Many of us never considered the possibility of retiring while owning a business. I know that I never had given this a second thought—I mean the purpose of retiring is not to work, right? What I have learned over the last year is that is only partially true.
At a higher level, a business is an asset, and assets make us money. So the concepts I have been kicking around are that of business income from royalties and business income from an automated business.
Both concepts function passively, without much assistance from us, the retiree. Now, I am not saying setting both of these ideas into motion will be easy, probably the opposite in fact. But, since we have learned so much, we should all be squeezing these concepts into our retirement portfolios.
Let’s break these business ideas—royalties and automation—down further into subsections. To build a great retirement business, we have to know what we are planning from the very beginning. The sections are business mindset, business planning, business basics, royalties & automation, content creation, business ideas, and a final review of the business books I have read over the last three months.
Business Mindset. Nothing is more important than building a business mindset BEFORE you start a business. By business mindset, I mean to become an entrepreneur. Yes, you can make yourself an entrepreneur. It is not a natural gift.
The main idea of starting a business or creating royalties is to have a happy cash flow retirement. Cash flow is the joy of life and allows us to spend huge amounts of quality time with our loved ones.
Speaking of loved ones, a business gives mothers the capability to work from home and business owners the ability to hire their family members at will. These options are great as we continue to grow together and plan for retirement.
Some of us live paycheck to paycheck, and it can be hard to form a business mindset under these circumstances. What I can tell you is that reading is the key to everything. Hard work comes next. Being unique sells, so continue to be yourself and your business will follow your greatness.
Indeed, knowing yourself is the best way to create a sustainable business model. I know I want the ability to create my income on the go, from anywhere in the world, so I am blogging to financial independence. Your goals may be different than mine, but one thing that will be the same is the passive income grind that we will endure.
The business mind can never rest or become comfortable. Things are always changing, and we, as entrepreneurs, will need to follow these headwinds (or tailwinds). We will need to become lifelong learners, always curious about what tomorrow brings.
Business Planning. As I said earlier, becoming an entrepreneur before starting a business is your first goal. It may sound difficult, but it is all mental. Don’t worry; I have you covered—read these ten books before starting a business. You will be well on your way to understanding what true entrepreneurs understand—that you will need to add value before expecting someone to purchase from you.
As you form the idea of a business in your head, understanding the six types of income will be a great way to reconcile your ideas against your talents. Not everyone is meant for writing, and not everyone is meant for public speaking. Know your abilities, but also don’t limit yourself.
I never thought that I would become a writer, but here I am today—writing. My dream is to be on the beach, typing on my fancy Chromebook and making money from anywhere. I am putting things into motion now that will assist me in my dream.
One of the business ideas I am doing, in addition to writing, is affiliate marketing. Affiliate marketing is a way for me to share items and services that I use and gain a commission if someone decides to purchase one of my recommendations. I will add even more passive income ideas to my portfolio as time progresses.
Business Basics. I covered many business basics in “Retire Rich, Retire Comfortable with a Business,” including some advertising tips. I dive in a little further with my article “Eight Basic Human Needs.” Knowing how to appeal to your customer’s basic needs is vital to success.
The principles of design are probably the most important concepts you need to understand as you move into your company’s advertising and marketing phase. I believe that everyone should do their own advertising and marketing, at least in the beginning.
Doing your own advertising and designing will ensure you know enough to hire good people. Understanding the basic principles of design has helped me so much over the last six months. Knowing these principles is a game-changer for your business moving forward.
Royalties & Automation. Knowing the difference between royalties and automation will help you create content and workflow for each. Royalties come from creating content, while automation comes from systems, out-sourcing, and management.
The magic of royalties is in the fact that you do the work once, and your returns keep coming. The magic of an automated business is a full-blown business that someone (or something) runs for you. You collect the residual business income while enjoying the beach.
My first priority for business is royalties via writing. I love writing because it is challenging and frees the soul. I foresee myself writing for a very long time. Hopefully, you can find something you love doing for the longevity of your lifetime.
