hundreds of times, this is a relationship business and you need to communicate and connect with people directly in order to grow a thriving and profitable home based income that you will eventually be able to walk-away from (residual income!). That’s the ultimate goal, right? Or is it to see who can create the most leads??

So with that realization, what do you do?

How to Best Spend Time Building Your Residual Income Business

If you’re involved in some online marketing right now in an effort to generate leads, continue to do that but cut back on the amount of time you spend doing it each day so that you have ample time available to actually progress forward with your residual income business each day, ie, time for prospecting and presenting the business.

A good rule of thumb – maybe something to shoot for if you haven’t been setting aside ANY time to talk with people – is the old 80/20 rule – spend 20% of your time finding prospects (marketing online or offline, etc) and the other 80% of your time actually on the phone talking to people, leading and directing them through your presentation so that you can actually have people sign up and join you.

So if you’re marketing for one hour a day, you need to be spending nearly 4 hours talking with prospects if you want to make serious money with your residual income business.

Not spending enough time on the phone talking with new prospects is what separates the 99% from the top 1% – where do you want to be? Adjust your priorities, adjust your activities and you’ll therefore adjust your results and income!

7 Step Process for Building a Residual Income Business Online

If you’re building a residual income business to create walk-away residual income and not just a paycheck, let me preface this message first by saying that you must ensure you are NOT only building your business online – nor would I suggest ONLY building your business offline; you must combine both worlds for substantial and lasting success!

First of all, the #1 most important activity for building a profitable, thriving residual income business is continually prospecting every day (6 days a week – you can take one day off to rest, recuperate, reflect, plan, prepare for next week, etc).

You must be talking with new people about your business every day, whether offline or online, it does not matter where you find them (though I do suggest you pre-qualify them, however with a system like MLSP that automates this process for you). On average, you need to be talking with about 15 people in order to sign up one person. Therefore, if you want to signup 4 people a month, you need to talk with 60 a month or 15 a week. Want to sign-up 3 people a week? You need to talk with 45 people a week. It’s simple numbers.

How to Get To Work With Your Residual Income Business

Don’t worry about sifting, sorting, or following up with people you’ve directed to your sales funnel – leverage your efforts, time and resources using your MLM system to do that stuff for you. Use the funnel. Focus first on generating leads (offline if you don’t have enough leads coming in online yet to reach your goals) that will go into your funnel. Then, for the leads that come through your funnel, focus on contacting these -pre-qualified leads (or your true prospects) to present your business to.

For the leads that you create online, you must immediately begin to connect with them to maximize your results. If they don’t leave a phone number, that’s fine, search for their email address on Facebook and connect with them online.

BUT DO NOT PITCH THEM!

Simply connect with them – that’s what Facebook and social media is all about! Get to know them, check out their Facebook profile, be interested in them – make a friend! Then find out what it is they’re looking for – they obviously opted in to your website for a reason! See how you can help them and direct them to the resources that will help them. (Remember, your autoresponder is already set-up to work with your sales funnel or funded proposal, preloaded with powerful messages that will educate your prospects and teach them about you, the system, your business, the process, etc.)

How to Build Your Residual Income Business

You may have a gazillion different things that take place and that come up in a given day. But, within that day, there are certain business growing activities you must focus on as top priority – things you must do daily – in addition to the team trainings, group presentations, conference calls, etc. So here’s how to successfully run your residual income business each day, regardless of what other activities may be planned or may come up to support your team, etc:

#1 – Prospecting!

Focus on connecting with enough people each day to reach your weekly, monthly and annual goals. For example, if I want to enroll 4 people a week, I focus on prospecting 60 people that week. I do that through a combination of online and offline prospecting activities to build my business locally and also across the country.

You (your marketing) direct(s) these people to my funnels to learn more about whatever your promoting. If I’m promoting my residual income business, I may direct them to a custom capture page educating them on the benefits of my company and opportunity. If I’m promoting my attraction marketing or online marketing system, I’ll direct them to that particular capture page.

But regardless of whatever marketing methods you’re implementing, you need to ensure you’re doing enough to generate at least that number of leads per day/week/etc necessary to hit your goals. Again, if you’re not able to generate enough leads online to reach your weekly goals, you need to focus on additional prospecting methods to ensure you are able to reach your goals. Always be implementing at least 3-5 reaching out or marketing methods on a weekly basis to diversity your leads and protect against one source unexpectedly drying up, etc…

#2 Once you have your daily prospecting activities sorted out, THEN work on your internet marketing activities.

