There likely is no one in the English speaking world (and even beyond) that has not heard the age-old phrase:
“Don’t put all of your eggs in one basket.”
In the 21st century, with all of the many and varied business opportunities available to an innovative person operating online, the eggs in a basket adage is even more applicable than ever before. The importance of multiple streams of income and of learning how to develop multiple streams of income has never been more important than it is today.
Understanding Multiple Streams of Income
Multiple streams of income is a term that is fairly self explanatory in and of itself. By employing revenue generating techniques based on the concept of multiple streams of income, a person like you develops a number of income generating projects one after the other. The Internet provides a perfect venue through which a person can work to develop a number of different web based businesses or enterprises -- even on a small, starting scale -- that can work to develop continuous and ever increasing cash flow from a variety of different sources for you and your family.
Again, when thinking of multiple streams of income, you should think of the old adage mentioned and the forefront of this article: don’t keep all of your eggs together in the same basket. That way if one market or industry fails you will still have an income coming in from all your other income streams.
Diversify, Diversify, Diversify
There are different types of business ventures that involve various levels of risk. If you only elected to put all of your money into a savings account at the local bank, you would not have a very significant return on your investment over time. Of course, you would have security of an insured deposit. But, as with so many situations in life, when it comes to investing your money and building financial resources for the future, you need to balance the need for security against the necessity of ensuring that you live your life today and on into the future in a solid financial position.
Developing a strategy of utilizing multiple streams of income will allow you to diversify your risks over a number of different business enterprises ventures, including operations in cyberspace on the Net.
From Low to High Risk and Everywhere in Between
Through the process of rational diversification through the utilization of multiple streams of income techniques, you will be able to spread your investments over online based business ventures that have varying degrees of associated risks and payouts. You don’t need all of your streams of income to be spitting out huge amounts of cash, and while that would be nice, it isn’t practical or realistic. More often than not each income stream you set up will only provide you with a marginal but steady influx of cash.
The best way to think of your multiple streams of income is to think of each stream of income as a stream or a creek that feeds into a river, and that river is your total income, whether it be monthly, yearly or whatever. And every new income “stream” you set up, no matter how small it is, flows into your river, and your river continues to grow larger and larger with every new “stream” that feeds it. That is the power of multiple streams of income.
Using the techniques of multiple streams of income through the establishment of or investing in online business ventures, you can begin laying a foundation for a solid financial future. With so many options available to people interested in online business operations and ventures today, you can develop an interesting network of investment, business and affiliate situations that will ensure overall financial stability for you and your family through multiple streams of income points and practices.
Tanner Larsson is a veteran entrepreneur and the publisher of the award winning Work At Home Success Newsletter. Subscribe to his newsletter and recieve 4 EXCLUSIVE Bonuses valued at $276. http://www.work-at-home-resource-center.com