How to build these 8 income streams

Summary

This video script delves into creating passive income streams, offering eight strategies to earn approximately Rs10,000 monthly per stream. It covers the nuances of passive income, including the importance of not continuously investing active time. The script discusses various options like stock market investing, YouTube content creation, digital products, NFTs, book writing, podcasts, paid memberships, and angel investing. Each method's difficulty, required investment, and potential for generating passive income are analyzed, providing viewers with a comprehensive guide to diversify their income sources.

Takeaways

• 😀 The video discusses eight methods to create passive income streams, each potentially generating Rs10,000 per month.
• 💡 Passive income is redefined not as 'earning while sleeping', but as income that doesn't require continuous active time investment.
• 🏠 Traditional examples of passive income include rental properties, while modern examples are platforms like YouTube that generate ad revenue.
• 📈 Stock market investing is presented as a viable passive income source, with emphasis on long-term investing over trading for better returns.
• 🌐 The importance of a consistent posting schedule on platforms like YouTube is highlighted to maintain and grow audience engagement.
• 💼 The video suggests that to earn Rs10,000 monthly from stocks, an investment of about twelve lakh rupees is needed for a 10% return.
• 🎓 Creating and selling digital products is another passive income method, with a focus on adding value and selecting a niche one is passionate about.
• 📖 Writing books can generate passive income through royalties, with the author sharing the process of writing and the importance of structured thinking.
• 🎙 Starting a podcast is easy and can become a passive income stream through sponsorships once a threshold of listeners is reached.
• 🤝 Angel investing is introduced as an advanced passive income method, involving investing in startups and potentially providing business guidance.

Q & A

What are passive income streams?

Passive income streams are processes or systems where you do not have to continuously invest your active time to earn money. They involve creating something, such as a book, a YouTube channel, or a stock investment, that generates income with minimal ongoing effort.

How can one earn passive income from the stock market?

One can earn passive income from the stock market through the appreciation of stocks and dividends from companies. Long-term investing, rather than active trading, is recommended for passive income, where one invests in fundamentally good stocks and waits for them to appreciate.

What is the significance of SIP-based index investing in the context of passive income?

SIP-based index investing involves regularly investing in broad market indices like Nifty 50 or Sensex. This method is considered a passive income strategy because it requires less active management and can provide modest returns over time.

How does YouTube serve as a platform for generating passive income?

YouTube allows content creators to earn passive income through ad revenue, brand deals, and sponsorships. Creators can also sell digital products or community memberships, turning their channels into a source of ongoing income.

What are the minimum requirements for a YouTube channel to be eligible for monetization through ads?

To be eligible for monetization through ads on YouTube, a channel needs to have at least 1,000 subscribers and 4,000 watch hours.

How can selling digital products be a source of passive income?

Selling digital products, such as online courses, e-books, or digital art, can be a source of passive income because once the product is created, it can be sold repeatedly with minimal additional effort.

What is the role of value addition in pricing digital products?

When pricing digital products, it's important to consider the value they add to the customer. If a product offers significant value, it can be priced higher, as customers are willing to pay for the benefits they receive.

What is an NFT and how can it be a source of passive income?

An NFT, or non-fungible token, is a unique digital asset that represents ownership of a specific item or content, often in the digital space. It can be a source of passive income if its value appreciates over time or if it generates royalties for the creator.

How can writing and selling books generate passive income?

Writing and selling books can generate passive income through royalties earned on each book sold. Authors receive a percentage of the sale price, providing a recurring income stream as long as the book continues to sell.

What are the challenges in monetizing a podcast for passive income?

Monetizing a podcast for passive income can be challenging due to the need for a significant number of downloads to attract sponsors. Additionally, the niche and the reputation of the podcast creator can influence the ability to secure sponsorships.

How does paid membership work as a passive income stream?

Paid membership allows content creators to offer exclusive content or benefits to subscribers who pay a fee. This can create a passive income stream as it involves setting up a system where subscribers pay regularly for access to premium content.

What is angel investing and how can it be considered a passive income stream?

Angel investing involves providing capital to startups in exchange for equity or convertible debt. It can be considered a passive income stream because the investor may not be actively involved in the day-to-day operations of the business, but rather provides support and guidance as needed.

