If you are interested in MLM network marketing then you have probably heard the term “residual income” a million times. Residual income is often cited as the main way to really increase your income in MLM network marketing, where you work hard once and pays you over and over. This four-part series will answer some of the most common and important questions that people have about residual income in network marketing. The first question people generally have is, “What is residual income?”
What is Residual Income?
Residual income is defined as any income that comes without much effort on your part or as a result of work that you have already done or sales you have already made. Some of the most common forms of residual income are royalties for publishing or for ongoing sales. For example, if you sell a product that requires a monthly payment, you will get paid for that sale even though you do not have to keep selling the product.
Another great way to earn residual income is with MLM network marketing. In fact, most MLM network marketing opportunities list residual income as part of the compensation package. When you can start earning these residuals in MLM you will really start to make money and the best part is that you will be earning this money without doing any additional work. Once you have laid the groundwork, your residuals will start rolling in.
How Does Residual Income Work in MLM Network Marketing?
Although each MLM network marketing opportunity is different, there are some common ways that people are compensated with residual income. When you first start your MLM job you will probably be putting in a lot of hours trying to find customers and growing your network. This hard work will eventually pay off, as you can expect to start earning some residual income on these efforts.
One way to earn residuals is by getting customers to buy a product on an ongoing basis. If you sell them on a product that they purchase each month you will get paid commissions each time they buy, even though you will not have to do any more work.
Once you have people working for you in your network you can start to get residuals on the sales that they make. You have already done the work to get these people involved, which means you can continue to earn money from their efforts without any extra work on your part. Sure, you might have to answer some questions or give some occasional training, but for the most part, you will be earning these residuals on work that you have already done.
Residual Income is the way to get rich
Now that you know what residual income is, you are probably wondering if it is better to get residuals or to get a normal employee wage. This question will be answered in part two of our series, which will break down the reasons why residual income is better than employee wages. If you want to keep learning about how to get wealthy with residual income then continue to part two by clicking here as part of my four-part series.
To your Success,