Here are my thoughts on what you have mentioned. What you are referring to as passive income, is really leveraged income. Income created from the efforts of others and it is in fact the key to massive wealth.

The power of leverage is “Wealth Principal Number 1″.

If you take every billionaire out there and compare them, they will all have one thing in common. That is leverage, someone else does the work and they get paid.

One man’s efforts can only create so much but there is no limit to what a team of people can accomplish.
J Paul Getty said it best. “I would rather have 1% of the efforts of 100 men than 100% of my own”.

Earning leveraged income form the efforts of your downline is the power of network marketing. If you are only earning off of your own efforts it will be very hard to obtain great wealth. You are in essence still trading time for money, because it is only your efforts that are creating you income.

If a downline is not successful it is normally due the the training and upline support available to them or the lack of a duplicatable system.

Naturally we all know a majority of people will not make it in network marketing because their lack of commitment.

Our job as the upline is to make sure it is not our fault that they fail. We really need to over deliver on training and support. When building a true team using a proven system duplication is easy. However, the system has to be something that the weakest link on your team can accomplish. This is where most fail, they rely on tricky marketing tactics, complicated personal presentations, individual selling of the opportunity or product, ETC. Networking is not about any of that stuff. Yet that is exactly what most people are taught to do when they join a MLM.

When Aunt Betty who is 60 years old and only checks email on her computer, joins a company there needs to be a system in place that Aunt Betty can use which will produce results. If there isn’t there will never be good duplication. This is another place where most fail, they complicate things. Simplicity is the key to success in Network Marketing. If it is simple then anyone can duplicate and the downline grows. When the downline grows leveraged (passive) income is created for everyone above.

Here is the next problem, the internet has created 100’s of ridiculous MLM / Network Marketing opportunities that have no business existing. The compensation plans do not promote true teams and earnings to unlimited depths. They are all based around a quick sale and large commissions. These types of programs will never produce long term true residual income, nor will they produce great downlines that create leveraged income. Here you are correct, in a program like this you will have to create your own income, because most people will never duplicate.

A true networking company with a real compensation plan can create an amazing leveraged income. One of my upline team members, someone I work closely with, just made SVP with my company. He achieved that rank because of the efforts of his team (over 14k now) (BTW 5 years ago there was only 1 person under him). This position pays him 6 figures monthly. He could of never accomplished that on his own. Nor could I and chances are almost anyone who reads this would not be able to accomplish that on their own.

Without leveraged income we are leaving a fortune on the table. If the company you are with cannot or has not created you leveraged income you might want to reevaluate your methods of duplication, your compensation plan or your company.

The only reason I know this is because I spent 7 years in the wrong companies.

To your success!
Rob

I also would like to add the difference between residual income and passive income because I believe there is a difference.

Residual income like you said comes from rentals, insurance renewals, loans and stuff like that.

Passive income is what I would classify as the money earned from other peoples efforts. It is not always guaranteed and it is dependent on other people.

To allow your income to be dependent on your downline, and/or other outside factors is naive.

If you are not able to pay your bills with your own efforts you are playing with fire.

Good luck and have a wonderful day!

Joe

What an amazing story of endurance and perseverance! “Instant successes” and “overnight successes” are always preceded by years of hard work behind the scenes. We sometimes forget that . . . you have reminded us. For that I’m grateful. Have a great week!

Thank you so much

Cheers,
Yorinda

great article.

I was amazed that with the things I learned about SEO and keywords that my website was on No 1 on Google after only being up for 2 weeks.

It definitely pays to learn and use SEO.

Cheers
Yorinda

Rob

Rob

Thanks so much for sharing this story with us all. It is very encouraging and inspiring to know that it can be done no matter what happens in our life as long as we keep our eyes on goals and dreams. Many blessings to your great success in all that you do. You deserve it my friend.

Make it a great day!
God Bless,
-ed

this article.