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3 Streams of Income You Need to Have in Your Business So You Can Increase Your Earning Potential and Serve More People

Aug 06, 2019

Here’s the thing…

Relying on a single source of income is tough. Think about that like holding down a 9-5 day job. You make a set amount of money and that’s it. You’re not even guaranteed that money working 9-5 as a business owner. If we’re entrepreneurs there’s very little reason for us to rely on a single income source.

One of the perks of being a business owner is that we have the opportunity to create multiple sources of income for ourselves, all within our own business. There are 3 types of income that you can bring in. With the Thrive business model I recommend you have all 3. 

We’ll go over why you want to implement all three of them, what they are and some common mistakes I see in the online space.

 

Why Is Recurring Revenue Important?

 

First of all, the 3 tiered Thrive Business model allows you to capitalize on the different levels of service that you can provide your client.

As a service provider with the effort that it takes for you to sell, you cannot fill your entire calendar with service hours. I see this happening a lot for offline businesses like doctors, dentists and massage therapists.

In the online space, you are already very aware of the time, energy, and effort that is required to sell your services. You're already allocating enough time for marketing and sales until some of you until you get to a threshold of a certain number of clients depending on your business

Sometimes that could be with as little as 3 or 4 clients for some of you. That means you can't go past 10 or 12 clients. What happens is if that's our main revenue source, we are capped in the amount of money that we can make. And our business is completely reliant on us to be able to service those clients, to be able to make the money.

It feels like we don't have the freedom that most of you are wanting from your business.

Second, It allows you to increase your profit. Adding multiple income streams will naturally increase your profit for your business. 

If you're setting it up correctly you can capture a completely different section of your market who otherwise would not have bought from you.

Something that’s important to take note of is that everything is distinct and clear with your packages. If you're going to offer three tiers, make sure that its clear what each tier gets and who gets what. If they're too similar people may wonder why they should pay for the more expensive tier when the one below it is so similar.

It’s all about positioning, marketing and how you serve each tier.

Finally, you're able to serve clients no matter what their investment capability is. For me this was huge.

We’re impact driven entrepreneurs. If I get to help people at all levels of the market I feel really good, I can really help those that need my help. Being able to offer various products at various price points is a bonus.

 

The Multiple Sources of Income in The Thrive Business Model

 

Tier 1 - A done for you service or done with you service

The most straightforward of the tiers. This is the actual service that you provide for your clients. 

For example, if you're an online business owner you may be doing consulting, coaching. If you're a marketing agency - copywriting, social media strategy, etc. If you’re a doctor - seeing patients.

 

Tier 2 - A leveraged service offering.

Allows you to serve multiple people in the exact same amount of time. Multiple people come and you’re serving them all at once. The most obvious benefit to this tier is doing all your servicing in one shot rather than multiple sessions. 

This type of service still  requires your time and is not passive. You're still going to need to show up for the people that you’re serving.

Some examples include group program, workshops, webinars, or live events and retreats

If you’re interested in creating and launching your own group program then check out my Ultimate Group Coaching Framework. I help all my clients create and launch their own group programs and this all my experience condensed down to help anyone that needs it. Best of all this is FREE to anyone who needs it.

 

Tier 3 - Passive income

Income that you make completely passively. You set it up once and you generally dont need to worry about it much after that. Anything that is passive and doesn’t require to to show up to every single time

Examples include - Courses, books

I’ve done courses. I own real estate and I have a manager that runs everything. I don't need to think about it, or worry about it or do anything

Take a look at your business and see what percentage of your current income is coming from each of these revenue sources.

 

The Truth Creating a Recurring Revenue Stream

 

Most people online are taught that you can just start this passive thing, it's gonna be easy and a quick fix. You make a product and sell it passively on an automated webinar. You’re now a millionaire overnight. If you’ve been in business for more than one day you know that this is not how it works

I joined a course that promised this exact thing and I went through the program. My webinar tanked and I had zero sales. I recovered by doing sales outreach and was able to make my first $5k month but I did that all through sales activity.

There's two separate things we need to know. There's selling the service and then the service itself.

As you implement the thriving business model know that we want the service side to be passive. But we will still need to work on the actual selling of that service. Eventually you can get it to complete automation but it doesn't start that way.

Realize it's going to take you servicing clients first before you can scale and leverage. You’re going to have to grow it from the ground up. Know what you’re selling and having a sales mechanism that works for you. Then eventually you can automate it.

There is no shortcut pill. Anyone that's trying to sell you that is just trying to make money off of you. 

Yes, you can have recurring, consistent income. 

Yes. you can leverage your service. 

Yes, you can leverage and automate your sales.

But you cannot do all of it overnight.

Many online business owners are well informed about tier 1 and tier 3. They know that they can service their clients or create passive forms of income. Not very many are aware that they can create a leveraged offer, or a group program.

The group programs have their own benefits and is a good middle ground between serving 1-on-1 and going full passive income. It allows you to leverage your time so you’re not spending it completely on serving your clients, but you also aren’t completely hands off. This means you’re still able to provide support and guidance to your clients.

 

If group programs are something that you’re interested in implementing in your own business then my Ultimate Group Coaching Framework is for you. It’s a FREE resource that I created and has all my years of experience helping my clients create and launch their own programs in an easy to use checklist.

 

 

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