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Many entrepreneurs in the world today can boast of a steady flow of revenue. This is because they utilize income-producing assets. The kind of assets that generates multiple streams of income.
In the past years, building more than one source of income was difficult, time-consuming, and stressful but at this time, you can literally lie on your bed and coordinate your business. Isn’t that interesting? Well, thanks to tech advancement.
Building additional income is simple. It is that path to financial freedom that everyone wants to queue into. You wouldn’t want to miss out. Follow our step-by-step guide to know the income-producing assets you should go for.
Best Income producing assets you should go for
Before you decide on which type of investment to make, ensure you do the necessary research, study, and analysis.
That being said, the following are proven income-producing assets that will generate a good investment return within a short period.
#1. Investment in Properties
Property investment is one of the oldest forms of investment and still one of the best ways of investment to date.
How to go started: This requires little or no explanation. All you got to do is purchase a property or build one from scratch and put it up for rentals.
But property investment is easier said than done. If you wish to buy a property for rentals, you must do some evaluation to ascertain the period of time it would take to recoup primary investment capital.
For instance, there is no gain buying a property for rental at a cost that it would take about 20 years to recoup investment money. This and many more including proper documentation should be done before deciding to purchase property for rentals.
#2. Invest in Certificate of Deposits (CDs)
Certificate of Deposits is one form of investment you should really look at. Though not a physical asset, a Certificate of Deposits is another form of investment that allows you to make money in a passive way while still engaged with other assignments.
CDs is was of making your money more money for you. It functions as a savings account but differs in that you are not allow to withdraw your savings until a specified period of time.
In CDs, you enter an agreement with your bank and they pay some dividends over a period of time. This is one form of investment people need to start paying attention to.
#3. Invest in Airbnb
Do you know about Airbnb? You sure do, but do you know you could make enough money from the Airbnb and even make it a major source of income? You probably don’t.
Airbnb is a company that helps you find people are looking for apartments to stay in for a specific period of time at an agreed cost. These days, not so many people prefer to stay in hotels for business trips and other engagements.
If you have a property that is vacant and not in use you can sign up with Airbnb and allow guest stay in there for a short period and pay you for rentals.
You don’t have to fear about damages by the guest when you sign up with Airbnb as the company is fully insured and would fix any damages from your company.
#4. Interest Paying Bonds
Investment in bonds is another form of investment that makes you make money from multiple sources. What is a bond? Bonds allow you to invest in a company and you get a certain percentage of returns on a monthly basis.
There are a handful of Interest paying bonds you should know and some really good paying Interest paying bonds platforms are;
- The federal government (Treasury Bills)
- Sections of the federal government (Agency Bonds)
- State and local governments (Municipal Bonds)
- Foreign companies or governments (Foreign Bonds)
#5. Peer to Peer Loan
Peer to peer lending is a modest way of making additional income. This could be done in a number of ways. The popular way of peer to peer lending is giving out loans to people you know over a specific period of time and they get to pay you back with an agreed interest.
With the world getting even smaller due to advancements in technologies, you could lend money to people you never met before. All you need do is set up a website or app and run an AD so that people are looking for a loan for various reasons that could reach you.
This would help you reach more people and more people means more money. Although you should aware that this form of business involves lot of risks so you have got do a though search to learn more about potential clients and ensure you recoup your fund at the end of the day. You should give peer to peer lending a try.
#6. Cars for Rentals
You could by cars and other autos like truck and put it up for rentals. This is a major way of making additional income. People are always looking for cars to rent for one purpose or the other and you could get in the business renting cars to clients.
Another form of car business is buying cars and signing up with companies like Uber. Don’t worry you have to do the driving. There are people who are willing to drive the cars and make returns over an agreed period of time.
#7. Dividend-yielding stocks
There are several companies that payout earnings to their shareholders each quarter via dividends. These are known as “blue-chip stocks” and tend to be reliable and able to weather most economic downturns.
Many investors like to add a few dividend paying securities via blue-chip stocks in their portfolio to make sure that they receive earnings consistently throughout the year. And while others prefer to select individual shares to invest in, you can get started by investing in index funds that specialize in high-yielding dividends.
Dividend yielding stocks is a good way of making money passively and it allows your money work for you. All you need do is to consult some financial expert and they would guide you on the best stocks to invest.
#8. Make your own products
This is another form of making money. You could set up a small company that produces basic household items like soaps. Once you do this, you should look for ways to promote the brand and make it popular. With this, you rest assured to attain financial freedom.
You can search the internet for ways to start-up small companies and consult relevant companies. Start small and keep pushing to get your brand up there with the rest and you are sure to make so much money in the long run.
No matter your level in life, you can start building wealth. Follow the guidelines in this article and learn how to make proper investing with income Producing Assets.
Also Read: 13 Ways to Make Your Money Work for You