The opportunity to receive passive income always looks like a good idea, but it becomes especially relevant during a pandemic. How to create sources of passive income? Consider in the article.
Passive income is a sort of revenue that needs little time and effort to generate. But, first and foremost, it is important to debunk the most common misconception: passive income does not imply that you must sit and do nothing while your account gets replenished. Almost every source of passive income necessitates some effort and capital, particularly at the outset. After that, it will produce income without your involvement.
In this article, we will analyze 12 ideas for passive income. There will be no offers to buy securities, cryptocurrencies, and trading on the stock exchange. All ideas are available for implementation. They are suitable for beginner entrepreneurs and do not require specific knowledge.
Car as a source of passive income
You can rent your car to a taxi service or rent it. But you should understand that just giving the car and waiting for income will not work. We’ll have to control everything:
- You need to understand the legal side of the issue.
- Choose a competent tenant (individuals, transport companies, local taxi companies, aggregators) and determine the cooperation terms.
- It is worth-while to draw up a plan of the project’s income and expenses in advance to determine how beneficial it is in your particular case.
As a rule, in a city with over one million, a rented car can bring 1-1.5 thousand rubles a day and 30-40 thousand rubles a month. But it would help if you considered the deterioration of the car, possible repairs, maintenance costs, insurance, etc.
This idea will suit those who are well versed in the intricacies of taxi fleets and transport companies.
So, in theory, this is a highly profitable business, but, as practice shows, the process is very risky and troublesome. For example, to reduce the risk, you can rent a car, not as a taxi, but for personal use – often, companies rent vehicles for their employees. Or choose another way of passive income by car.
A simpler and safer option is to use the car as an advertising medium. All you needs to do is place an advertisement on your car. To find clients, you can contact advertising agencies, place an ad on Avito, or look at specialized services like Wrapify and Carvertise.
The income will depend on the ad space: the larger it is, the higher the income. For example, you can place a large banner on a truck – thanks to such advertising, you can earn about 10 thousand rubles a month. A lightbox set on the roof of a car brings 3-6 thousand rubles a month.
Renting out your property
You can rent transport and other property: various equipment, furniture, appliances, special tools, clothes for photo sessions, a photo zone, etc. In this collection, we have collected 20 ideas for making money at the box office.
- Game and mobile application development
A modern and profitable concept. The mobile app industries are expanding at a rapid pace. Many new goods that earn a lot of income are emerging. The following is the road map:
- Develop an app.
- Put it on an app store or on your website.
- Start earning passive income.
This can be paid for the application itself or part of the content; or in-app ad impressions.
Keep in mind that developing an app necessitates specific abilities, and selling it necessitates an investment in promotion.
Selling photos or copyright illustrations on stocks
Photographers, painters, and illustrators may make money online by selling their work.
There are several photo stocks, exchanges, and other sites that allow you to sell photographs to do this.
The general earnings plan is as follows:
- Could you choose a service, register for it?
- Please upload your work (photos/illustrations).
- Pass the service exam and get entry to the sale.
- Choose the terms of sale that will determine the amount of royalties.
- You are compensated for downloading your work.
You may sell your work on picture stock sites, which pay the creator a commission on each sale.
Shutterstock and Depositphotos are the most prominent picture stock sites.
There are a plethora of them, allowing you to select the best alternative for yourself.Behance and Dribbble platforms are suitable for selling illustrations.
But to reach a high income, you will have to work hard and create a large portfolio first. The more content there is, the more downloads and, accordingly, money. It is quite possible to earn 40 thousand rubles a month or more on photo stocks. But for this, the portfolio must also consist of 1-3 thousand photographs.
Garages and parking spaces
Renting out real estate is a standard form of passive income. But if buying a home requires a significant investment, then the cost of a garage or parking space makes it easier to enter the rental market. So this is a suitable option for newbies whose starting capital is limited.
In a small town, a garage can be purchased for 50-100 thousand rubles. In large cities, you will have to pay about 100-250 thousand rubles.
The rent for garages is on average 2-5 thousand rubles, depending on the region. A detached building near the road can be rented out at a higher price – it is suitable for a small business: service station, tire fitting, etc. The profitability of renting a garage is much higher than renting an apartment: on average, it is a 20% profitability, while home rental brings about 10% profit.
Renting a parking space is also relevant. The parking problem is getting worse with the growing number of car owners. Every year the number of cars increases, the land is built up with high-rise buildings, and very little space is left for parking. These conditions form the demand for parking.