Note: if you only have a limited amount of time each day to spend on building your residual income business, you will not be able to adhere to the below schedule as it is quite aggressive. This business requires commitment, and online marketing is something – at least for the first year or two – that requires dedication and commitment to seeing the process through. You will not receive results overnight, you must be in it for the long haul (not 40 years like corporate America, we’re talking 2-5!).

So be prepared for the journey. But if you can pay the price – if you can commit the amount of consistent time and energy necessary – it is worth it. The internet can help you leverage the amount of time and the amount of resources necessary to create the same kind of results or better without it.

The Daily Activities To Focus on To Build Your Residual Income Business Online:

  1. Create one new piece of content every day (article, video, audio, PDF document, etc)
  2. Promote your content socially (ie, social bookmarking, digg it, buzz it, share it on Facebook, Tweet it, StumbleUpon, etc.)
  3. Create a short video about it or promoting it to post on YouTube
  4. Create multiple variations of your content to submit to directories and sites around the internet, creating links back to your original content (backlinks) and to drive more traffic
  5. Comment on other blogs and in forums to link back to your content (DoFollow Blogs with CommentLuv) to get more backlinks and generate more targeted traffic
  6. Grow your network every day (ex: add a few Facebook friends or twitter followers, etc) – in addition to physically prospecting and connecting with people each day (just adding friends and followers does not count as ACTIVELY PROSPECTING – you must directly engage people specifically for your business to count as prospecting: people whom you’re able to elicit a response from regarding your specific offer)
  7. – Syndicate your content virally utilizing the power of a tribe like TSA (add 200+ active syndicating members to your network to help drive more traffic to your site, attract more traffic, get feedback, generate social activity, etc)

  8. Continually work on and improve YOU every day to make YOUR process – your prospecting, your promoting, your recruiting, your presentations better everyday (scroll down this page on look for “Essential Reading” box for ideas). Perfection does not exist, but there’s always room for improvement. Make sure to learn something new every day and just as importantly be sure to IMPLEMENT and apply it as well!

This process does take up a few hours each day, depending on how much time you spend in each area, like how long an article or video is, how much promotion you do for it, how much you syndicate it, etc. It will all vary. In the beginning it would take you a lot longer because it’s new and foreign, but once you get into a habit of doing it, you can cut the amount of time in half or even a quarter. There’s even iPhone applications for example so you can do some of this stuff – from creating your WordPress blog posts to promoting and syndicating your content – while on the go. For me though, I like to try and get it all done at once, more or less – I’m more effective that way.

So get to work! If you aren’t doing any of these activities now, begin with step 1, then once you’re able to do that every day, add step 2, and so on. Schedule your time each day to get yourself into a routine so you knock this out each day like clockwork. Stay disciplined to this process everyday and watch your site’s Alexa rank drop like a rock, your PageRank increase (over time), your traffic counts explode, your lead flow increase, your phone start to ring off the hook and your bank account overflow. Let the compounding effect take place by being consistent and disciplined and I’ll see you at the bank!

Passive Income Business – What it is and Some Examples

A passive income business is one that requires very little involvement but rewards the income earner with an income that does not reflect their effort. Individuals who earn income from a passive business put an initial investment into the income source but do not have an active role when they earn the income.

This investment can be a financial investment or an investment of labor and exerted effort. An example of this is a writer, the writer works for months on their novel and puts their imagination and thoughts onto paper, then they sell the ideas in the form of a novel to a publisher. The publisher pays them an upfront income for the book based on an initial printing of the novel. As the novel sells more copies or is printed in other forms the writer receives income known as a royalty from the sales of the books.

The writer worked hard initially but when they earned the residual income they did not put forth additional effort for this income. Consequently a novelist is a form of a passive income business. Along this same line so is any performer such as an actor or a musician. These positions also earn passive income in the form of royalties.

Another popular type of passive income business is a landlord. The landlord puts forth an initial investment for the investment property; however they do little for the income at the time the rent is paid. The income they earn is the difference between what they receive in rent and the rent they owe on the property in the form of a mortgage.

Almost any investment opportunity can be considered a passive income opportunity but are not considered businesses. If an investor buys a stock and receives a dividend on the stock then they receive a passive income. As do investors in other investments that do not require an effort beyond the initial investment. An example of this would be a non active partner in any business endeavor. This individual puts up an investment for the business but does not contribute to the daily activity of the business. Consequently this business is a passive business for the non-active partner.