- Emma Parker
- February 19, 2021
Suppose there are two men, namely Bob and Charlie. Bob works in a big company and earns thousands of Euros in a month, whereas Charlie has started an online business where he is earning half of Bob’s income in a month. If someone asks you who is richer, probably you would answer in favour of Bob as his income is double the income earned by Charlie.
Although this answer is correct, until then, when we tend to compare the incomes of the two. In the actual world, everything is relative, and we tend to calculate the relative income. Bob works for 80 hours a week while Charlie works for at least 10 hours a week.
Let say, in this scenario, Bob earns 100 pounds per hour, whereas Charlie earns 400 pounds per hour. Now assess who is more prosperous. Our time is the most critical aspect of life. When to relate the incomes of the two, Charlie is richer than Bob as he is working 70 hours less than Bob.
Let’s Take our Discussion Further
You can think of the time he is saving and thinking of investing it in doing something more profitable. He can learn new techniques and customs and make himself skilled more than earlier, which could expand his business and multiply his income.
He can give time to his family, friends and care for his health. It will increase the happiness in his life, while for Bob, all these things are impossible as he has significantly less time.
A concept called Geo Arbitrage makes this comparison more interesting. Bob works with a big company located in a city, so he has to live in the vicinity of his work environment. On the other hand, Charlie has an online business. He can do his work from any place in the world.
He just needs a laptop and internet connection. Bob had to go to his office daily. This will engross his savings even after earning a lot while Charlie can do his work while doing errands. As he has an online business, he beards less labour cost.
It means there is a leveraging the economic difference between markets to generate high returns. It is possible for Charlie but not for Bob.
Now the question comes that is it possible to earn like this? Then the answers would be yes. You can make this by making your income automated. To generate an automated income, we need to remain active all the time to work for getting money. For example, doing a job or owning a shop.
The other is passive income. To manage this, you do not need or little work for getting money.
For example, you are giving your shop on rent to earn weekly or monthly without making much effort.
Perhaps the three popular ways to make money are as follows:
- Creating your own content or product
- Licensing your ideas or products
- Reselling the things included products and assets.
You can do all these things with the help of mini text loans.
Among these all, the simplest form is to resell the things. If you want to become a seller, you need to purchase before selling it off. You can buy the product at wholesale price. You can bring some modifications and resell it for a considerable cost and benefits.
It is not that simple because you would need to learn many things to achieve a well-performing business and outsourcing. Once you understand the whole things properly, this will make you easily earn the automated income.
To do any work effectively and with proper management, it must be effective and efficient. You need to pursue two things which are as follows:
If you want to make the best results from your work in less time, you need to know what selective works you need to perform.
More than that, you need to identify the things on which you do not need to perform. To identify this, you need to work on a principle which is called 80-20 principle.
The second aspect is outsourcing. You can see the rich people; they hire the people in their subordination to make their single easy works to become executed. Like drivers to drive their car, they appoint cook and servants to do domestic chores for food.
They are not lazy. The people with rich mentality keep servants to stop wastage of their time. They know the value of their time. They know that if they spend their valuable time on other things, they can achieve more in that period.