There would not be a single person reading this article, who’ll say Corona has not affected their lives in anyways. Few are facing lay-offs, furloughs/unpaid-leaves, or substantial pay-cuts due to this coronavirus outbreak in the world. Financials of every household are shaken in this tough time but rentals and other bills aren’t ending. Sources of earning money are limited in this tough time but the essential requirements have not changed for anybody. It’s inevitable that one needs to have 1-2 passive income sources so that their lives don’t depend on one source of income only.
According to research conducted by McKinsey & Company, the current economic loss in India has varied by sector affecting the aviation segment the most & IT-enabled-services and pharmaceuticals the least. The report strongly suggests that there could be a 30% drop in the discretionary categories, clothing, etc. Indian financial system may face a solvency risk, because of 25% of the MSMEs & the small- and medium-size-enterprise (SME) slipping into loan default.
If you observe high-income and high net worth people around you, you’ll see they have several different streams of side businesses that are pouring in cash every month. It’s really hard to rely on a 9-5 job for your entire life, wherein layoffs and pay-cuts are the part and parcel. A very famous quote is given in this context, “Do not put all eggs in one basket.” – Warren Buffett. With passive income sources, one can avoid putting all their eggs in one basket and use the extra income sources of cash to grow rich.
Here I am sharing few passive income ideas which might suit you as per your interest:
Go Digital: This is the best time to generate a passive income online. In the times of Corona, people have gone digital. Such a crucial service like Education, which always needs a compassionate humanitarian touch has drastically shifted to digital platforms these days. Teaching has been one of the professions which require one to share their thoughts and experiences with others. The same can be done online easily and being done by many people these days for some extra amount of money in their part-time. Few people have even made this a full-time job for them and earn in 6-7 digits a month easily, all in their comfort of home.
And, education expands far and beyond anyone’s imagination. Pick any subject matter and you’ll find classes/courses online. People want to pay you a good amount of money if your knowledge base is strong and an in-depth explanation is delivered in your classroom. You can create a course of your choice on Udemy and earn with each student’s subscription.
Franchising: This is a traditional way of owning a business of a popular brand that already has a good presence in the market. A franchise business can be a really good source of a passive income. Since you do not exactly have to build the brand from scratch or the setup as a whole. As the brand is there to support you in every step of setting up the business and extending the support in terms of marketing, software, and manpower, etc.
Franchising starts at an investment as low as 5lack. You may choose the industry segment of your choice and then narrow down onto the brand which you would want to own.
Love Social Media? Manage Accounts! Today’s generation loves social media. Why not turn this love into side business ideas? Many small businesses in spite of acknowledging the fact that social media is crucial for their business growth, are not able to devote their time to this aspect of their business. If you have a knack of the same, you may reach out to such businesses. You may do it on a monthly or yearly contract basis and can make it a good source of income.
Get Blogging: Love sharing your thoughts on a particular topic and want to get paid for it? Your blog can make INR 20-50 thousand a month for you via affiliate revenues. You do almost nothing to get this – readers read, they click and sometimes they make a purchase of the product or the services mentioned at no extra cost to them.
I didn’t start DhandhoInvestor to earn money. I started this because I love thinking about businesses & investments and writing about the same. I just want to share some financial independence literacy amongst my readers. The money from the blog becomes the by-product of the passion for sharing the same knowledge with others.
Diversification of Investments: If you are an investor like me, please diversify your investments. Don’t put every penny in equity/shares. You might be placing yourself at risk this way.
Try to secure your money with different investment instruments such as Mutual Funds, ETFs, and Bonds, etc. Also do not put the total amount invested in just one company’s share or one type Mutual Fund. Try to have sector/industry segmentation amongst your investment portfolio for a greater return in a long period of time.
Why diversification becomes so important; can be understood with the current Corona outbreak situation. This pandemic has hit the Aviation, Travel, Food & Beverages, and Entertainment industry very harshly. If in case, suppose you had all your bets placed in either of the above-mentioned industries, your portfolio would be doomed. So, it is always advised to keep a good balance of diversification in your investment net.
Also Read: 10 Secrets That’ll Boost your Money Saving
Selling a Product or Service: You may always pick selling of a product or service as another stream of income. This could be one small side business that you get to control fully on your own. You may choose to become a distributor for a third party agency and help them reach their customer base for their product or service. This work is basically part-time and can be handled over phone calls and emails. But it can earn you really good cash in hand.
Another way of creating a part-time income is to do what you love. You may want to roam around and take care of pet dogs or want to babysit or want to mow the lawns etc. But this can earn you good money over a tenure.
Passive income is one of the most important and fundamental methods that can get rich RICHER. It is how you disconnect your ability to earn from the time that you do have in a day (everybody gets 24 hours in a day, no less no more!). If you’ve known of the terminology “making money while you sleep” no spot-on words have been articulated. With multiple passive incomes, you actually make money while you sleep. Also, you make money while you’re wide-awake. It’s spontaneous and simply keeps pouring into your wealth.