Outlines

00:00

💰 Introduction to Passive Income Streams

The speaker introduces the topic of passive income, outlining eight potential methods to generate Rs10,000 per month. They clarify misconceptions about passive income, emphasizing that it doesn't mean earning money without any effort but rather earning without continuous active involvement. Examples include real estate rentals and YouTube ad revenue. The speaker also introduces TaxBuddy.com as a knowledge partner for tax management solutions and encourages viewers to explore various passive income options.

05:03

📈 Stock Market Investing as Passive Income

The speaker discusses stock market investing as a means of generating passive income, highlighting two primary ways to earn: capital appreciation and dividends. They differentiate between full-time traders and long-term investors, advocating for the latter due to its alignment with passive income principles. The speaker suggests that to achieve Rs10,000 per month, one needs to invest a substantial amount and proposes a system of investing in high ROCE companies. They also touch upon the importance of SIP in passive indexes like Nifty 50 and caution against relying solely on index investing due to potential market saturation.

10:04

🎥 YouTube as a Platform for Passive Income

The speaker explores the potential of YouTube for creating passive income, detailing three main revenue streams: ad sense revenue, brand deals, and selling digital products or community memberships. They emphasize the importance of reaching a threshold of 1000 subscribers and 4000 watch hours to activate ad revenue. The speaker also suggests starting with Instagram or short videos before committing to YouTube and stresses the importance of choosing a niche that one is passionate about to sustain the effort required in the initial, often challenging, stages of building a YouTube channel.

15:05

📚 Selling Digital Products for Passive Income

The speaker discusses selling digital products as a form of passive income, suggesting that one should create products in areas they are passionate about. They give examples of different types of digital products and emphasize the importance of adding value to justify the cost. The speaker also discusses the challenge of distribution and the need for a strong value proposition. They share their personal experience of creating a course on management consulting and highlight the importance of considering the value-to-cost ratio when pricing digital products.

20:06

🖼️ NFTs as an Emerging Passive Income Stream

The speaker introduces NFTs (non-fungible tokens) as a new and emerging avenue for passive income, using the example of the Zion metaverse and its Lakshmi NFT. They explain how NFTs can be a passive income stream due to their potential for market value fluctuations. The speaker also mentions the sale of NFTs by celebrities like Amitabh Bachchan and suggests that while creating and monetizing NFTs may be challenging for retail investors now, it is a field that is likely to evolve with more accessible options in the future.

📖 Writing Books for Passive Income

The speaker shares their personal journey of writing a book and the potential for earning royalties as a form of passive income. They discuss the challenges of writing a book, including the need for structured thinking and the potential loneliness of the process. The speaker also provides a calculation on how many books one would need to sell to earn Rs10,000 per month and emphasizes the importance of effective marketing and distribution for book sales.

🎙️ Podcasting as a Passive Income Stream

The speaker discusses the ease of starting a podcast and the potential for monetization through sponsorships. They mention that achieving a threshold of approximately 1500 downloads per episode is necessary for attracting sponsors. The speaker also shares their experience of securing sponsors for their own podcast and provides insights into the sponsorship rates and the feasibility of earning Rs10,000 per month through podcasting.

🤝 Paid Memberships and Angel Investing for Passive Income

The speaker talks about paid memberships on platforms like Patreon as a way to generate passive income, emphasizing the importance of adding value to one's audience. They also touch upon the challenges of selling memberships in a market where content is often perceived as free. The speaker introduces angel investing as a more advanced passive income strategy, discussing their personal experience as an angel investor and the traits required for success in this field. They advise that angel investing involves risk due to the high failure rate of startups.

Keywords

💡Passive Income Streams

Passive income streams refer to sources of income that require little to no active work to generate money on an ongoing basis. In the context of the video, the speaker discusses various methods to create such streams, emphasizing that while they may not require constant daily work, they often involve an initial investment of time or money. Examples from the script include stock market investing, YouTube content creation, and selling digital products.

💡Stock Market Investing

Stock market investing is the act of buying and selling shares of publicly traded companies with the goal of making a profit. The video explains how this can be a passive income stream, particularly through long-term investments and dividends. The speaker suggests becoming a long-term investor rather than a trader, and mentions strategies like SIP in passive indexes to achieve modest returns.

