Hi, there all you busy beavers.
With this little run through on the subject of Second and Passive incomes, I hope to help you get on the road to a fun, money making, time friendly activity that you control!
If you are reading this, I am sure you are already a busy hard working person. Whether it’s a full-time job or full-time parent or a mixture of both, a passive/second form of income can help significantly.
When looking at the different ways to achieve a passive/second income and having full-time commitments elsewhere, time is the big player in making this happen! With the options that we are about to explore a small amount of time will need to be set aside.
Think of it like this, can you find 30 min a day or a couple of hours over the weekend to put towards another income? Simply by replacing watching your favourite show a couple of times or not scrolling through your Facebook feed for a bit, you could be going on a holiday with the family once a year.
I know this can happen because it’s what I do! The money goes to our family holiday pot and often pays for it! Time management is key. Your time is the most important thing you have to give. I find it helps to put your time slots on the calendar or dedicate a couple of nights a week to your chosen activity. You will be surprised how easy it becomes. Plus the added extra of benefitting financially and increased well-being and happiness all in one is priceless. Personally, I find it a great stress relief and could not do without my hobbies.
The worst thing you can do is not give it a go. Nothing you want to achieve will happen unless you make it happen!
A passive income and second income can be achieved with selling something you already make, do or picking something you like making, doing and selling the fruits of your fun!
Right, let’s get into it!!
The term Passive Income is a bit misleading because it describes a form of income that you earn by doing no (passive) work! In reality, this is next to impossible, but if you’re already enjoying a hobby and fancy selling what you make, this is the next best thing! If you are starting from scratch, pick something that you enjoy doing and doesn’t take a lot of time to do.
Now all you have to do is set your self up with a platform so you can sell your goods. Hopefully, it will be Egg Next Door, but there are others. You will also need a system to get the product ready for people, a money box, the orders bagged and a list of products. On this list you need, Name, pick up time and prices for each order.
The more universal your product and less time consuming to make, say bath bombs, the more passive it becomes. You can make bath bombs in big batches in one sitting when you have the time and sell your stock over time. Everyone needs a bath so you should always be in demand! Another good example could be if you keep chickens and fancy selling their eggs. They make the eggs, and you sell them. A bit of cleaning and feeding as your time/money investment. Winner! If you have never had chickens, they are unbelievably funny, and each one is a character.
There are thousands of options for passive incomes, and a lot of them are less time consuming than keeping chickens or making bath bombs. Don’t be scared to think outside of the box to make and sell thing no one has yet thought of. You could invent the next fidget spinner!
The second income.
A second income is an income that can be earned in the time between your primary job. A second income that leans towards passive will fits between work and your commitments outside of work. Mixing your second income with your family time and your pastimes will help it be sustainable. For example, if you are going to make hand knitted toys for people, get the kids/ grandkids to have a go with you. If you are going to sell your garden products then get the kids /grandkids to get their play clothes on and get them picking slugs off your greens or pulling potatoes up and getting muddy, it all helps make this a sustainable occupation!
You will be looking to streamline a hobby, or picking a pastime that might take a bit more time and effort than in the passive income section, but the benefits will be greater!
If for example, you have already got a pastime like portrait painting, wood turning or bee keeping you will already have the tools for the job, so you have a great head start. You will also be familiar with dedicating your time to something you enjoy doing.
What you will need to do is sit down and put your business hat on and write a plan from your hobby. Start with your costs, can you buy things for less that will do the same job or can you use a better something that might cost a bit more but will add greater value to the product? Your time, this is the most valuable thing you have in life so make sure you use it to your advantage. Have a look at your process, and if things can be grouped or made easier/quicker, it helps.
As my Grandad used to say “There is a place for everything and everything has its place”. If you follow this by having somewhere for your things, a process for what you do and the time you have to do it mapped out, you will be a very efficient little enterprise.
The next stage is letting people know what you are doing. Social media is the big player in this area but having a central place for all the advertising and attention you create around the product is a must. There are a few places to do this, but at Egg Next Door we have set up personal profiles that can be used as the hub of your social media attention. Plus once people like your Egg Next Door profile they get updates when you put something new on the site, so you have an instant audience that wants to buy your goods.
Alternatively, you can use Facebook, but they charge you to get your posts and adverts out to everyone from a business profile, or eBay and Etsy are another choice, but you will get charged commission. You can always collect the emails from people who have already purchased from you and contact them directly. Remember, Time = Money, but don’t let the joy of what you do be lost either. Put all this together, and you will be having fun and making extra cash in no time!
Starting from scratch is a different undertaking with a second income. You must pick something you will enjoy doing other wise it will soon become a chore. Before I started beekeeping, I helped my granddad with his bees, diving into the hive, getting stung and retrieving honey. I also did some starter sessions with the local association. After this, I knew that bee keeping was for me. I also found out that most local bee keeping associations have honey extracting facilities that you can pay to use so drastically cutting down on the cost of starting. So if you can get involved before taking the plunge, it is well worth it.
If there are expensive items needed for your new hobby, then the second-hand market is the place to looking. Whether it’s a wood lathe, candle making kit or painting easels, eBay, Facebook and gumtree have so many people selling fantastic second-hand hardware you can get started with a small start up cost. You can also look into local groups and classes to see if you can pay to use their things instead of buying them. A little bit of research at the start can go a long, long way. After this it’s the same as before, write a plan, streamline your time and every so often, have a look around to make sure you are using the best, cost effective products you can! Then getting your product out there on social media and having a central place that all your social media and adverts point to for purchases is the key to getting sales.
There will be lots of little changes you can make to your particular niche to make the most of it. I recommend you treat it like having two hobbies, the product you make and then the sales of the product. Don’t be intimidated by the initial start up though, once you have it all up and running and a couple of wrinkles ironed out you will have fun making products and making money.
Having fun is the key.
Enjoy starting, creating and selling; you are now an entrepreneur.