I love the idea of passive income. So, I created this cornerstone article to compile all highly profitable, proven passive income ideas that you can monetize right now. I revise this article regularly to keep it updated as I find more of these passive income ideas.
- 1. Blogging
- 2. Video creator
- 3. Video streamer
- 4. Podcasting
- 5. Social media influencer
- 6. Creating and selling online courses
- 7. Creating a membership site
- 8. Creating and selling info products
- 9. Self-publishing books (and/or eBooks)
- 10. App developer
- 11. Indie game developer
- 12. WordPress plugin or theme developer
- 13. Creating art
- 14. Selling graphics and templates
- 15. Making music, samples, loops, and beats
- 16. Selling photos (licensing stock photography)
- 17. Monetizing Local-SEO websites
- 18. Investing in the financial markets
- 19. Owning (investing, but not running) a business
- 20. Owning an automated offline business
- 21. Renting out properties and assets
- 22. Manifesting money using the LoA 😀
- Conclusion & Launch Your Passive Income Business Now
Before jumping into the list of ideas, make sure you understand how to structure a business to make money without being on it 24/7. You can check out this post with the main passive income sources. You’ll learn how to transform your ideas into a business!
Also, friendly reminder that perhaps it’s too obvious. You can combine these passive income ideas!
For example, you can run an affiliate marketing business that consists of:
- A blog that is your primary business hub.
- A YouTube channel, a podcast, and other social media outposts to send targeted traffic to your blog.
That approach can create more opportunities than if you just focus on one way to make money.
Now, on to the main star of the show, the list of passive income ideas:
22 Passive Income Business Ideas
For each business idea, I’ll explain the essence of how it works so you can get started. I’ll also link you to some examples so you can see for yourself that it is, in fact, a tried and tested source of passive income.
Passive Income Juice (I originally posted this article on another blog) is a textbook example of a blog that I monetize with affiliate marketing. 🙂
- I write about making money online.
- Then, I promote the products and services that I use, so I know they are valuable to my readers.
- The companies that I promote pay me for every client that I send them.
And that is how simply I make money here and how you can too.
Once you get some traction, you can also monetize your blog in many other ways, as we’ve seen in the previous section.
These are a few advantages of blogging for me:
- How easy it is to set it all up and manage your passive income business. I use WordPress, which is the most used website platform in the world. It has tons of powerful plugins available that make business life pretty easy.
- I can make a ton of money focusing on just a few things: writing, editing, placing affiliate links, and some promotion. That’s it!
- Since I focus on creating content that is valuable long-term, my growth is stable.
- I can easily add new ways to make more money. With WordPress, you can very easily add a membership site, an online store, etc.
Although blogging can have a few disadvantages:
- The low barrier of entry can make it seem like a hobby. However, you need to take it like a serious project (or a serious hobby ?) if you want to see progress.
- You have to be OK with putting out content somewhat consistently.
- I think WordPress is extremely easy to use, but some people even dislike using it.
I see blogging as a very straightforward way to make passive income. You’ll need some consistency in creating the content and driving traffic to it, but that’s about it.
How to make passive income from blogging
These are literally the steps that I took with this site:
- Get a domain name for my blog. Don’t overthink it as I did with my first site. Here are some tips.
- Get hosting. I use and recommend Dreamhost. If you get hosting through that link, I’ll get a commission. That is how I make money and how you can too! You only have to promote what you honestly believe in. 🙂
- I started writing consistently. If you don’t know what to write about, start by simply checking out your favorite blogs. Then, you can learn keyword research to find better topics that suit your blog.
- I promoted my new posts on relevant sites. Promotion is an essential part of driving traffic, so consistency helps.
- Once I had some traffic, I started contacting the companies I wanted to promote to sign up as an affiliate.
- Make money. 🙂
Examples of passive income from blogging, plus links and resources
- This very blog. 🙂
- A list of blogging income reports.
2. Video creator
People spend almost 7 hours per week watching videos online –on average. YouTube alone has 2.3 billion users. From finances to cooking to metaphysics to lifestyle vlogging, video marketing covers every topic.
I see video creation as a more effortless way to blog. Passive Income Juice(the blog where I originally posted this article) doesn’t have a YouTube channel because I want to focus on blogging first. But video is important. Sooner or later, I’ll probably create a YouTube channel for this site, as another traffic source to help it grow into a successful affiliate marketing blog.
