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Running a business is challenging for new entrepreneurs. You will need to get used to managing your money, dealing with suppliers, and taking care of customer service. If in the first few years you find yourself short of cash, you will need to start thinking about building a source of residual income. Below you can find some little known ideas that can help you manage your future finances better.
Rent Out Space
If you don’t use your office or meeting room all the time, you can rent it out for other businesses from time to time. Given that this doesn’t affect the normal operation of your business, you can get some regular income from tenants, without having to give up your office space. There are many entrepreneurs working from home looking for a desk in an office or a room to meet with clients. Take advantage of this opportunity and increase your cash balance. Offer Subscription Services
No matter which industry you are in, you can always bring out a cheap product that serves the comfort of your customers. If you have a computer repair service, offer local businesses a monthly all inclusive package on subscription. They will be happy to pay you a flat fee and rest assured that whenever they have an issue they have somebody to turn to. If you are selling software, give your clients the option to pay for their purchase monthly, so you get a regular income.
Rent Out Staff
In quiet business periods, you can team up with other businesses in your industry and give them help. Renting out staff comes with several risks, but if you know that your employees are loyal and would rather be busy than sit around the office all day, you can carry on paying them while having their wages covered by another company that desperately needs help.
Create a Membership Site
Some people say that membership sites are things from the past, but you can still make money of them. If you have a special skill and expertise that you can share with people and customers, create a training program and offer a monthly access package that they cannot say no to. Save the money up so you have a decent investment for when you reach the age of retirement. If you have held speeches and want to share your knowledge with others, create professional videos, or offer business coaching for startup business owners, if you are in that industry.
Promote Products for a Commission
If your website sales are not covering your business expenses, you could start teaming up with other companies and cross-promote their products. As an example, if you have a pet supply store, you can start recommending a vaccination service at the local pet store and get paid for every referral you send to them. This way, you can create a passive income source that will help you manage challenging situations.
There’s plenty of passive income ideas that you can use to supplement or even replace your full-time income.
When you struggle staying on top of your business finances, use your creativity to build a residual income.