Latest / Money Grows on Trees / #215 - 10 passive income streams in under 10 mins

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#215 - 10 passive income streams in under 10 mins · Money Grows on Trees

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  I think it's much better to approach these business models as
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  active. So you can delete the word passive out of your vocabulary. The
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  simplest way if you want to do it, it's the most effective passive income stream ever
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  is dividends from index funds or stocks. You buy a piece of
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  real estate and rent comes into your bank account from the tenant. If you
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  get a property manager to look after it, it's fairly passive. Network marketing,
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  I've been able to build passive income out of this. It starts off as
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  active income, you actively have to build it, it's not that easy. Podcast, this
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  is also semi-passive because... I'm Lloyd James Ross, seven-figure
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  investor and entrepreneur, and I've helped thousands of business owners and
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  professionals turn financial stress into success. If
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  you're stuck in old money habits, overwhelmed by investing, or unsure where
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  to start, This is for you. I'll give you the mindset and
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  strategies to take control, grow your wealth and achieve financial
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  freedom. It's time to make your money work for you. But
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  this is 10 passive income streams starting from number one, the easiest,
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  the most effective passive income stream ever. is dividends from
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  index funds or stocks. This is absolutely passive. You can buy an
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  index fund and you can literally be paid consistently from
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  dividends from the fund without lifting a finger. It is the most passive
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  income you will ever get in your life. How do I know? Because I
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  have it and it takes the least amount of effort from me. It's the easiest to start
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  and the easiest to manage. So it gets double green light. That's the best. Second,
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  real estate. You buy a piece of real estate and rent comes into your bank account
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  from the tenant, and if you get a property manager to look after it, it's fairly passive.
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  But it doesn't mean you do nothing, because you still have to do some paperwork with
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  the property manager to actually manage that, get your tax savings, talk
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  to your accountants, there's stuff to do. It's not totally passive, but of course it's
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  hard to get into because real estate is expensive. So hard to start, Pretty
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  easy to manage. Number three, bonds. Up there with stocks is arguably
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  the greatest and simplest passive income available to you. This would also
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  include a term deposit, because it's kind of like a bond. Bonds are where you lend money,
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  and you get an interest rate back. So if you buy a 30-year bond, a
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  30-year coupon rate will come to you. Twice a year, you'll get paid passive income.
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  Problem with that is it's fully taxable, and you have to understand how to buy bonds. You
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  can easily buy bonds. Go to Google. Type in how to buy treasury bonds. You better go
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  to the treasury department and buy them directly. Pretty straightforward. Pretty easy. Easy
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  to start. Easy to manage. All right? It's up there with stocks. Next passive income
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  stream, a book. Book will give you passive income from royalties, particularly
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  if it's published. If it's self-published, you can get people buying it on
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  Amazon. It's actually, now with AI, quite easy to write a
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  book, and it's also quite easy to manage once you upload it to Kindle KDP Publishing.
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  So it's actually a really simple way to get passive income. The only problem with
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  it is, I don't know how much you'll make, because you have a lot of people buying books to
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  make it, so it's a lot harder in terms of how much money you can
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  make. But it depends on the quality of the book. Just quickly, if you're ready to take control of
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  your finances but feel stuck, on where to start, I have a
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  solution. My book, Money Buys Happiness simplifies investing
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  and wealth building with practical steps to help you achieve financial peace.
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  Get your copy via the link in the show notes and let's get your money working for
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  you. Now back to the episode. Next one, network marketing. I've
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  been able to build passive income out of this. It starts off as active
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  income. You actively have to build it. It's not that easy. Then you have to get
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  residual recurring income from it, and eventually you can get passive income.
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  If we didn't touch it now, we'd still get income coming to us, so it's very passive,
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  but it doesn't start out that way. Very easy to start, harder to
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  build to the point where you can actually take your foot off it. YouTube,
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  if this is not fully passive, this is semi-passive. How does it
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  become semi-passive? Because YouTube is dictated by content. You
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  have to actively do it. So like, actually doing stuff, building content. That's
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  not automatic, so it's not fully passive. You can use AI to do that,
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  but you still have to ideate the videos, do the AI, and upload it,
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  so it's actually not fully passive. Although, when you start getting paid from YouTube,
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  it's pretty good, but it will always be active from you. Number
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  seven, courses. People think they can just buy, build a course, Print
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  money on demand. No, it's not fully passive because you have
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  to send ad traffic to it. So you have to do content on social media or
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  somewhere else to find traffic to it, unless you can get
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  the traffic for free from somewhere like Google search. If you're in the highest ranks and
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  people are going there automatically, then the SEO is pretty passive,
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  which means you are developing passive income. But to get organic traffic at
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  that scale onto your course would take a monumental effort, but still possible.
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  Number eight, podcast. This is also semi-passive because
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  you have to always create content to actually put onto your podcast to
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  actually get the results from it. If you put your podcast onto some sort
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  of, I think Apple podcast has now like paid subscription
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  services, you can get paid for your episodes. But again, you have to ideate
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  and create the content that's so valuable that people continue to pay. even
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  when you don't work anymore. And I don't think that's possible, because they will be looking for the next thing. Otherwise,
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  I'll cancel the subscription. So that's semi. Number nine, laundromat. How
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  do I know this one? Because I own one. And with a laundromat, it's semi-passive.
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  Why? Because you need someone to clean it, you need someone to manage it. I'm gonna get a great business partnership
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  with that, and my business partner manages it, runs it, and we're, you know, and
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  so there's, it's not all passive. You have to look after it. It's an asset, okay?
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  And then of course, number 10, I've got a buddy of mine who does this. He's got about 20, 30, 40 vending
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  machines. It's not fully passive. It is
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  semi-passive, because once the vending machine is stocked and looked after, it
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  will produce income to you, but you have to buy it, look after it, maintain it,
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  and stock it, and that is not passive, unless you find a staff member to
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  do it for you. It takes a lot of the heat out of it, but again, you have to
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  manage the person to manage the thing. So the last half
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  of these are semi-passive, but the first few I mentioned can
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  be fully passive. I think it's much better to approach these
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  business models as active. So if you can delete the
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  word passive out of your vocabulary, the simplest way if you want to do it is to
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  buy an index fund, get dividend income. That's definitely passive and
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  it's the easiest and simplest. It's easy to start, easy to
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  manage. That is the absolute most purest form of passive income.
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  The rest of them, you'll do a lot better if you approach them with
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  an active mentality and an active effort. Okay,
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  so active effort at the start, passive later. Go and attack those.
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  There's the 10. I think we did under 10 minutes. Which one are you building
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  now? Which one are you most interested in? Leave it in the comments below so I can come and
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  have a chat with you about it. And of course, hit the subscribe button and
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  go and check out the next video. Thanks for listening to Money Grows
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  on Trees. If you enjoyed the episode, leave a five-star review on Apple
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  YouTube so you never miss an episode. And if you're serious about building wealth,
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  make sure to check out the links in the show notes and follow me on all
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