How to make passive income creating videos
And you can take advantage of it to make passive income. You create the content where you promote your passive income business and post it on video platforms. For example:
- You make videos about passive income strategies.
- In the video descriptions, you put affiliate links to the products and services that you use and recommend.
- Create a landing page here on the blog. The purpose of a landing page is to convert readers into customers. So the LP contains affiliate and product offers.
- In the videos, remind your viewers to visit your site and take advantage of a valuable offer.
- You can still make passive income using video ads. Although, I’ll be less money than having a solid business in the back end.
Advantages of video content creation
The advantages of video creation far outweigh the disadvantages:
- Content is easier to consume. It is better to watch a video in a few minutes anywhere than to read a long blog post.
- Engagement is high. You can have your audience focused throughout your whole message. In contrast, most people don’t read an entire blog post but jump to the section they want.
- It is easier to build trust through video. Communication feels more natural when you watch someone talking directly to you.
- Video creation and consumption keep growing.
- You can start with very basic equipment. You could spend hundreds of thousands on video pro tools, but it’s not necessary. Any phone camera and a well-lit place (good lighting and audio are essential) will do the trick.
- Most video platforms –like YouTube– add a social aspect. Your viewers can interact with each other and with you, making it even more engaging.
Disadvantages of video content creation
The main disadvantage that I find is that video is more time-consuming than you might think. You see some YouTubers making only a few videos a month. But really, producing those videos can require quite a bit of time.
The higher the quality of a video, the more work it needs.
Imagine a simple video of you speaking to the camera. Just watching it once or twice to cut out all of the unnecessary footage, the mistakes, and “umm” pauses can take a few hours if the video is somewhat lengthy.
You can try to shorten the process, but you get what I’m saying. Add a script, good lighting, recording time, some simple effects and transitions, exporting and upload, and you spent a day for a 10-minute video.
Of course, all of this depends on your topic. A video of your face explaining something will take less time than a thorough review of a product, for example. And for some subjects, you could also save time by batch recording and editing.
The other disadvantage is being shy in front of the camera. I worked on that by participating in a video challenge where I posted one video for 90 days. (I have two small YouTube channels about different topics). That forced me to come up with new video ideas. Some days I didn’t have anything to upload, so I ended up just vlogging on the street, which helped me make it normal.
In conclusion, video is an excellent communication tool, and it has become the norm.
Examples and relevant links for video creators
- 5 top tips to start a successful YouTube channel —from an actual successful YouTuber.
- How much do YouTubers make?
- How to make money on YouTube.
3. Video streamer
First of all, video streaming does not automatically mean passive income. Streaming is live by definition. But it is so closely related to other forms of content creation that I want to include it.
You can use a video streaming platform to drive traffic and grow your passive income business. Plus, you can repurpose some of the streamed content to make money in the long run.
For example, suppose you are a musician or a video game content creator. In that case, you can stream live on Twitch and then:
- Upload it to YouTube. Once uploaded, it is evergreen content.
- Create a teaser on Instagram.
- Cut a funny clip and upload it to TikTok.
You get the idea.
Its main disadvantage as a passive income idea is obvious. The more your business depends on live streaming, the less passive it is. But maybe you enjoy it! That is what my philosophy is all about. Money should come to you effortlessly. If you genuinely love what you’re doing, then it doesn’t feel like work.
Valuable links for video streamers
- How to set up video streaming.
- How much do Twitch streamers make?
- An estimation of revenue from streaming.
Podcasting can be a great way to drive traffic to your passive income business. Podcast listeners have grown 5x since 2006 to almost half of the population in many countries. Many people value having the option to listen to your content while doing something else like driving or exercising.
Even if you’re not 100% into podcasting, you can take advantage of its traffic in other ways:
- By extracting the audio from your video content.
- As additional content that supports your main content (for example, chatting with friends in your field).
- Hiring a narrator to read your articles and turn them into podcast episodes.
Or, more efficiently, you can dedicate only a few minutes per week to record a short episode on your phone. That might seem little, but it opens yet another avenue to find your content and gives your readers another facet of yourself, your content, and your business.