💡Dividends

Dividends are portions of a company's profits paid out to shareholders. They are one of the ways investors can earn passive income from the stock market, as companies like ITC or HUL periodically distribute dividends to their shareholders. The video mentions dividends as a sustainable cash flow income for investors who hold stocks in such companies.

💡YouTube Content Creation

YouTube content creation involves making videos and uploading them to the YouTube platform to earn revenue. The video discusses how this can be a passive income stream through ad revenue, brand deals, and selling digital products. The speaker highlights the importance of choosing a niche one is passionate about and the need for regular content to maintain and grow the audience.

💡Digital Products

Digital products are intangible goods that can be distributed electronically. In the video, the speaker talks about creating and selling digital products as a way to earn passive income. Examples include online courses, e-books, and fitness programs. The emphasis is on providing value to customers and leveraging personal passions or expertise to create these products.

💡NFTs (Non-Fungible Tokens)

NFTs are unique digital assets that represent ownership of a specific item or content, often artwork or collectibles. The video briefly touches on NFTs as a potential passive income stream, where creators can sell digital art or collectibles as NFTs. The speaker mentions the need for understanding the underlying value and the growing ecosystem of NFTs.

💡Angel Investing

Angel investing involves providing capital to startups or small businesses in exchange for ownership equity or convertible debt. The video describes angel investing as a potential passive income stream, although it may require active involvement with the startups. The speaker shares personal experience as an angel investor and the importance of adding value to the businesses one invests in.

💡Patreon

Patreon is a platform that allows content creators to earn a monthly income by providing exclusive content to their subscribers or 'patrons'. The video mentions Patreon as a way for creators to monetize their work through paid memberships, where patrons pay a fee to access exclusive content or perks from the creators they support.

💡SIP (Systematic Investment Plan)

A SIP is an investment strategy where an individual invests a fixed amount of money at regular intervals, such as monthly, in a mutual fund. The video discusses SIP as a method for passive income through index investing, where investors contribute a set amount on a specific date each month to a broad market index like Nifty 50 or Sensex.

💡Ad Revenue

Ad revenue is income generated from advertisements displayed on a platform, such as YouTube. The video explains that ad revenue is one of the primary ways content creators on YouTube can earn passive income. When viewers watch ads before or during a video, the content creator earns a portion of the ad revenue.

💡Brand Deals and Sponsorships

Brand deals and sponsorships refer to agreements where a company pays a content creator to promote their products or services. The video mentions that as a YouTube channel grows, creators can earn passive income through brand deals and sponsorships, which involve creating content that includes sponsored products or messages.

Highlights

Introduction to the concept of passive income streams and the potential to earn Rs10,000 monthly from each.

Definition of passive income: earning without continuous active time investment.

Example of classic passive income through real estate rentals.

The role of YouTube as a passive income source through ad revenue.

Importance of regular posting on YouTube to maintain audience engagement.

Discussion on the exchange of value for money in passive income models.

Introduction of tax management solutions by TaxBuddy.com for income earners.

Exploration of stock market investing as a passive income stream.

Explanation of earning through stock appreciation and dividends.

Advantages of long-term investing over active trading in the stock market.

Recommendation to become an investor rather than a trader for passive income.

Estimation of capital needed to earn Rs10,000 monthly through stock market investments.

Introduction of Systematic Investment Plan (SIP) as a strategy for index investing.

Caution about the potential saturation and challenges in SIP based index investing.

Suggestion to learn individual stock picking for long-term gains.

Discussion on the potential of YouTube as a platform for content creators to earn.

Requirements for a YouTube channel to be eligible for ad revenue.

Monetization strategies on YouTube beyond ad revenue, including brand deals and digital products.

Challenges and tips for starting and growing a YouTube channel.

Importance of choosing a niche on YouTube that aligns with personal passion.

Introduction to selling digital products as a passive income stream.

Strategies for creating and selling digital products that add value.

Calculating the potential income from digital products based on price and quantity sold.

Discussion on the emerging market of NFTs as a new avenue for passive income.

Exploring the process of writing and publishing a book for royalties as passive income.

Challenges and tips for writing a book, including the importance of structured thinking.

Introduction to podcasting as a platform for creating passive income through sponsorships.