Royalties will also help you defeat inflationary worries as you progress through retirement. Having books, music, videos, or designs out in the world, making you money, can help us live an excellent cash-flow retirement system.
Dividends can also help us defeat inflation and are more passive than royalties—but which is better for you? Luckily, I am building both portfolios, and I give my experiences with each in my article “Dividends vs. Royalties part II.”
Content Creation. Business would not be exciting without content creation. Even if you aim to start an automated business, you will need to have content. Today, social media and online advertising is the top way to get new leads. Content is king.
I do a lot of writing, so my focus has been on documenting my exploits in the world of literature. I have articles on how to write 1000+ words a day, write book reviews, create an eBook series, and write a book in one week. As you can tell, I love writing. Along the way, I have been using Grammarly to help me become a better writer.
Now, creating content for your home-based business should be a top priority. First, you add value by creating helpful content; then, people will know, like, and trust you. From there, you can slowly give your audience a chance to purchase products from you.
Business Ideas. All these concepts and learning are great, but what kind of passive business should you start? I have been building a list of ideas that interest me along the way. Maybe you can find something that you like as well.
Remember, every single income stream is different. Nobody’s income stream can be precisely the same. Therefore, as you start, you may not get the same results as someone else, at least initially. You need to be flexible and adapt as time continues. Here are some ideas from the last few months.
- Buy and Rent an 18-Wheeler Truck
- Run a Passive Airbnb Business
- Run a Property Management Business
- Harvest Beneficial Insects for Passive Income
- Start a Community Garden and U-Pick-It Farm
- Sustainable Riches: Return to Earth. Make Green
- The Business of RV Life
- How to Profit from Electric Vehicles
Business Book Takeaways. I read five business books over the last few months. I loved them all for various reasons. When building a content-first business, “Content Inc.” will be a great first read.
Advertising and marketing can be difficult without knowledge, so these books can help: “How to Market a Book” and “Help! My Facebook Ads Suck.” I also read a book on writing a successful book series and advertising campaign called “Mastering Your Mystery.”
Finally, I read a very insightful book on how to open and run a physical business. Most of my reading has been about online companies, so this was a nice change of pace. The name of the book is “How to Start a Microbrewery.”
Conclusion. As you can see, it has been a hectic few months, and I have so much more ahead. You’ll be surprised how fast your work stacks as you keep producing content. It is a great time to be alive and build a passive income via business concepts.
I hope you are motivated to start building your income stream. Nothing is more exhilarating than making sales by adding value to others. Enjoy and Happy Investing!
- Build Passive Income: 21 Passive Income Ideas (book)
- Free PDF Downloads: Download FREE PDF books here
- Financial Mindset: Become CEO of Yourself (book)
- Retirement Planning: Retirement Planning at Any Age (book)
- Investing: How We Plan to Retire on Dividends (book)
- Cryptocurrencies: My First Book on Cryptocurrencies (book)
- Real Estate: Financial Independence through Real Estate (book)
- Business: Retire Rich, Retire Comfortable with a Business (book)
- Everything!: The Biggest Book on Passive Income Ever! (book)(Web Edition)(Art Edition)
- I bought a Kindle Oasis: Check it out Amazon
- Read My Books for Free: Free Kindle Books Schedule
- Sign up to Access our “Hidden” Free Kindle Book Schedule
- My first Children’s book: A Child’s First Book on Passive Income (book)
- Book Reviews: 54 Takeaways from 54 Books (book)
- Want to Build Passive Income from Books and Affiliate Marketing? (Learn here)
- Writing: Can Grammarly Make You a Better Writer? (direct)
- My Favorite Chromebook: The Ultimate Chromebook (direct)
- Follow us: On our Facebook Page and Join our Facebook Group
- Amazon Author Page: Check out my author page on Amazon
- Monthly Dividend Planner: Check it out on Esty
Disclosure: I am not a financial advisor or money manager, and any knowledge is given as guidance and not direct actionable investment advice. I am an Amazon Affiliate. Please research any investment vehicles that are being considered. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.
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