It is nice to have some extra content to listen to.
How to make passive income from podcasting
You can get as fancy as you want in terms of equipment, production quality, publishing, etc. But the basics are these:
- Recording device (at the very least, your phone).
- Podcast hosting to host the actual audio files.
- Cover artwork for your podcast.
- Submit your podcast to podcasting platforms.
- Promote it and get good reviews (assuming you probably want a high volume of engaged, targeted listeners).
There are hosting platforms that provide hosting with other features such as an app to record and publish your podcasts, a podcast player, etc. If podcasting is not your main show, I suggest you keep it simple. Of course, the more features you pay for, the easier some things will be. But you don’t need those initially.
It would be best that you explore all of that for your specific case. Plus, depending on your target country, you might find platforms that work well for your audience.
Resources to help you make passive income from podcasting
5. Social media influencer
Any public image with an audience is an influencer. It doesn’t have to be a business-oriented blog. That is how Instagrammers and many YouTubers make money. You can make really good passive income just by having an engaged audience. No matter what you post about (as long as it is business-friendly), brands will contact you for advertising deals. Your audience will be of a particular demographic, and those companies want to reach them.
What do hot IG models have to do with energy drinks? Nothing LOL. They simply share an audience. It’s the same for almost anything you can think of. If you have an audience, you can make passive income by promoting relevant products to them.
On most platforms, you have to keep posting new content, so it’s not entirely passive.
As with any other content creation, it can be more demanding than it seems on the surface. As with anything else, I would only do this if I really enjoy it. Being a social media figure is not one of my goals. I like sharing my interests but not being famous for the sake of it.
You see a nice picture on Instagram and think: “Oh, that’s so easy! And they earn five figures just for that?” But actually, it requires some planning, editing, etc. Even though it’s not working in a mine, they need to be on top of it to keep their audience engaged.
Examples and links for influencers
6. Creating and selling online courses
An online course is structured information to take the student from point A to B. It doesn’t have to be extraordinarily unusual information. It will often be info that you already share, packaged in a more easy-to-digest format.
For example, I could take the information in this blog, present it step-by-step and charge for it. I think I already show how to make passive income well enough. But still, an online course could add convenience, for example, to students starting from zero or those who prefer a more structured approach.
It also adds an element of commitment and accountability to the student that pays for the course. Many students will pay mainly for that. And that is OK, especially if they use it.
You can create online courses in many ways. For example:
- Selling video courses on sites like Udemy or Skillshare.
- Using a membership site/online course platform like Kajabi or Thinkific.
- Creating individualized lessons for your clients.
- Selling a downloadable digital course made of videos, audio files, documents, etc.
- Delivering lessons through an email autoresponder. You could even offer it for free to attract new subscribers to your email list.
- Creating a paid membership section on your site to host the course.
… plus any other combination you can think of.
For example, one of my first online projects was an ebook with 31 lessons, one of each day of the month. It was a book, but in that way, also a course ?.
Many dedicated platforms like Udemy will require you to keep up with students’ questions. And possibly, to update the course if needed. That makes this a bit less passive.
That depends on your course’s nature. You decide how to present the information. And many automation tools can help you create or repackage your content.
As your main focus or an option in your business, courses are a fantastic way of creating passive income.
Examples, success stories and resources for creating passive income from online courses
- A list of popular online course platforms (although, of course, you can use your own site).
- Some success stories of selling online courses: Matt Woodward, Rob Percival.
- How to create a course on Udemy and their teaching center, with guides to create a course.
7. Creating a membership site
Another way to monetize extra content is to create a membership site. That is where you users have to become paid members to use part of your site. The membership section will appeal to your most engaged members who want to have access to everything.
Another option is to have could have only paid content on your site. However, I would only do that if the value proposition is obvious and appealing to your users.
For example, suppose you had a YouTube channel or other social media profile where your audience can grow and get to know you. In that case, you could drive those visitors to your membership site.
You can offer many things other than courses. For example:
- Member-exclusive content.
- Extras and upgrades to your existing public content.
- A community (e.g., a forum, member chat, etc.)
- Enabling user input (e.g., polls, comments, etc.)
- Allowing users to have a profile or track their progress.
- Allowing members to use a tool.
