What is a Residual Income Opportunity?
First of all, we should clarify that the residual type of income is when you continue to get paid for a project long after the project is completed. Residual income is also known as passive income or recurring income. Book authors usually get this kind of income when more copies of their book are sold. The same goes for singers and songwriters when more copies of an album containing their work get sold. In these cases, the residual income might be called royalties.
The majority of people get what is known as linear income. That’s where time is traded for money. There is certainly nothing wrong with this except for the fact that the money flow will stop when you are no longer trading time for money. Sure, you might have an income from a retirement account, but that was funded by a portion of that time-money trade or part of a benefit package that came with the position.
A residual income model can keep new money coming in from a past effort. Doing something one time and continue to get paid on that one event is very nice indeed!
A series of these one-time events can result in true financial freedom. That leads us to the residual income business of network marketing. You sponsor a person (get them signed up) once and you continue getting paid each and every time they buy more of the product or service offered by the RIM program. With most programs, you also get a share of the money generated when that person sponsors a new member and that new member buys the product or service. This creates a snowball effect.
That snowball effect, what network marketers call leverage, is what causes the pay from your residual income model to grow exponentially. Rather than one person trying to get lots and lots of people, it works out better in the long run when each person does a little bit and passes along the information to others in their immediate group or downline.
Your Residual Income Model Can See Amazing Growth
To better understand the dramatic increases that leveraging can create; we use the example of what happens when you start with a penny and double the amount every day for one month.
Day 1 – $0.01
Day 2 – $0.02
Day 3 – $0.04
Day 4 – $0.08
Day 5 – $0.16
Day 6 – $0.32
Day 7 – $0.64
Day 8 – $1.28
Day 9 – $2.56
Day 10 – $5.12
Day 11 – $10.24
Day 12 – $20.48
Day 13 – $40.96
Day 14 – $81.92
Day 15 – $163.84
Day 16 – $327.68
Day 17 – $655.36
Day 18 – $1,310.72
Day 19 – $2,621.44
Day 20 – $5,242.88
Day 21 – $10,485.76
Day 22 – $20,971.52
Day 23 – $41,943.04
Day 24 – $83,886.08
Day 25 – $167,772.16
Day 26 – $335,544.32
Day 27 – $671,088.64
Day 28 – $1,342,177.28
Day 29 – $2,684,354.56
Day 30 – $5,368,709.12
As you can see, the amount doubles each day, but during the first two weeks there is not much to get excited about. However, it really takes off after that and each new amount explodes to an amazing level.
The Most Important Thing about Any Residual Income Opportunity
The point we want to make is that in order to get your residual income opportunity to grow and to see increasing growth with your bank account, you need to follow a simple plan of action, share that information with a small group of other people, and stay with it long enough to see the amazing results.
Unfortunately, many people don’t follow a simple plan of action or stay with the program long enough to reach a level of success with their home business.
There is a ton of information on this site that can answer your questions about MLM and help you get going in the right direction.
One of the things we emphasize is that a residual income opportunity is a real business and that means it should be treated like a business. In other words, it is not like buying a Lotto ticket and hoping for the best. It is up to you to follow a plan and make things happen to reach your desired level of success with your residual income opportunity!
Click here to go from the residual income model members only page to sign up.