How the Rich Get Richer

Who doesn’t love a sale? Grand Opening sales, Clearance sales, and others that I’ve never taken advantage of -- Midnight sales! We all love to get quality for a lesser price. Bargains have become part of the American lifestyle and with it the added bonus of bragging rights… “I bought the exact same car but I paid less than you did”.

Sales are good for the business owner too. It brings in needed cash flow while clearing the shelves for new merchandise, but what about the Going-Out-Of-Business sale? You will find bargains hard to pass up because these sales mean the business has dried up and the owner can no longer keep his door open. Sadly, this owner will not be generating any more revenue: his cash flow will stop!

Realizing that the rich get richer by setting up leveraged income, let’s look at this for the moment: in the workforce we consider “being promoted” as earning more and working less. With this mindset today, if you want to earn more and work less you’re going to have to start creating income that does not require your direct involvement -- leveraged or residual income!

Leveraged income differs from linear income (the money you make by working 40 hours in exchange for a paycheck). Doctors and lawyers earn a higher linear income than say, a salesman or pizza chef. But in fact we all have a maximum of 24 hours a day which limits the amount of money even professionals can personally generate. They can up their hourly fee but if suddenly they are unable to work their cash flow stops too.

Linear income is trading your time for money. Leveraged income is your money working for you. With the right business you set in motion a chain of events that duplicates your income over and over again. In the perfect scenario this continues without end.

Think of the author of a best-seller… his residual income is generated by the sale of his popular book over and over again – often going into reprint status, or the composer of a song that won’t leave your head. Every singer wants to record that song and you as the composer will earn mega bucks just for that one creation!

So how do we apply this to the Internet? You can find many programs online that generate leveraged income. Not all of them have or will endure the test of time. Surely you’ve seen the ones with poor products or unethical practices that disappear into cyberspace; often with your money.

Select a program that uses collaboration and you will have the perfect win-win situation. With so much conflicting information on the Internet, people are getting more confused than educated. A program where your sponsor guides you through the initial sales will gain leveraged income for him while earning you the privilege to turn around and do the same.

Let’s examine the 2up system: you are rewarded for selling a valuable product to your new associate and you have earned a sales commission. In return for this commission you agree to train him/her to do the same, teaching them how to advertise and sell more of your company’s valued product.

In a collaborative effort, they agree to forfeit their first two sales to you, their trainer. Once they complete these two training sales, they are independent and begin their own team of associates. Your leveraged income results from the two training sales your associate has given you, and you begin guiding these two new associates, each of which will in turn bring you two new sales commissions.

Do the math: your associate brought you a sales commission. He in turn gives you two new associates with two new commissions. And they in turn each bring you two more associates to train. That’s seven commission checks, and it doesn’t stop there.

With this system, no one suffers the loss of an affiliate to jumps to greener pastures. Once they have made their first two sales in return for their training, you have no further use for them; they become independent and earning their own leveraged incomes.

There are also personal rewards for those who guide others to realize their dreams. As a mentor you are a productive citizen, a valued friend who has helped many become financially independent, and as each new associate fills his dreams, they in turn are fulfilling yours.

Collaborating with others for overall growth is the real beauty of leveraged earning.

2006 Esther Smith

Smith publishes a weekly syndicated Newsletter and writes for three Websites. You can join her team of Entrepreneurs and begin your own leveraged income for life now... the younger you begin, the sooner you retire. http://thepermanentventure.com/2up.htm
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