There are a ton of easy-to-use membership site platforms. For example, you could use Shopify or WordPress plugins. Even Patreon could be used as a membership site since patrons unlock different content depending on their tiers.
More resources to create a membership site
- Lists of membership site platforms, and WordPress plugins.
- 30 membership sites to inspire you.
- Check the previous idea #6 about online courses. Some of the platforms like Kajabi or Thinkific could work for your membership site.
8. Creating and selling info products
Info-products is just a broad term that refers to any product that consists of knowledge, information, know-how, etc. So, an online course is an info product, but info products are not just limited to that. A non-fiction ebook could be an info product as well if it is mainly about teaching something.
However, with info products, I’m really referring to a specific strategy. Typically, that strategy includes many different product formats in different tiers.
The following is an example of a tiered info product strategy (notice some of these steps are not passive income):
- Free content on social media sites, YouTube, etc. (to create a flow of targeted users).
- Free eBooks (to capture new leads).
- Inexpensive paid eBooks (to segment your paid users. Up from here, users need to pay.)
- Informational/educational videos.
- Membership sites.
- Online courses.
- High-ticket live seminars.
And any combination of the above. E.g., a live seminar where attendees also get some workbooks. Plus, if they pay for the platinum membership, they’ll get three months of follow-up coaching.
Those different product packages and formats will allow you to cater to various price points for those willing to pay. This tight business strategy is why many businesses give a lot away for free, sometimes even losing money on the first tiers.
For example, you offer a short free eBook (and call it something interesting, like “complete blueprint”) to get readers into your email subscription list. Then you keep sending them valuable content and forming a relationship until you hit them with an offer they can’t resist.
The secret code to info products
I don’t like tiered strategies where a “guru” asks for increasingly more money to get some secret code. Some marketers present themselves that way to take advantage of people with a lack mentality. I don’t say this because of some moral –do what you want. Simply, it perpetuates the lie that someone else has a truth that you need to pay for.
But the truth is, you can create your business your way. I prefer to have my readers happy, knowing they can be successful if they just work on the basics.
You can provide genuinely valuable information from day one and make a killing with it. A real guru has no problem sharing the secret to life from day one.
What can you offer at different price points, then?
Many things. For example:
- Different levels of convenience to consume the information (like other formats).
- Tailored information.
- Accountability –people who want results.
- A social aspect –connecting with like-minded people.
- Access to you –for example, if they want you to coach them directly.
More resources to make money from info products
- A guide to sell information products.
- How to plan an info product funnel strategy? Here’s example 1 and example 2.
9. Self-publishing books (and/or eBooks)
I’m referring to all types of books: fiction and non-fiction books, digital and physical books. You could be a novelist or a different kind of creative writer.
I published my first Kindle ebook maybe ten years ago. The publishing process was OK, but a bit more limited than it is now. The possibilities of self-publishing nowadays are great. For example, with Amazon, you can upload the book cover images and have them print physical copies on demand.
Of course, you can use any other platform. Some authors quit Amazon to save money and have more control over their publishing.
Self-publishing is one of the best, most passive passive income ideas:
Self-publishing as a passive income idea has many advantages:
- Once you create a book, you keep making money from it for a long time.
- You have more control and a higher payout than through a publishing house.
- You don’t have to jump through hoops or accept editorial choices. Instead, you can publish fast and precisely what you want.
On the other hand, you’ll have some disadvantages:
- You have to edit it yourself (or pay someone to do it).
- You don’t have the publishing house’s staff behind your book, promoting it, or helping you with anything else.
Still, if it calls you, it is so easy that you can give it a try and publish your first eBook. Start from there, and you’ll see if it’s a good path for you.
Guides and case studies to self-publishing success
- A guide to Amazon Kindle Direct Publishing.
- An interesting case study + guide.
- Self-publishing success stories.
10. App developer
I’ve also done this (yeah, I’ve tried a bunch of shit ?), although some years ago. The idea is to create one or multiple apps that do something:
- Automate a routine task.
- Make something easier.
- Do something faster.
- Put people with shared interests together (e.g., buyers and sellers).
- Solve a problem.
- Entertain, relax, please.
- Make users feel better.
I know this is very general and applies to many businesses (not just apps). It’s just to spark your inspiration. I’m not including games (which is the next passive income business idea). I consider games a category on their own, as I’ll explain.