Requirements for a podcast to be eligible for sponsorships and earning potential.

Discussion on paid membership as a source of passive income for content creators.

Challenges in selling paid memberships, especially in a market where content is often perceived as free.

Introduction to angel investing as an advanced passive income stream with both passive and active components.

Importance of business knowledge and value addition in angel investing.

Encouragement to explore angel investing platforms for retail investors interested in this field.

Transcripts

Hi, everyone. Welcome to today's video on today's video,

I'm going to have a conversation with you regarding building passive income streams.

I'm going to discuss eight specific

passive income stream options through which you can make roughly Rs10,000 every

single month from each of these income streams.

I will also talk about how difficult how

easy is it to build these income streams and keep it alive.

And what are some of the key points

that you need to keep in mind while executing each of these options.

Now, before I deep dive into each of these income stream options,

let me just quickly clarify what I mean by passive income stream.

Many times we assume that passive income means that I'm earning money in my sleep.

I just have created some system or some

process which just keeps on giving me money every single month.

It works in some cases.

For example, if you have purchased real estate and if you have rented your shop or

rented your property ether, you don't need to actively work on it.

Besides collecting rent and just reminding your tenants that, hey, now it's due date.

Pay my rent. Probably that is one classic passive

income stream option, but a more sensible definition of passive

income stream would be that it is a process or a system where you do not

have to continuously invest your active time to earn money.

A classic example would be YouTube.

For example, a lot of creators get on YouTube when they shoot videos,

they put up that video and that video keeps on generating some ad revenues.

But what happens is that if you're not keeping your YouTube channel alive,

if you're not posting regularly, I'm not saying that post every day,

but if you're not posting things regularly on a regular basis,

then YouTube overall will decrease the reach even of your previous videos.

So from that perspective,

you still have to invest time every single day on a thing like YouTube,

but it is still considered as a passive income stream option.

Another way of thinking about passive income stream would be that you have built

a system where you are exchanging value for money.

For example, when you have built a course,

then what are you essentially doing? You are providing people some value,

and in return for that value, you are charging some money.

So let's start analyzing all these

different passive income stream options one by one.

And also, if you incorporate these different passive income stream options,

you will earn a lot of money and then you'll have to pay taxes.

So let me introduce you to our Knowledge partners, which is taxbuddy.com They allow

you to file taxes in a very seamless manner.

They provide end to end tax management solutions, so you can check the links

in the description box for a special discount.

So the first passive income stream option

that I would like to discuss with you is stock market investing.

Now I talk a lot about stock market investing on my YouTube channel.

I teach a lot about stock market,

whether it's fundamental analysis or technical analysis.

And stock market is a great way of making passive income.

So how do you make passive income from stock market?

Essentially, you invest a bunch of money

and there is appreciation of stock that will take place.

That's it.

That's the first way that you will make money.

And the second way in which you will make money is through dividends.

So companies like ITC HUL or Nestle, they keep on paying dividends from time

to time so that can become a sustainable cash flow income for you.

Now, there are different ways in which people engage with the stock market.

For example, many people become full time traders, and some people are long term

investors, so they do not check their portfolio every single day.

So what I'm trying to say is that stock

market is a mechanism where you decide how much time you need to invest.

However, for majority of the retail

investors, we should try to become long term investor in the stock market because

that way you're not trading your active time.

You're not sitting in front of a screen all day glued looking at what happened

to the stock yesterday and what is happening to the stocks today.

You have purchased fundamentally good stocks.

You have taken positions in it.

Just wait and watch.

Whenever it hits a certain level, you can decide to sell it off.

So that's a system that you might have built.

So this brings me to the key tip that if you want to make stock market your passive

source of income, then number one, please become an investor,

not a trader in it, because trader is actively trading his or

her time in return for some money that they regularly make from stock market.

But on the flip side,

if you are an investor, then you're not actively trading your time for money.

So therefore, stock investing can be

a sensible source of passive income for you.

Now, in order to ace this income stream and in order to earn,

let's say Rs10,000 per month through stock markets, what is it that you need?

First and foremost, you need access to capital.

So if you're roughly looking to make Rs10,000 per month in the stock market,

then you're looking at a yearly return of 1.2 lakhs.

And if you assume that that is a 10%

return, then roughly you are looking to invest a corpus of twelve lakh rupees.

