Imagine a world (your world) where money is constantly rolling in?
Heaven, isn’t it.
No stress. No worrying. No seeing the price tags of things before buying.
And one thing less to stress constantly and worry about – Money.
According to experts, making money through multiple streams of income is a huge factor in how financially successful and secure you become.
I’m a very firm believer in the concept of multiple streams of income.
In fact, the first time I heard and understood about multiple streams of income I was blown away by its evident ability to build wealth, increase your savings and sustain it over long period of time.
Because it’s such an important concept, I thought I’d share it with you.
Multiple Streams of Income are the key to Wealth
Earning income from more than one source is one of the best and fastest ways to build wealth, especially when you’re able to generate passive income streams that don’t require a lot of time and effort on your part.
For last 2 years I have made it my mission to start building several sources of income and to never rely on just one.
If anything were to happen to my source, at least with multiple income streams, my basic expenses would be covered.
Even if you believe you have a much secured job, becoming dependent on one source of income is extremely risky and a source of constant anxiety.
Why Do We Need Multiple Sources of Income?
Diversifying your income through multiple streams is extremely important, because if one type of income dries up, you still have other sources from which money is coming in instead of losing your entire income altogether.
Consider this – if your entire income is from a job, then you’re putting yourself at risk. If your company asks you to leave for any reason, then you have no income until you find another one. Thus, you have very little control over that stream of income.
Rapid change in workplace
I believe diversifying your income with multiple streams is more important than it’s ever been. The workplace is changing very rapidly due to constant changes in technology, globalization, and other forces that you’ll never be able to control.
Multiple Sources of Income Keeps You Protected.
It is important to understand that when you have money coming in from multiple sources, the more protected you are during a market crash, recession, job loss, personal health crisis, technical innovation, or anything else that has the potential to throw your income for a loop.
If one or two sources of income dries up, you still have several others to keep you afloat while you rebuild.
So, how do you build multiple income streams?
Always start small.
In order to have multiple streams of income, you need to have at least one stream to begin with. This could be your full time job or a business, which will act as income stream #1.
Then get started on the next source. It can be a lot of work and time initially to manage these sources, however the management side of things will develop as you build each of them.
Try not to do all at once. Set the 2nd up, watch it blossom and work, then move onto the 3rd so on and so forth.
Beware, do not move onto the next source until you have full control, otherwise you’ll risk that falling apart.
There is no quick solution to building your income streams, you will have to put in lots of time and efforts for it initially.
I have listed some ways you can achieve this.
1. Save & invest
The most important basic to financial independence is to save and invest as much as possible. If you can’t save now, then the goal of financial independence will be increasingly harder to reach.
Investing is a great option if you have the benefit of time, as you can pour in some capital and watch it grow over a number of years.
When deciding where to invest your money, choose one that works for you.
There are so many investment options.
2. Turn your hobby into income
If there’s something you are good at or passionate about, see if there is a way to turn it into extra cash. It can be cooking, baking, dance, yoga. Anything that can add value to your customer.
Analyse if there is a way you can turn something you like to do in your spare time into a viable “side hustle”.
3. Get online
Nowadays, there are hundreds of ways to get into making money online.
- A blog
- Affiliate Marketing
- Drop shipping
- Creating an eBook/digital products
- Taking paid surveys
- Become a Virtual assistant
4. Keep learning & developing
After you focus on your main source of income and work on a side hustle made from something you are interested in, you can generate another source of income by continually learning and developing your skills.
You can then use these developed skills and either apply to an existing business model or create a new one.
Important Tips For Creating Multiple Income Streams
- Pick and choose a few income streams and focus on those.
Don’t try too many things at once. Instead, pick a few income streams you want to focus on and then put all of your time and energy into growing them.
This will help you be more successful and avoid burnout.
2. Diversify your income streams.
Do not put all your eggs in one basket. Diversifying your income sources is a great way to reduce risk, secure yourself and make sure that you always have money coming in.
3. Start slowly and build up over time.
Don’t expect to make a lot of money overnight. It takes time to build up multiple income streams. Start slowly and then gradually increase your earnings as you add more income streams.
4. Automate and delegate
Don’t try to do everything yourself. Automating and delegating tasks will help you free up time to focus on more important things.
5. Continue to learn and grow.
The world around is constantly changing, so you need to learn new things and adapt as and when needed. This will help you stay ahead of the curve and continue to make money from your multiple income streams.
7. Be prepared for failure.
Not everything you try is going to be a success. Don’t get discouraged if something doesn’t work out. Instead, learn from your mistakes and keep moving forward.
8. Have fun. And loads of it!
Making money should be an enjoyable process. Find ways to enjoy the process and you’ll be more successful in the long run.
Although building multiple income streams will take you time and effort, in the long term you could be setting yourself up for financial freedom.
No matter how hard you work in your job, it’s very likely that you’ll end up getting the same amount money month after month.
However, when you start hustling on the side, you can multiply your money ten-fold! The more effort you put in the more you’ll be able to make. My best advice is to thoroughly educate yourself in ways to make money from multiple sources, and see the outcome!