It doesn’t have to be a complex idea. You can make a few thousand in passive income from a relatively simple idea because thousands of people worldwide use it every month.
If you have a great idea, you can focus on it. However, I know some developers who create a bunch of simpler apps and then improve the one that sticks. I know one in particular who makes millions with this approach.
A typical business model for apps is to run a free version with ads and then offer paid upgrades. These could be removing the ads, unlocking features, or upgrading to a higher user tier, for example.
Building your first app
It’s been a while since I’ve created apps, but I can tell you that it was already very easy years ago. And it has only gotten easier. (I assume you want a relatively modest project to create passive income, not a complex business with employees, etc.) There are different alternatives that you can explore depending on your project:
- Creating a native app (for example, coded to run on Android devices).
- Creating a web app (to run on any web browser on any device).
- Developing a cross-platform mobile app using a wrapper.
Some of these alternatives simplify the development process. If your app is simple enough, you can code it as a web page and make it available to most platforms.
More resources for app development
11. Indie game developer
Developing a game is one of the most creative activities you can do. Storytelling, game mechanics, character design, graphics, soundtrack and sound FX, monetization strategies, and coding. I’m not even much of a gamer, but I LOVE IT.
Video games are a fantastic passive income business idea. But I’m referring to relatively simple games, not the next GTA ?.
If your game is simple enough, it will be very profitable without much input long-term. You can try that same strategy I shared about apps. You start with a few simple game ideas and then focus on the ones that do better or those you prefer.
Building your first video game
You start by learning how to create a video game using a game engine. A game engine gives you a framework to develop your game without having to code everything from the ground up. By everything, I mean things like game physics (gravity, collisions, etc.), rendering, audio, etc. That way, you can focus on the game mechanics.
A game idea can turn into a very complex project quickly. So, again, I suggest you start with a small game. It is more important you focus on making it enjoyable to play because that is what makes it interesting, engaging, and profitable. Think of many simple games you can’t stop playing.
Study similar games and discover how their developers are monetizing them. Sometimes, it is just through in-game ads. Other times, you just put a price on it.
Another option is the free-to-play business model, where gamers can finish the game, but paying will unlock certain features or allow them to play more, faster, or better.
You outsource the parts that aren’t your strong suit —for example, if you’re not confident as a composer, just purchase a few cheap background track songs. And there are many other places, like Fiverr, you can check out if you need some custom-made assets.
More resources to turn your next game idea into passive income!
- 10 game design tips for new developers on Unity.
- Two YouTube channels for game developers: GameMaker’s Toolkit & much smaller, but great: AuroDev.
- How to get started guide on Reddit r/gamedev.
- Another useful article: 20 Indie Dev Tips.
12. WordPress plugin or theme developer
There are a few business models with WordPress themes and plugins.
For passive income, you should not build themes and plugins on-demand. Instead, you create a finished product and make it available on a plugin/theme store to earn money with each purchase.
With the freemium model, you offer the core functionality for free, then advanced features or support to paid users. This model has the advantage of more people installing your theme or plugin.
Keep in mind WordPress is licensed under GPL. That means you’ll have to comply with its rules depending on how you want to market your plugin.
Themes and plugins have to add something valuable. There are already so many free or super cheap options that a bland value proposition won’t stand out.
One way to achieve this is to focus on a niche. Mind you, a niche where there’s money to be made. ? Are there already people making money in that field? Would users pay for your solution?
Create a theme specifically for an industry. Don’t create it just because it’s nice-looking unless you are a pro designer and know what you’re doing.
Same for plugins. Solving an unsatisfied need in a small niche can work better than entering a space where very complex plugins dominate the top spots. You’ll profit from being the best or only option that solves that need!
Resources for WordPress developers
WordPress development can be a bit confusing with its naming. If you’re not used to I seriously encourage you to learn by following a course that gets you coding right away.
13. Creating art
This one is a broad topic and kind of overlaps with the next one (graphics and templates). However, I’m referring specifically to art forms that are complete in and of themselves. For example:
- pixel art
- 3D art
And other forms and combinations of the above.
You may ask: “how am I going to make passive income from a sculpture?” But actually, many artists don’t even make that much money from their final art piece, comic, illustration, etc. You can simply Google Images and find their work online.
