THREE KEYS TO PAS­SIVE IN­COME

Finweek English Edition - - MONEY -

AU­TO­MA­TION: Cre­at­ing sys­tems that au­to­mat­i­cally do the work, with­out you hav­ing to do it. In this process, you are not in­volved with any equa­tion of a trans­ac­tion – it is fully au­to­mated i.e. you set up an on­line store, put process in place to han­dle check­out, pay­ment and de­liv­ery so that you are not phys­i­cally in­volved. This will free you up to fo­cus on other as­pects of your busi­ness. In terms of prop­er­ties, you can set up the au­to­matic send­ing out of state­ments each month to peo­ple who rent prop­er­ties so that you don’t have to do it your­self.

OUT­SOURCE: Get the right peo­ple or sys­tems in place. Part­ner with some­one who phys­i­cally goes to each of the prop­er­ties each month to in­spect their con­di­tion. This frees up your time to do some­thing else, and cre­ates an in­come for some­one else you trust.

HAV­ING THE RIGHT SYS­TEM: Foxx uses his JT Foxx Wealth Col­lec­tion of ties as an ex­am­ple [JT Foxx Wealth Col­lec­tion ex­panded to in­clude Power Ties, a new tie se­lec­tion specif­i­cally for en­trepreneurs]. “I like and wear the ties, and it makes money, but ev­ery­thing in this com­pany is au­to­mated, sys­temised and out­sourced. [So we put into place an] in­ven­tory sys­tem, ship­ping sys­tem, and track­ing sys­tem [so that we could au­to­mate this col­lec­tion, too]. Ne­go­ti­a­tions take place be­hind the scenes to get bet­ter prices, dif­fer­ent colours and fab­rics. [As a re­sult of au­to­ma­tion] this en­tire busi­ness runs with­out me hav­ing to be an ac­tive part of it be­cause of ev­ery­thing that has been put in place.”

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