Now, creating this corpus of twelve lakhs is a difficult task, no doubt about that.

But once you hit that level, you can reasonably expect to make roughly

10% returns from the stock market in a very sensible manner.

Now, what is the system that I would

propose in order for you to make a modest return?

When I say modest return,

I mean a 10% return that is modest because that is even below the Nifty return.

So there are a few systems that people follow.

One of the most popular system is that people do an Sip in passive indexes.

For example, this would be Nifty 50 or

Sunsex every month they will pick up a date.

For example, they will pick 15th of every month and they will continue to invest

money month after month on this specific date in Nifty 50 stocks or Sunsex stocks.

So this is a system and this has worked

really well, especially in ether US in the US.

What has happened is a lot of retail investors have started shifting their

money from actively trading mutual funds to these passive funds.

So passive funds are Nifty 50,SENSEX which represents the entire broad market.

Right?

So they are not being managed actively by mutual fund managers.

In case you don't know what the difference

between active and passive mutual funds are.

I've created a separate video on that.

You can go and check it out for the purpose of today's video.

If you want to make passive income

from stock market, one of the easiest way is to do Sip based index investing.

Now, what are my thoughts on Sip based index investing?

Up until this point,

I've been very warm towards this style of investing, but over time I've started

to realize that hey, wherever massive money flows,

big investors figure out a way to make money out of these retail investors.

So my thought process and I'll probably make a separate video sometime.

My thought process is that now everyone should learn a little bit about stock

market investing and at least invest and create a system where you are

investing directly in stocks in high ROCE based companies which have good

fundamental values, which are monopoly stocks in their own domain.

If you just follow that principle, I think that is a much more sophisticated

principle to make money very quick explanation.

There would be that right now you might

have seen that the stock market has given massive gains for the last one and a half

years and going forward, it is very likely that the markets will stop going.

They will start trading sideways so they will move in a Nifty range of,

let's say 18,000 to 22,000 for the next one and a half two years.

If that happens, then your money is not growing at a rapid pace.

So that can be a problem in order to avoid that.

Therefore, you should learn individual

stock picking and individual stock investing.

Is it easy? Absolutely not.

It is a very hard thing to do,

but you can create your own sensible, easy to understand system.

You don't need to go and trade on all types of stocks.

Just pick blue chip stocks, just pick monopoly companies,

just pick companies that have very good balance sheet.

If you just simply understand these three

four basic points, you will make very good returns.

And with a corpus of twelve,

you can roughly make Rs10,000 from the stock market on a sustainable basis.

Now the second passive income stream that I would like to talk about is YouTube.

Now, YouTube is a fairly old social media

platform and it has added a lot of value to each of our lives.

And on YouTube, you can become a content creator to earn passive income.

Now on YouTube, you basically make money in three ways.

The first and the foremost way of making

money from YouTube is through ad sense revenue.

So for example,

when you would have clicked on this video, you might have been shown an ad.

So every time you see that ad,

I as a content creator, would get some money from YouTube.

That's the first and the most obvious way of making money from YouTube.

For this to get activated,

you need what you need to have almost 4000 watch hours and thousand subscribers only.

Then this particular specification of YouTube ads and revenue gets activated.

It's not as if that the first day you post

your YouTube video, you would start making money and that does not happen.

You actually need a baseline.

The baseline is 1000 subscribers and 4000 hours of watch time only.

Then your channel gets monetized and you can activate this passive income stream.

The second way YouTubers make money is

through brand deals and brand sponsorships.

For this, your channel should have grown up to a certain scale.

I would say that that scale would be roughly 20,000 to 25,000 depending on your

niche, what exact content you are making and a bunch of different different things.

But if I have to throw out a number, then I would say that you might start

getting some sponsorship money when you hit 20000 to 25,000 subscribers.

Now the third way YouTubers make money is

that they sell some type of digital products or community memberships.

Now I will talk more about it in this video about this third income stream

because this is not just pertinent to YouTube.

This is pertinent to a bunch of other external ecosystems.

Also, it really depends on a lot of factors.

It depends on what do you enjoy versus not what type of channel you want to start.

What is the niche in which your channel is focused?

For example, certain channels like comedy,

they get a lot of use, but very difficult to monetize.