However, with crowdfunding, you can make money off of anything. What many artists offer is an exclusive peek into their creative process. If you support them on Patreon, you can see the steps they take, download byproduct files, chat with them, and more.
If you’re a creative person, I don’t have to tell you where or how to start because you’re already creating something. You just have to:
- Be a bit more consistent in your creative output, and…
- Put your work out there. Start sharing your work where similar work is already appreciated.
Interesting links for inspiration to make passive income from art
14. Selling graphics and templates
I was going to include this one in the previous passive income business idea, but it is quite different. In this case, the idea is to make money from a non-completed art form. The intention is to create assets to be purchased or licensed and used in something else. For example:
- vector graphics.
- Photoshop actions.
- print templates (flyers, menus, business cards, etc.)
- PowerPoint presentations.
- brushes for graphics editors.
- tattoo designs.
Head out to one of the popular marketplaces where these things are sold. You’ll post them on there and make money with each purchase.
More resources for graphic and template creators
- A list of marketplaces to sell templates, graphics, themes, plugins, and more. Still, do your own research depending on your niche of interest. For example, you could focus on creating assets for video games, or fonts, etc.
- An update list of the best vector graphics software. You probably don’t need this if you’re into digital art, but just in case. 😉
15. Making music, samples, loops, and beats
Music is ubiquitous. As we did with are, we could also differentiate between making:
- music as a final piece (songs, soundtracks, commercial music, etc.) vs.
- music assets to be used (samples, VST plugins, loops, sound effects, etc.)
But in this case, for simplicity, I will include them all under the same passive income idea.
I think music offers a few more avenues to make passive income. Maybe that is just my perception. Say you are into making music for action video games. You could:
- Make money selling/licensing the soundtracks directly.
- Publish your music online (this would depend on the revenue model each platform uses).
- Get crowdfunded on Patreon to share your creative process.
- Offer a higher tier with exclusive music only for patrons.
Perhaps the following is a bit controversial, but it is just my opinion nonetheless. 🙂 If you have basic skills as a musician, making good enough music is easy. You just need a laptop and music production software (Logic Pro, FL Studio, etc.)
With passion and dedication, you can churn out stuff that would have been at a pro-level not many years ago.
Resources to get started making and selling digital music
- A comparison of the best Digital Audio Workstations (DAW), another comparison, and yet another one, so you can make an informed choice. I’ve dabbled with a few of these, and currently use Logic Pro X.
- Two interesting articles from Bandzoogle: The complete guide to selling your music online and How to make money with music online.
- There are many approaches to making money with music, like building a fan base with Email lists, to selling beats. The best would be to explore these options and choose what you prefer.
16. Selling photos (licensing stock photography)
Say you are that person that always goes around with your (dedicated) camera shooting everything. You can take advantage of that habit to make passive income by posting your photos on stock photography sites.
I see this passive income idea mainly for professional photographers or very passionate hobbyists because you’ll have to upload a ton of high-quality pictures.
You’ll make passive income mainly in two ways:
- Direct royalties from selling your photos at a higher price.
- No royalties; your photos are sold very cheaply. You’ll get paid by the site depending on how popular your photographs are.
Stock photography is a highly saturated market, so you’ll need the dedication to make decent passive income. Many sites won’t accept random pictures taken with a phone, even if it’s an impressive image. People won’t pay for photos that they can take themselves in two minutes. But if you’re into photography anyway, it can be a nice addition to your passive income stream portfolio!
More resources to make passive income from stock photography
- A list of sites to make money selling your photos.
- A detailed guide to making money with stock photography.
17. Monetizing Local-SEO websites
Local SEO refers to optimizing a website to show up on Google when people search for location-specific results.
Imagine someone types “best coffee” on Google. We could assume that person likes coffee and wants to find the best brands.
However, a search for “best coffee Sao Paulo” means something different. The user wants results specific to Sao Paulo. Maybe he/she is planning to visit and wants to find a great coffee place there.
Maybe, with additional data, we could extract more details, but you get the idea. The point is that local businesses want to show up on those local-specific search results.
The business idea is to rank websites high for local-specific searches. You’ll get that free SEO traffic which you can monetize. I say “websites”, plural, because local SEOs typically own a portfolio of sites.
