Passive Income

Avoiding the Multiple Streams of “Expenses”Trap

I remember when Robert G. Allen along with countless others brought the message of multiple streams of income to the masses.

The message was simple…

Creating long term wealth by creating multiple streams of income.

Who wouldn’t be all over that?!

Today in the ‘new’ era of internet marketing and opportunity based home businesses, many are flocking, cash in hand ready to buy the next best thing.

They are looking for ways to increase their wealth and create long term residual passive income by creating multiple streams of income, and the home based business industry is promising them just that.

Is it possible?


In fact, this industry is one I adore. I have gotten to know it … intimately… the good, the bad and the ugly and along the way, I have discovered a trap that all too may, including myself have fallen into at one point or another: Multiple Streams of Expenses.

… instead of the Multiple Streams of Income they sought.

You see, the model is designed to provide you an opportunity to earn an income but the model is also designed to earn the company money. Nothing wrong with that. That’s business.

To earn income yourself in this type of model, you need to be o.k with that and understand that there will often be upgrades, upsells, events designed to make both you and the company money.

The problem, however lies in you, the business owner buying, buying and buying…

The next upsell.

The new opportunity.

The latest tool.

… and the other tool, and the other tool.

And all the while, you are in the red. You haven’t created the multiple streams of income but the multiple streams of expenses and you are paralyzed and cannot move forward.

How to truly create the income and not the multiple streams of expenses:

1) Focus on the basics.

There’s a lot of broke marketers out there and it’s because they haven’t taken the freshman/undergrad class yet and they already want to jump to their masters degree. When it comes to expenses, they are jumping to the next latest greatest tool, adding a new monthly cost but they haven’t done the fundamentals yet.

I’m all about investing in your business but why not make the sale… just one sale, at the least, to cover your cost before you add another cost that you aren’t even ready for yet.

I cover this in more detail in my blog post on Mastering the Basics.

2) Look for quality tools and resources that cover more than one thing.

You will need tools, there is no doubt about that. Perhaps there is a resource that provides training, CRM, funnels, blog and more all under one.

Maybe your auto-responder provider also has a way to create lead capture pages?

Not only will finding such a resource provide you with your resources under one roof saving you money but will also save you a ton of time having it all, including support integrated under one roof.

I personally use this here.

I can create funnels for all my businesses. ( I have one for my mortgage business and multiple lead capture pages for my online businesses . The system itself can produce income, capture leads and help me build another business on the back-end. It is also home to some of the best home business training on the internet.

Pretty cool isn’t it?

3) Keep your day job.

Some people disagree with this.

There are many who say when you decide to jump into this industry, you gotta decide, burn the bridges and go ‘All in’.

Hmmm, nope, not me.

There is nothing wrong with your day job being your primary source of income while you build your home business. You still need to pay your bills and you need to cover business expenses. There will be expenses. This is a business, not a hobby.

4) Decide what income you need to create.

Know your numbers. I’m not talking about those outrageous goals that I do wholeheartedly encourage and believe in. I am talking about bottom line. .. I need to make X to cover my expenses – and then go do that. If you are not earning income, you don’t have a business. Period.

I can’t tell you how many people I see that keep shelling out the cash but are doing nothing to move forward and earn income. They continue to create the multiple streams of expenses, hoping that it will magically appear with the money they are investing in the next thing, but they simply don’t know their numbers.

Know your numbers.

5) Focus.

Stop looking at the next shiny object until you’ve figured out the first one. It’s o.k to expand when you are ready but you’re just starting from scratch every time and piling on the expenses if you haven’t planted your flag and focused your efforts enough to create a solid income.

Tackle one task, one client, one project at a time. You will be much more productive, less stressed and the work will get done and the results will follow.

6) Invest your earnings.

When the profits show up, invest them.

This is true for home business, job, sudden windfall from winning the lottery (don’t we wish). This is when the Multiple Streams of Income come into play- when we are covering our expenses and ready to make some more money.

This may include real estate, investments, stocks and yes, education or  other income opportunities .

You can read my post on Passive Income Streams here.

Multiple streams of income are definitely possible. We are in an amazing era when it is not only possible to achieve but achievable  in much less time and with much less monetary investment than ever before. We are also in an era where it is easy to fall into the trap of adding gadget, and widget and app, and opportunity after opportunity until we’ve simply created multiple streams of expenses.

Be a savvy home business owner and don’t all into this trap!


To your success and outrageous goals,


Signature Tereza



Money Making Ideas · Recommendations

The Importance of Passive Income

Passive income is exactly that. It’s passive . It requires very little effort or attention but produces revenue on an ongoing basis.

Being in the internet marketing business, I have seen a lot of people pass off direct sales and affiliate marketing as a “passive” and while it could be to a certain degree, it is not really passive.

Think about it, in a traditional network marketing or direct sales company, you have the capability of building a team, leveraging the efforts of the team and your customers to create an ongoing residual income … but is that really Passive. It’s an amazing model but requires a lot of time and effort initially to build and consistent effort to keep that residual income going. For the most part, it can continue for a while but if you ignore your team and don’t pay attention to what’s going on in the company or the industry, it could slowly slip away.

Why is Passive Income So Important?

True passive income is the path of the wealthy and a vital part of true financial freedom.

Passive income is not linked to the amount of hours you work. It is independent of time and location. – Now, that doesn’t simply mean that it allows you to sip margarita’s on the beach while the cash rolls in (although there’s nothing wrong with that!). What it does is free up your time, while producing revenue so that you can invest in other passive income endeavors. Now, that’s true leverage.

Passive income may involve an initial monetary investment, or some effort on your part but results in a long term ongoing income based on those initial actions.

Passive income has saved many from financial catastrophe when they are no longer able to trade hours for dollars. It has helped many tide over difficult times.

Some examples of passive include:

Buying real estate that results in cash flow

Investing in stocks that yield dividends

Creating something that pays royalties

Creating a business or product where others sell for you and produce ongoing income for you.

…And the newest, and a personal favorite of mine,  here .

Having personally been in the Financial industry for years, passive income has always been something to strive for.  I just couldn’t ignore it.

Not all of us have the money required to invest in real estate to create cash flow, nor have many created books, products, or become rock-stars to receive royalties from our creations.

But in today’s changing economy, what if there were something that existed that involves a relatively small monetary investment, a few minutes of your time per week, to see an income stream coming back to you fairly quickly.

It does actually exist, and doesn’t require any huge risks or involve any special skills or knowledge.

Bottom line is, true financial freedom and peace of mind can be created in the form of Passive Income and is easier than you think.

To learn more about this, go here.

To your success and outrageous goals,

Signature Tereza