It because advertisers do not want

to spend their ad budget on comedy videos because people love to watch comedy.

But it's not as if that people will watch

some ad on comedy videos and they will end up purchasing that product.

So therefore the revenue per mile.

That's one of the measures that YouTube incorporates.

So Rpm for comedy videos might be on the lower end.

But honestly, in terms of making money,

you can make a lot of money and very less money from YouTube.

The range is just wide apart,

so it's very difficult for me to comment because it depends on a lot of factors,

but ease of starting YouTube is really easy.

You just need a camera, you just need a basic mic.

For example, I use a very basic mic

to speak to all of you, and you can literally start shooting.

What are some of the key things that I

would like to suggest in terms of making passive income from YouTube?

First and foremost, pick a niche that you are passionate about.

For example, I am extremely passionate about teaching.

Hopefully, that reflects the way I speak the way I teach on this channel.

So teaching has always been a passion for me.

I've been teaching for approximately one and a half decades now,

so I really enjoy that niche and I continue to make videos in that domain.

Another related point here is that if you

end up picking a niche, for example, if you feel that you know what,

if I talk about business related things, probably the Rpm is very high.

So let me pick that stream and let me start shooting some content on it.

You might enjoy it for a few days, a few months, then it will fizzle out.

Right.

So it's very important to enjoy things that you're doing on YouTube.

Otherwise, according to me,

it might be a very hard battle, and there is a very specific reason behind it.

For example, what happens is that when you

start your YouTube journey initial few months, you will not get any traction.

It will be very tough.

It's a very loan battle.

You might not even have anyone in your team.

In fact, my team is also very small right now.

It's not as if that I have a very big team, but especially when you're starting

out, you might not have a lot of audiences.

You might not get a lot of traction.

You might struggle to shoot that video.

You will not get any appreciation for shooting that video.

So it becomes very important for you to enjoy that journey.

If you're not enjoying that journey, you will give up very, very soon.

So therefore, my foremost tip in terms

of starting out on YouTube is that you must really enjoy that journey.

If you're not enjoying that journey, then please do not get on YouTube.

It's a very hard platform to make money from that perspective.

Now, one practical tip that I will give you that I have not seen people give

to get started on YouTube is not to get started on YouTube,

but to get started on Instagram or start making Instagram reels or short videos.

Because that way you will understand that you enjoy the process of making

videos, and it's easier to make shorter videos compared to longer videos.

Now, the third passive income stream I

would like to talk about is selling digital products.

Now this is an entire universe in itself.

There are 100 different options, 100 different ways in which you can sell

digital products and the type of digital products.

Let's say for example,

you're very passionate about fitness, so you can sell some fitness related

products or fitness related program or getting fit program in 30 days.

Similarly, if you're very passionate about

fashion, then you can create some tutorial videos on how to make people look smart.

You can put it out on YouTube.

You can put it on something like Skillshare.

So these would allow you to monetize your

hobbies that you are thinking about and that you're passionate about.

So essentially, digital products are a market in itself.

You can explore numerous type of digital products, so pick a niche or try to build

digital products that you feel personally very passionate about.

For example, one of the key digital

products that I'm building right now is a course on management consulting.

My course on investing has been a hit.

It has been loved by so many people. Thank you so much.

People who have attended my course do drop

in the comments in case you're listening to this.

So my bachelors are fully booked

from that perspective, because I really love to teach.

That has always been my passion.

That is something that I have always done,

and that is something that I would always continue to do.

So hopefully that comes out very

emphatically when I'm talking to you about teaching.

So again, my advice on digital products is

fairly simple that you need to think about the value add approach here.

For example, if I'm charging Rs10,000

for my course, but you do not find any value in it, then the problem is that I'm

charging a very high amount than what people are getting value for.

So always consider the difference between value and cost that you are offering.

And if you feel that, hey,

I'm able to add like Rs20,000 of value through this course, then go ahead.

Charge Rs20,000 for that course.

There is absolutely nothing wrong.

The problem happens that even if you are selling like a 200 rupee course

and that course does not add any value, that's a waste on the flip side.

If you are selling a more expensive

product, but if you know that you will be able to add immense value, then go for it.

That is ether simple concept of pricing

that I would like to tell you when you are launching your digital products.