For example, suppose your site is ranking #1 for “best coffee Sao Paulo”. You can get paid monthly by coffee shops to show up on it.
Ranking a site for local SEO tends to be easier than regular SEO because:
- There are fewer competitors (fewer sites ranking for each keyword), and
- Competitors are weaker and easier to outrank.
The thing to keep in mind when building a site to rank locally is business potential. “Best coffee Greenland” or “2020 election Minnesota” won’t be nearly as profitable as “fast plumber NYC.” Simply, pick a keyword and search on Google to see the current results.
If a village has ten people and no stores, local SEO is probably not worth it. But a large city with bustling economic activity can be very profitable.
More guides about Local-SEO and the Rank-and-Rent strategy
- Ahrefs’ guide to Local SEO (Ahrefs blog is great).
- Another interesting Local SEO guide (with a different take).
- A beginner’s guide to Rank-and-Rent local SEO sites.
18. Investing in the financial markets
Say you have some excess capital —for example, by succeeding with your passive income business ?. Now, what can you do with it? One of the best, most passive forms of income is investing. It consists of buying a financial asset with that capital (and some common sense) and enjoy the profit coming in.
As with other passive income ideas, investing can be easy money, but you have to know what you’re doing. Take risks in accordance with your level as an investor. Learn as much as you can, and you’ll be able to enjoy money coming in without doing anything other than choosing what to invest in.
One of the biggest mistakes newbies make is to mix the following two up:
The two main types of investments
There are two main types of financial investment. Their approaches are quite different. That is why it’s important not to mix them up:
- Long-term investment. Buy and keep. You don’t buy with the idea of selling immediately, maybe ever. You buy with the idea of owning an asset that you expect will increase in value. Therefore, over time your net worth will also increase. That could mean investing in stocks, in other appreciating assets (e.g., gold), or in companies directly.
- Short-term trading. Trading requires a lot more dedication and being on top of it. It is less passive income. The moment you see an opportunity to make a profit, you buy or sell, and do this constantly. That could mean trading in cryptocurrency (although those are here to stay), day-trading in stocks, derivatives, etc.
Many newbies mix the two strategies up. They buy stocks because they like a company (long-term investment). But then, the moment something happens that they think is positive or negative, they sell (short-term trading) to make a quick buck or minimize loss. If you make a profit, that is not a problem in and of itself! The problem comes long term, as a consequence of not having a clear, solid strategy.
The main disadvantage to investing is that your capital is tied. Meaning that you don’t have that money to spend. So either you make this your primary passive income strategy, or you just dedicate a part of your freely available capital (savings, etc.)
How to start investing
The first step is to familiarize yourself with the type of investment strategies that most suit your personality and goals. Learn enough to know what you’re investing in with confidence.
You can practice without spending real money, for example using a virtual investment app. Before investing any real money, I spent over a year investing with an imaginary spreadsheet and turned 1 imaginary million into 3. ?
Next, learn which broker has a solid reputation and works best for your investment strategy. Different brokers charge different amounts in commissions so you can minimize what you spend on them while keeping your investment safe.
More resources to get you started as an investor
- A list with some of the best investment simulator apps.
- A list of some of the most popular books on investing.
19. Owning (investing, but not running) a business
This idea is similar to the previous one, but I’m talking specifically about businesses where you become a major shareholder. You don’t have to own it 100%. From a bar that you own 50% with your brother, to being an angel investor to a promising startup. Imagine this scenario:
- Some brilliant engineers you know are planning to take some project to market, but they need capital.
- You give them the amount they need in exchange for 10% of the business.
- Also, you get a seat in the board meetings.
- If the business takes off, your investment is now worth many times what you invested.
The upside of this type of investment is that the potential benefits can be huge if the team and the project are successful. The downside, especially with unproven business ideas, is that the risk is greater too. Risk management is required to choose investments with limited risk and unlimited potential. I would only do this with a lot of free capital and experience.
Some tips for angel investors
- An interesting article about investing on small businesses.
- Two articles with valuable tips for angel investors #1, and #2.
20. Owning an automated offline business
Another type of business worth considering for passive income would be any that is automated. Once, I stayed at a B&B where I interacted with no one. It was all screens and which automatically recognized some ticket that I had. Some other examples:
- vending machines.
