I want to share very quickly about
passive income or residual income in network marketing. Because so many people
still don't understand what it is or how it works and that happens simply
because most people are coin operated.
Most people, the only type of income that they have ever known, is exchanging time for money. So the only income they ever known is you go to work, you get paid, if you don't go to work, you don't get paid. So that's 80%, 90% of the world is coin operated. So they go do the work, they get paid to go do the work, they get paid and that's the only type of income that they know.
But there is another side of the income, which is called passive income or residual income. And again, there's different ways how you can get passive or residual income and I'm not really going to get into all of them. But instead, I just wanted to very quickly to explain to you how passive or residual income works in network marketing in very simple terms.
Imagine, forget about network marketing for a minute. Imagine that you recommended your friend to go and shop at your local supermarket. So maybe it's Tesco, Sainsbury's, or Walmart or whatever the shopping center you have in your local area, right? So imagine that you recommended your friend to go and shop at the local supermarket. So they go there, they do the shopping and the supermarket says, “Wow, will because you have recommended this person came here and spent all of this money. So here is a small percentage to you have the shopping for the fact that you have recommended us business.” And they reward you for that right? Well, that would be awesome, wouldn't it?
And then as many friends as you send to the supermarket, they just pay your small percentage of the shopping; it would be absolutely awesome, wouldn't it? Unfortunately, that will never happen, because your local supermarket will never pay you for recommendation. So you can still recommend your friends to go to your local supermarket. But they will never pay you anything for that they’ll just say, “Well, thanks for sending them over, I will keep the profit.”
However, in network marketing, that's exactly what happens. So if you are part of network marketing business, and you recommend your friend to start shopping with your network marketing company, your network marketing company will start paying you a percentage of that shopping. And the reason why that income is called passive or residual income is that if you recommended your friend, and they came and did the shopping with your company, so you get paid, that would be like a job, right? That's active income, you did the job, and you got paid.
But the beautiful part is that for the rest of your life, every time when your friend comes in, does the shopping with your network marketing company, you'll get paid again and again and again and again. You know, so very often people ask me, they see get a meanness, how much did you get paid in your first month in network marketing? Eight years ago when I first got started, and they still ask me today, they said, “Well, how much did you get paid in your first month?” And I always say the truth? I say I don't know, because I haven't finished collecting all of that money. And the usually have a confused face because that doesn't compute in their employee understanding in their coin operated understanding. So they go like, “How can that be?”
And I explain to them that a few years ago, when I first started in network marketing, I recommended some of my friends to do their shopping with my business with my company, they did and I got paid, which was awesome, right? That was proof for me that okay that works, right. But the next month, the same people that they're shopping again, and I got paid again. But I didn't have to do anything, because I invited them last month, I did the job last month, and I get paid again the next month, and the next month and now eight years later, I will still be paid at the end of this month, I will still be paid for the work I did eight years ago. Because those people that I introduced eight years ago are still doing the shopping, are still recommending other people and so on.
This is the passive residual income, which means you do the job once, and you start being paid forever. And the job is basically just recommending for somebody to do their shopping with your company. But you know what's even sweeter? You know, what's even more amazing is that if your friend, now recommend somebody else to come and shop at your company, you will get paid on their shopping too. And if that friend recommends somebody to come and do the shopping, you will get paid on that person too and it can grow ad infinitum, it can grow until infinity. It can grow to super huge organizations. That's why the business model is called network marketing because in essence, what you’re starting, you’re starting a network, and you’re starting a network of people.
So not only you will be paid for the rest of your life, for the people you have introduced into the business who would do the shopping with a company, but you will also get paid for the rest of your life on the people that they introduce and they introduced and they introduced and so on and so on. So and this thing can grow, to have a humongous size to huge organizations. And you will be paid a percentage on that shopping. Now imagine if that was possible in your local supermarket that you would recommend somebody to go shopping there and you'd get paid. If they recommend somebody to go to the supermarket you'd get paid on their shopping too it'd be incredible, wouldn't it.
But that will never happen in your local supermarket, or your local cinema or your local restaurants or your local shops. Whenever you recommend somebody to go there, they just keep the profit. They never share it with you. In network marketing, that’s exactly what happens. The company says look, we didn't have to find that customer, and you have sent them over to us. That's why we'll give you a percentage of their shopping and if that customer recommend somebody and that person becomes a customer, we’ll pay you on their shopping too it is just absolutely incredible. Super sweet. And if you understand that, that's where the magic of network marketing happens when you start being paid on 50 people shopping every month, 100 people shopping, 500 people's, thousand people, 10,000 people, 50,000 people, hundred thousand people imagine being paid at the end of the month on 100,000 people shopping every single month.
That is true passive residual income where you get paid, whether you get out of bed or not where you earn money even when you sleeping, for example with our business, it operates all over the world. So I'm sleeping here but somebody's awake on the other side of the world doing our business buying products in my team for my company. So I'm literally making money in my sleep and that's what I wish for you guys too.
So that's the power of network marketing guys. That’s my training and tip for you. Hope you got value some value in this blog post, if you did, feel free to share it with other people. If you would like more amazing trainings check out “Network Marketing Success Training” group http://titaniumsuccess.co.uk/successtraining.php. There are 10 amazing lessons in this training course that will help you get the breakthrough in your business!
Yours in success
In : Personal Development
Tags: power of passive income