Internet MLM Pro

Leveraged Income VS. RESIDUAL Leveraged Income

The hot button today seems to be talking about leveraged income. I thought it would be good to review what I feel is the difference between simple leveraged income and residual leveraged income as it applies to those of us in the network marketing and MLM fields.

Leveraged Income

I think real estate is probably the best example of leveraged income. You purchase a single family home to be used a rental. You find a tenant and they begin paying rent to you that you use to cover the mortgage and expenses of the property.

The tenant giving you leverage on the financial side. You borrowed money, so you are leveraging someone elses money, and the tenant is repaying this money.

The problem is that you still have to be heavily involved for you real estate empire to continue to expand. You have to find properties, manage the ones you own, etc.

RESIDUAL Leveraged Income

When you add the residual element to your income stream, you business continues to grow even if you are not working.

The MLM business model is probably the best example of this model, although there are others. With Network Marketing you are able to build a team. This team element is where the residual and leveraged parts of your income stream come into play.

Your team is all working to build their own businesses, which in turn builds yours. So in affect you could have 500 man hours a day being spent to build your business, when you have only work 30 minutes yourself.

This idea of residual leveraged income is the primary reason I joined a quality MLM business. With the right team under you, all working together, a residual leveraged income stream becomes a true life changing reality!