And can you make Rs10,000 by selling digital products?

The answer is absolutely yes.

What you need to keep in mind is

the calculation or the mathematical equation behind it.

The amount of money that you will make will be price times quantity.

Right.

So if you're selling RS500 course, a lot of people might buy it,

but you will have to sell more units to make that Rs10,000.

On the flip side, if you are selling a very high priced

course, for example, Rs10,000, you just need one person to buy your course.

So from that angle,

I would say that selling digital products is a great option.

You can definitely explore that.

One key challenge that you will face is the distribution part of it.

For example, in my case, because I'm on YouTube, I add a lot of value.

I have been writing on Linkedin for almost

two years now, so I have that distribution going, so to say.

But if you're just starting out and if you don't have any distribution,

then getting traction in terms of selling that digital product will be very tough

and you might have to explore different options in terms of marketing.

So always think about adding value to others.

That is how you will get value back.

That is ether simple concept in our digital economy today.

The more value you add, the more you get in return.

Now, the fourth passive income stream

options that I would like to talk to you about is NFTs.

Now. Nfts are nonfungible tokens.

They are a combination of cryptocurrencies

usually and some underlying ecosystem that adds value.

I've made a separate video on what NFT are so you can go and check it out,

but very quickly, just to help you understand,

let me use a realworld example of an NFT Metaverse business in which I

have invested and that Metaverse name is Zion.

Worse, it's essentially a gaming company that has created a parallel universe.

Right?

It's a new universe about games, and they promote Indian cultures.

And they have launched an NFT called as Lakshmi NFT.

So essentially an NFT becomes like

a passive income stream, so to say, because you launch certain kind

of currency that currency keeps on going up or down,

depending on market fluctuations, a bunch of different different things.

A lot of creators have experimented with the NFT space.

For example, Mr.

Amitabh Bachchan recently he sold his NFT

collection at approximately $1 million, so which was a huge amount and he can

create a series of NFTS he can duplicate NFTS.

For example, if Amitabh Bachchan does

a photo shoot of 100 photos, it just takes him an hour worth of his time.

Then he takes those 100 photos, converts it into an NFT and starts selling it.

So that becomes an NFT selling business.

Now, as you can imagine, that making your own NFT not a super

complex process, but you need to provide certain underlying value.

I'm just suggesting NFT option.

Now, I understand that it is very

difficult for retail investors to create their own NFTs and start monetizing it,

but this is an option that will become more popular as the world grows.

There will be more plug and play models here.

A lot of new startups are coming in this

space, so probably I'll have to make a dedicated video on this entire topic.

Let me know in the comments box if you would want me to do that,

but to cut the long story short, if you are someone who is interested

in making passive income streams, then keep a close eye on the NFT

businesses how they are evolving learn more about this space.

This short video will not help it.

I will make a separate video

on that perspective, but definitely learn more about what NFT are.

What is Salman Khan doing with his NFT?

What isAmitabh Bachchan doing with his NFT?

What are other creators doing with their NFT?

Also, let me know in case you would want me to launch my own NFT,

I will make it as a case study and I'll shoot an entire video on that.

Now comes the fifth passive income stream option which is writing books now.

Essentially, I am writing my own book.

I already have a book deal in place.

My book is likely to come out by my birthday, which is on 6 April.

So hopefully my book will be released by then.

So essentially in books, how you make passive income is through royalties.

Roughly, you make ten to 20% royalty for every book that is getting sold.

So that is the cut that the author gets

because the distributors, the publishers, they take a lot of commissions.

From that perspective,

they take a lot of risk and Resultantly, they charge a lot of commissions.

Now can you make Rs10,000 by selling books?

The answer is yes, you can actually do it in India.

It's harder to do it because a lot

of pirated copies get sold and authors do not get credit for it.

But let's assume that your book cost Rs300 and you are making 10% on it.

Then for every book sold you are making

Rs30, then how many books do you need to sell to make roughly Rs10,000?

So in order to make Rs10,000, you will have to sell roughly 330 or 340

books in total, which is not that complex on per month basis.

If your book is good again here, you need distribution.

If you are able to market your book really well, everyone is covering it.

Everyone is talking about it then yes,

selling roughly 350 books per month seems like an easy task from that perspective.

