Tag Archives: residual income

A Year, A Green Mirror

Each year brings its unique challenges. Sometimes our efforts result in exactly what we want, and others leave us short of our goals.

Our businesses reflect these situations to us at different speeds.

Nowadays, many companies pay on a weekly or daily basis with a direct deposit. When we earn the bonus or residual income, we receive it much faster. This is a mirror with quick response. I named this Mirror Type One.

Our customer-gathering and distributor signups tend to lag about 6 weeks after the outreach effort (or lack thereof). The results of our outreach may take a few weeks for us to reap the benefits of a signup. Likewise, if we slack off, it may take several weeks for the signup rate to start decreasing. It is a mirror with a delayed response. I call this Mirror Type Two.

Our inner (personal) growth starts on the inside and may take weeks, months, or years to show on the exterior. This is a mirror with a lengthy delay. I call this Mirror Type Three.

Because the progression toward our goals seems to start with the third type of activity (with the longest time between effort and result), followed by the second type (delay of a few weeks), followed by the first type (delay of 1-7 days), the rewards seem to come in bursts. The effects of the Mirrors seem to stack up at the end of the process, when Mirror Type One shows us the money.

If you experienced bursts of (or sustained) Mirror Type One encounters, I congratulate you on your visible success.

If your Mirror Type One experiences were few or absent during this year, I still am proud of you, and I invite you to look in The Green Mirror.

The Green Mirror is your personal mirror of all the steps that are leading you toward Types One, Two, and Three. It includes all the private struggles and personal victories. It contains the list of all the business activities you may have brushed off as “not enough.” I named these types of progress-toward-goal experiences as Green Lights, and if you feel discouraged about your progress, I strongly suggest you take a look at them. I’m willing to bet you grew more inside than the world gives you credit for.

May you finish Year 2018 with a smile, and may you begin 2019 with joy.

–LYnn Selwa, “The Rocket Science Coach” ™

#lynnselwa #trsc #therocketsciencecoach #ayearagreenmirror #greenmirror #greenlights #mirrortypeone #mirrortypetwo #mirrortypethree #mlm #leveragedsales #partyplan #networkmarketing #directsales #residualincome #residuals

What is repeating, effort or income?

To generate income each month, something has to be repeated: effort or purchases.

But who is doing the repeat: You? Your group of salespeople/employees? Customers?

If it’s you doing a repeat of effort, then you’re probably an employee.

If it’s the group of salespeople or employees in a company you own, you’re experiencing the power of leveraged efforts.

If it’s the same customers automatically purchasing your company’s product each month, you’re experiencing residual income.

If you combine the last two ideas, you have leveraged residual income. That’s where financial power resides.

–LYnn Selwa, “The Rocket Science Coach” ™

#lynnselwa #therocketsciencecoach #trsc #repeat #effortorincome #networkmarketing #leveragedsales #mlm #partyplan #directsales

What language are you speaking?

Residuals.

Downline.

Coding bonus overrides.

That’s English, right?

But for most English-speaking people outside our profession, you may as well be speaking a foriegn language.

A person looking at the professon might think:

That’s the leftover junk at the bottom of the tank, or the grit that didn’t get removed when I did the dishes. I don’t want that.

You must not like them very much.

Someone took your bonus away? How awful!

Much like technical topics, our profession is detailed and has its own vernacular. Certain words have legal definitions, too.

Jargon is a shorthand that’s great for discussions within our profession.

But it can be intimidating to someone who’s not.

What if we spoke two languages: short and clear descriptions for those who are looking to join us, and the fine-tuned special vocabulary for those of us immersed in it?

After all, simple is appealing. Simple is attractive. People are looking for simple solutions.

How would our profession’s reputation change if we described things like this:

Money that comes in month after month.

Your sales team.

Bonuses you receive when your team sells products.

Watch the language in your videos, literature, and individual conversations. Jargon doesn’t impress people; it makes them feel uncomfortable and excluded.

Keep it simple and accurate. They’re more likely to join your team if they feel comfortable with the words you use.

–LYnn Selwa, “The Rocket Science Coach” ™

#lynnselwa #therocketsciencecoach #language #residual #downline #leadership #bonuses #team #leveragedsales #mlm #networkmarketing #directsales

How a bird with laryngitis still sings

In the last few weeks the pop singer Adele posted a tearful cancellation of her two most recent Wembly Stadium concerts.

She has struggled with vocal health issues for many years. At the end of this world tour, her doctors advised her to not sing the final two performances. And it was heartbreaking for her to let her fans down.

What would happen to you, if suddenly you could not perform in your job?

For most people in the 9-to-5 working world, that situation would end a career. The money would stop coming in.

However, Adele is a lot like you and me.

Our compensation has a passive income stream.

Singers call it royalties.

Actors call it “back end” percentages.

Network Marketers call it residuals.

Even though Adele’s gorgeous voice is silenced, perhaps for many years, she still gets paid every time her songs play on the radio. She had to practice and sing many many times before she recorded and released the first crucial recording of her popular-play song. That action opened the passive income stream.

