How to create multiple income streams
If you're a business owner or an individual wanting to boost your income, try diversifying your income streams - adding other ways that you earn money.
According to social entrepreneur Shay Wright, co-founder of Te Whare Hukahuka, which works to empower Maori entrepreneurs and leaders, you ideally want five income streams coming in, to protect you from economic fluctuations.
Here's how you might do it.
- Identify assets that you could rent out, such as work equipment, office space, or your spare room at home. This could bring in hundreds of dollars each week, with very little effort on your part.
- Sell an additional, complementary product to your existing customers or to new customers online. Think about what you currently offer and what would be a logical extension of that.
- Share your bright ideas. "Do you have particular expert knowledge that others are wanting?" asks Shay. "That could be content for an ebook, an online course or some one-to-one coaching. Or join a paid board role in a field you're passionate about."
- You could earn dividends from shares. While no investment is risk-free, this is a low-effort way of setting yourself up for a better retirement. Only put aside money you don't need to access in the short-term.
- "And my favourite - monetise your hobbies. Photography, live music, catering, or growing vegetables or native trees are all great ways to earn another income," says Shay.
To get started on planning additional streams of income, note down all the different ways you could earn money, in the business and at home. Shay says you'll be surprised at what emerges.
"Finding a second, third, fourth or fifth income stream gives you greater security, and it can be rewarding in other ways too."