There’s a lot about being a freelancer that is pretty rewarding. You can create your own brand, choose your own projects, and work on your own terms.
The downside is that it feels like you never stop working.
It’s hard to catch a break when you have to rush on to secure the next contract and meet the next goal. Hopefully, as your business grows and expands, and more things fall into place, you will feel less rushed.
In the meantime, creating passive income streams can free you up so you have a little more time and a little less stress.
Incredibly Useful Passive Income Tips For Freelancers
Understanding passive income.
Passive income is money that you make via little ongoing active effort. After the initial labor of setting up the revenue source, there is not a lot you need to do: the source essentially works on its own. For freelancers or anyone in the gig economy, having a passive income source can make a significant difference, since it means they will still have cash coming in during times when they are trying to land their next contract or revamping their website.
Some types of passive income sources include rentals, investments, and limited partnerships. If you’re thinking, “Okay, but I can’t afford to buy a rental property or invest in stocks right now” – don’t worry! There are plenty of other passive income ideas that require very little overhead.
Sell a digital product.
Selling a digital product is an excellent way to generate passive income without having to invest a lot of capital upfront. Artists and freelancers who work in a creative capacity can easily tap into this passive income type.
Photographers, visual artists, and graphic designers just need to create a digital, sellable version of their product and make it available for sale online. You create it and post it once – but each time someone pays to use it, you are reimbursed.
Write an eBook.
Do you have an idea or story that you believe would be valuable to others? Or maybe a how-to guide? If clients are interested in the products and services you offer, they may also be interested in hearing your tips and guidelines.
So, for instance, if you sell fresh-cut flowers, you could also write an eBook about flower gardening. Or you could write an eBook about something outside the scope of your usual freelance work.
If you have a knack for writing, you could put together an eBook on nearly anything that interests you. Or you could try your hand at romance, since this is the genre of eBook that sells the most.
Get into affiliate marketing.
Affiliate marketing is a popular source of passive income among freelancers, influencers, and bloggers.
With affiliate marketing, you enter into an agreement with a company to promote their products or services in return for a commission. There are different ways of promoting a company’s products.
You might write reviews, include affiliate links, or share product information via email or social media ads. Yes, there is a certain amount of strategizing involved, but once you have done the work and gotten your content out there, this can translate into a passive income source.
Start an online business.
If you find that both your active and your passive income sources are integrating well, you may even want to take the leap from freelancing to business ownership and start a corporation online.
The benefit of this is that you would have zero legal liability for corporate debt and would also be able to offer stock to potential investors. Do be aware that when you start a corporation versus an LLC, you are signing up for a little more paperwork as well as extra taxation.
Having even one passive income source can significantly ease the stress of the #freelancing life. #passiveincome #freelancersClick To TweetAnd if your passive income is coming from a project that really reflects your brand or your art, this can become part of a larger ongoing business project.
For more information on how to access passive income by means of digital art or on using design tools in your creative work, check out the articles and other contents at I Am My Imagination.
This is a guest post contributed by Stephanie Haywood of mylifeboost.com