Do your critical step task, and the passive income is yours.

So when the recording session ends, the director of the blockbuster movie yells “cut and print”, or you and I enroll a subscription client… we join that club of people who get paid while we sleep.

Welcome to The Club. Even when you have no voice left to shout the good news to the world.

–LYnn Selwa, “The Rocket Science Coach” ™

#lynnselwa #therocketsciencecoach #laryngitis #adele #residualincome

 

Bruce and his back story

I enjoy reading biographies and autobiographies. This week I am reading Bruce Springsteen’s self-told story “Born to Run.” So far I am on page 211 of 508.

He is a rock-n-roll singer and leader of his band. You likely have heard of him; he’s considered to be “famous.”

What I didn’t know was what he endured to follow his musical vision.

Fingers sore from his first guitar. Band members stealing or hiding from the law. Moving back in with his parents in his 20’s.

Simultaneously exhilarated and fearful as he recorded his first record… was he a “good enough” musician to gain a following? Or was this a futile attempt?

Each of us has a back-story, a history of experiences that led us to where we are today.

But only the present moment shows in the public eye.

Your rank, your residual check, your fame are all products of your past. Remember to honor the lessons learned in the journey that brought you to this day.

And take another step tomorrow.

I believe in you.

–LYnn Selwa, “The Rocket Science Coach” ™

#lynnselwa #therocketsciencecoach #guitar #rank #residual #fame #perseverance #bruceandhisbackstory #brucespringsteen #theboss #rocknroll

Bonus-rich but residual-poor?

Network Marketing provides two typical ways to make money: bonuses and residuals.

If you concentrate on the bonus money, the one-time payments for successfully coaching your group, you can make a nice income. Many times this is the figure people concentrate on while viewing the opportunity presentation and in the early months or years of their business.

But bonuses do not create a strong, work-when-you-want, steady income.

The irony is, one-time bonus income is more like a job paycheck. Work once, get paid once.

In contrast, the long-term income is what will set you financially free. It is created by customers (and distributors) purchasing and using your product, month after month. In your plan it might be known as “residual” or “percentage overrides.”

A Big Hitter once told me, “The bonuses are in the pay plans to get money coming in while you build the residual income. And time and money freedom come from a healthy residual income.”

Both types of income are important.

Both add to your bottom line.

Only one will set you free.

–LYnn Selwa, “The Rocket Science Coach” ™

#lynnselwa #lynnselwaTRSC #TheRocketScienceCoach #bonusincome #residuals #residualincome #networkmarketing #BonusRichButResidualPoor

Do you have a successful business?

A friend in another network marketing business is experiencing rapid growth in his team, and I’m very happy for him.

He posed an interesting question last week. “How do you know when you have a successful business?”

In my opinion, running a successful network marketing business is not about earning a specific amount of money nor judging by the size of the distributor team.

Here are four basic guidelines that popped into my head.

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Idea #1.
When your residual income is equal to or greater than all other income you receive from that company.

My primary reason for joining network marketing in 1996 was to create long-term residual income, so I am more interested in the residuals than comparing who makes bigger one-time bonuses.

If I wanted to emphasize one-time bonuses, I would have stayed in the 9-5 workworld and maximized my salary.

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Idea #2.
When people on your third or higher number generations are getting promoted.

This means you taught your people to teach their people to teach THEIR people how to build teams.

This is a positive signal that you are teaching a duplicatable system which doesn’t depend on your presence or personality.

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Idea #3.
When a charismatic leader leaves your organization.

You might be thinking, Wait a minute, that’s not very uplifting!

Well, you’re right… and I’m being realistic. Stick around long enough in this profession, and some people end up leaving for another company… or leaving the network marketing profession altogether. Each of us is an independent agent, so simply understand some people quit.

If the majority of that person’s organization sticks with your company, that’s a healthy sign that you have a supportive and growing culture.

In any case, don’t take it personally. Stay committed and keep building your team.

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Idea #4.
When surviving a shakeup at the corporate level in the personnel, comp plan, or product offerings.

A growing company will need new leaders with different or more advanced skillsets at the corporate level. This change of personnel is not necessarily cause for alarm.

For example in your own life, as you (likely) changed from being an employee to running a growing business and began buying investments with your profits, you needed more sophisticated tax advice. So you stopped filling out your own tax forms and hired a CPA instead.

Because the business legal environment keeps changing, your Founder or CEO might need to adjust how bonuses are earned, pull a product that has troublesome ingredients, or make a stronger distinction between wholesale customers and full-fledged distributors. Smart CEOs make such changes early, to keep well within the regulatory boundaries.

But that might mean your teammates have to complete more requirements to trigger bonuses or need to inform customers their favorite product is no longer available.

A team that can survive such a shakeup and keep growing… well, that’s a team that will keep producing for the long run.

Residual income, anyone?

To your long-term success,

–LYnn Selwa, “The Rocket Science Coach” ™

#lynnselwa #lynnselwaTRSC #therocketsciencecoach #success #networkmarketing #mlm #residualincome #DoYouHaveASuccessfulBusiness