Developing systems so as to ensure multiple and recurring streams of income is one of the best things one can do to achieve financial independence. But then, most people are not even thinking about it. Some of us do stop and gasp, but that isn’t going to get rid of our problems. Let us look into some of those amazing opportunities that can really pump up your streams of income with you having done the work just once:

1.    Write a book – a best seller: See what J.K. Rowling did with Harry Potter and the Secret of Multiple streams of income (that wasn’t any book; it was just made up for effect)? Did you know that publishers keep paying you royalties and also a non-refundable advance initially — applied against royalties accrued on all sales? You never know how much your first book is going to fetch you but you could expect anything from a humble 100 USD to a $ I million and then soaring northwards. Publishers usually give you a portion of what you might be slated to earn within a year or so, after the book is published.

According to Caderbooks.com “Royalties are roughly about  6 to 8 percent of the retail price on paperbacks, 6 to 10 percent of the retail price on mass market paperbacks, and 10 to 15 percent of the retail price on hard covers. But there is plenty of variation. Coffee-table books and reference books often require more investment and production work upfront, and yield lower advances. Certain publishers invest more editorial and artistic effort, and therefore offer lower royalties. And so on.”  The beautiful thing about writing a book is that it is a one time process – do it, publish it and collect the checks coming in.
2.    Invest in Real estate: Of course you might have to shell out a lot of money to do this, but if you can, this is an awesome way to build a steady and long-term stream of healthy income. Build homes, invest in commercial buildings and give them out for lease or sell them. Real estate prices are usually on an upswing more often than not and there are a lot of things you might have to know – but it is worth it all.
3.    Leverage the Internet: There are plenty of business models that have a “digital delivery of informational products” online. These business systems are all automated and make plenty of money for the business owners while there are absolutely minimal overheads. The cost of making the informational products and the costs of managing and hosting the websites; commissions for the credit card processing and marketing etc might be the only expenses. What you spend is a joke compared to what offline businesses have to incur. Set-it up; automate and go laughing to the bank.
4.    Financial Investments: Making money work for you is simple yet powerful. Robert Kiyosaki — the author of the famous Ricd Dad series of books has been an active proponent of this strategy.Using various kinds of financial instruments, you could manage a portfolio that can start making money for you. These are all strategies to build your wealth without your involvement so perhaps you could look at specific products like Mutual Funds and Market- Linked Life Insurance Policies – they should have exposure to equity markets and must be long – term.
5.    Invest in other Businesses: If you have money and an eye for picking up promising business ventures, you could look to become a passive investor. In effect, you are beginning to do some Venture Capital deals here. The idea is to invest in promising upstarts so as to allow them to grow and make more money for you. The businesses will put in the requisite hard work and you will reap benefits. Lawers.com has a helpful guide called “Investing in someone else’s business” to help you do this just right and legally at that.

The message that wasn’t let out until you read between the lines is the fact that most of these ideas are risky. But if you remember the risk-return trade-off principle in finance – the more you risk, the more you stand to gain — you will be off to a good start. Do you have any more ideas on building recurring income?

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