It is profitable to purchase parking spaces before delivering a new house because the cost of parking after the delivery of the project rises by 40-50%. This means that even if you change your mind about renting and want to sell a parking space, you can already make money on this deal. In general, the profitability of renting a parking lot is 15-20%.
You can also open your business in the garage itself! This will, of course, not be a passive income, but you can choose a company to your liking, which will bring revenue and not take a lot of time.
Creation and sale of information products
If you are experts in a certain industry, you may make money by selling information items such as courses, training materials, webinars, manuals, and so on. Even if the matter has been discussed for a long time and is actively used by many people, it is still relevant.
The most important things are to build a high-quality product rather than to hack.
The essence of the concept is as follows: you create one information product and then sell it many times. The sales mechanism can work automatically if you configure all the tools.
Earnings on social networks
You may start a blog, channel, or public – and connect it to numerous means of generating money, ranging from advertising to selling your things and concluding with contributions (rewards from grateful subscribers).
There are several ways to make money.
You may, for example, start a channel on any service and charge a membership to your account.
You may also make money from video content streams and views.
If you do not want to create your blog from scratch, you can buy a ready-made project and make money on it. Owners of popular publics and channels frequently sell their resource, which already has a following.
On exchanges like Trade-groups, you may see examples of similar offers.
An affiliate programme is a transaction between an advertising and a selling affiliate.
Anyone – the owner of the community, the owner of the account, and even those who are not enrolled in social networks – may make money this way.
The diagram looks like this:
- You put information on your page about particular items, goods, and
- services related to affiliate programmes;
- visitors click on your link and make purchases;
- you get a portion of each transaction.
CPAseti.com, Bintrader, Monecle LetyShops, and other similar platforms allow you to search for affiliate programmes.
Your profits are either a percentage of the advertisers’ sales or a set sum.
You won’t make much money from this, but it may be regarded a source of extra income.
Buying websites with income
Purchasing a ready-made website has recently gained appeal as a source of passive income.
Because there are both profitable and unproductive initiatives, sites are continuously buying and selling.
Where can you purchase a website?
Various services enable you to buy or sell a website while ensuring transaction security.
Services serve as an intermediary and are compensated with a portion of the transaction.
Website exchanges where you may purchase a website:
- ebizz.co.uk – the service conducts auctions for the sale of sites and does not take a commission, so all risks remain with you. But for 5% of the transaction amount, the service provides the services of a guarantor.
As a rule, the price of a site is calculated based on the payback of the project. But it all depend on the method of monetization: sites with passive income are more expensive.
Thus, buying a website is a profitable investment that can quickly pay off and make a profit. The main thing in this business is to be able to analyze offers and buy good sites correctly.
They are selling old things and junk.
In a crisis and with limited resources, these areas can become profitable. There are many successful directions for implementing the idea of making money on old things. For example, here are some of these ideas:
- Second-hand bookstore
- Renting out vintage and retro decor
- Museum of old things
- Recyclable materials collection point
- Second-hand and second-hand shops.
Rent of billboards
Outdoor advertising is always relevant and in great demand among customers. Therefore, you can make a lot of money by renting out advertising space. For example, roller boards. Such structures are installed on busy city streets and do not take up much space. Many billboards are equipped with a scrolling mechanism – this allows showing up to four advertising messages from different customers.
One billboard can bring about 15 thousand rubles a month. And its installation takes approximately 70 thousand rubles. This means that the initial investment can be recouped in a few months.
The main problem in this matter is to obtain permission to install the shield in the place of interest.
It is also worth mentioning other lucrative passive income ideas associated with advertising placement: advertising in elevators, on street screens, video stands, etc. The principle is the same everywhere – we set up advertising space, rent it out, and get income.
Vending is suitable for those who want to get maximum profit with minimum effort. Starting such a business is quite simple and quick, with a start-up capital of 100 thousand rubles. With this money, you buy a vending machine for a specific product, install it in a crowded place and start earning. Your participation in business is minimal: it is enough to come 2-3 times a week to replenish goods or consumables and collect the proceeds.
The most popular vending machines brew coffee and dispense snacks. But today, the vending format is relevant for a wide variety of goods and services. A vending machine selling jewelry, lenses, flowers, accessories for smartphones, an automatic engine for printing photos from social networks, and a photo booth – all this can be attributed to the vending business.