- automated parking.
- restrooms in public places.
- public bikes.
These businesses will require some management because of their physical nature. Things like security and taking care of the assets make these businesses more labor-intensive than other passive income ideas. But still, because of their nature, I wanted to include them here.
Plus, if the business is profitable, you can still hire managers to do that direct work. And you can embrace online automation as much as possible to make them more passive.
Doing the math for your automated physical business
I can’t give much besides general business advice. Maybe because I don’t have a clue about these types of automated physical businesses, lol. I’m sure there are world-class experts about making passive income on autopilot with vending machines and the like.
I see them more on a case-by-case basis because specific factors such as machine prices, local regulations, business size, and more, come into play. But if you have the free capital and motivation to start such a business, I’m sure you’ll figure it out real quick! 🙂
21. Renting out properties and assets
Good old rent. Pay to use, not own. 🙂 I don’t need to explain this because you have most likely rented something. Renting is one of the most passive forms of income. However, something similar to what we saw in the previous idea happens.
Most properties and assets require maintenance. In most cases, the users will do their best to keep your asset in good running order. But still, you’ll have to take care of it in case something happens.
Still, renting can be beneficial because you remain the owner of an asset that can grow in value long term.
For example, say you own and rent out a beautiful house. You make money (passive income) from the rent, plus if the house prices in that area rise, your net worth also grows.
Perhaps this is too basic advice, but I suggest that you strategically choose the property you are buying to rent out. Don’t just buy some housing opportunity “just because”. Have an overall idea of your strategy, set a goal, and stick to it.
For example, only houses in a particular neighborhood you believe in. Then, renovating it to make it more appealing and charge more. And when selecting the tenants, a screening process to make sure they’ll be ideal.
Some advice for a solid renting strategy
All of that will depend on your location, budget, and many other factors. It’s very important that you do the math properly for it to make sense and stay profitable!
22. Manifesting money using the LoA 😀
Law of assumption, law of attraction, creating your reality… Call it whatever you want.
It might seem odd that I mention this in an online marketing blog. But first of all, you and I are human beings. I’m honest, and I honestly tell you that I use this principle every single day in my life. I use it for everything, and I live happily because of that. I’m not here to debate its validity. I am a very analytical person, and I’m telling you that I truly believe this is how reality works.
Simply put it to the test.
I improved my body, attract money easily, attract success in whatever I want, grew thicker hair, found my dream house, attract relationships with amazing women… It is real.
You can apply it to anything and get what you want. Sometimes, blazingly fast. You are doing it already. You just have to learn how to use it consciously.
If you want to create a passive income business, this “method” will work wonders to put the pieces you need in front of you.
So, where can you learn? I’d like to recommend to you the authors that helped me in the first place:
- Neville Goddard to understand the “law of assumption“. That is the most basic principle to create anything you want.
- Abraham-Hicks to direct your thoughts effortlessly, feel better, and be happier in general.
There are other authors, teachers, and coaches. I like some of them, and others not so much. Don’t overcomplicate it. Start with Neville and Abraham and put it to the test from day one.
Manifestation success stories and examples
Now you have a ton of ideas to create a new passive income stream in your life. Plus, you can also combine these ideas!
Many of these passive income ideas are really easy to do, especially if you enjoy the activity! Therefore, the key lies in making a firm decision to be consistent.
I suggest you start by focusing on only one of them. The focus will help you persist during the phase of building your passive income idea into a business.
The freedom you will achieve makes it totally worth it! Money should come into your life with ease!
Don’t Know Where to Start? Here’s How to Launch a Passive Income Online Business from Home With Little Investment
Ready to take the first step in turning your passive income business idea into reality?
If you really don’t know where to start, you can check out how I make money online with this very blog. You’ll just need to:
- Get hosting.
- Install WordPress.
- Start blogging about your favorite topic.
- Monetize your blog promoting affiliate marketing offers.
The first step isn’t hard, but it feels like a defining moment. It’s like being at the doorstep. Which side do you want to be on?
Then, it’s like a marathon, not a sprint. The more passive income you create, the more financial freedom you’ll enjoy. So take that first step now and start building a new passive income stream!