How to Have an Entirely Automated Business Model
Biz systemization is the process of systemizing a business such that it can run more efficiently and such that you can take a step back and allow it to operate more independently. This then means that you as the business owner or manager will have more time to either take out of work, or more time to spend getting new clients, marketing and expanding the company.
But some entrepreneurs take this much further. In some cases, businesses can be entirely 100% automated to the point where they completely run themselves and you actually just sit back and watch the money role in. This is what’s known as ‘passive income‘ and for many people it represents the ultimate business achievement.
But how is this possible and how can you get a slice of the action?
What is Passive Income?
Passive income is money you make while you’re sleeping or on holiday.
This doesn’t mean that you didn’t work for that money but what it does mean is that you are no longer trading time directly for money.
Digital Product Passive Income Business Model
An example of such a business model is selling any kind of digital product. This is a product like an eBook or an app that is entirely digital and has no physical form. Thus these products have no overheads and if you have a site where customers can buy them and download them, then you will have no need to do anything to generate income once you have the site up and running and you have marketed it sufficiently.
Add an app to the app store with a name that people are searching for and it will get downloads indefinitely once it has been uploaded. Of course extra marketing and improving the app will aid your profits but they are not necessary.
This is basically like creating one system that can generate you income without your input at all. The best thing about this type of business model is that it allows you to spend your time however you want to and even better, you can create as many of these business models as you like.
More Examples of Passive Income Business Models
Other examples of passive income business models include:
- Letting affiliates sell your product
- Setting up a website to sell an affiliate’s product
- Making money from advertising on a website, app or video
- Being a contractor and getting commission on work that others do for clients you find