Now, how difficult is it to write a book?

I will keep you tagged along with my book writing journey.

So I'm still finding out I do not have a first hand experience on it.

But I would say that if you are good in structured thinking,

that is something that is really helping me out in terms of writing my book.

So I will share some structured thinking and structured learning tools with you.

So hopefully that will help you get

started in terms of your book writing journey.

One quick tip that I would like to give

you here is that please don't have very high expectations in terms of writing

books because book writing is a very difficult process.

It's again a very lonely process. You have to stay alone.

You have to think you have to grind and then would start flowing out of you.

So it can be a very lonely process.

So don't put a lot of pressure on you while writing a book number six option.

You can do podcasts to make passive income streams.

Now, starting a podcast super easy.

All you need is a mic and you're done and you use Anchor.

FM and you are able to upload your podcast.

By the way, my podcast starts from 16th

of this month, so keep an eye out and would love it if

you can go download the episode and listen to it carefully.

I'm making very detailed podcasts, so you will learn a lot from it.

Now, how do you make money from podcast?

That's a slightly more complex question

because right now the only way to monetize podcast is through sponsorships.

It's very difficult again, for newcomers to monetize their podcast

because you roughly need to have around 1500 downloads for your podcast to be

considered somewhat eligible for sponsorship.

It really depends on the niche, how big a brand you are, etc.

But to cut a long story short,

I would say that roughly 1500 downloads per episode is considered to be a good

matrix for podcast, and at that stage in time,

you can start reaching out to sponsors to get sponsorship for your podcast.

Are my podcast going to be sponsored?

Yes, some of the episodes are going to be sponsored.

I have found sponsors before time

for that because I have already been creating content for years now.

I have been active on LinkedIn for roughly two years YouTube for roughly one year,

so sponsors know what kind of content I'll be able to shoot and deliver.

So from that perspective,

they know that hey, I'll be able to add value to communities

and they are happy supporting me in that journey.

What is the usual sponsorship rate?

Can you make Rs10,000 by running your own podcast?

The answer is yes. You can easily make Rs10,000 a month

by running your own podcast, even if you can get one or two sponsorships.

The 7th passive income stream option is called as paid membership,

so you might have seen that a lot of YouTubers have a join button.

So if you click on that,

that is a membership that you are buying to their channel.

Similarly, there are other platforms, other ecosystems like Patreon,

where you can buy membership for certain exclusive content.

Now you too, can start your own membership on a platform like Patreon.

But again, it's your responsibility

to figure out a way to add value to the communities that you are reaching out to.

Hypothetically, let's pick up a case.

For example, let's say that you write excellent newsletter,

then you are reaching out to so many audiences every single day.

You are adding value to their life in terms of their learning,

in terms of engaging with them in terms of igniting their intellect.

So you are adding a lot of value to them.

Now on your newsletter,

you can literally say that you know what I've been adding a lot of value to you.

How about you support me?

Here is a link to my Patreon.

Please go and support me on this particular page.

In return, I will start shooting exclusive videos for you or I will start shooting

exclusive content for you, or I will start giving you exclusive information.

That is a great way for content creators to monetize their content and stay afloat

because this is a full Tinde job for a lot of content creators.

Now, is it again, very easy to sell membership?

I would say that this is probably the hardest thing in a way,

especially in a country like India, because people do not really want to pay

for content per se, because content is assumed to be free.

So there is a lot of back end work that goes into creating quality content.

So from that perspective, I'm hoping that as the times change as

people start understanding that you know what content creators too are adding a lot

of value compared to schools, colleges, etc.

Probably they will support their work more from that perspective.

But right now, yes, it is very,

very difficult to make Rs10,000 through paid membership.

Have I done it? Yes, I have done it.

For example, I have invested in a company called Cases Over Coffee,

which has run paid membership for management consulting enthusiasts.

That's a highly niche business.

We were able to scale that business up in a very wonderful manner.

Excellent feedback about the entire ecosystem that we created.

If you go on LinkedIn and read about

Cases Over Coffee, you'll see excellent feedback on the entire firm.

Now, the final thing in which you can make

passive income is a slightly more advanced stage.

It is called as angel investing.

So, for example, I'm an angel investor.

So far, I have invested in roughly seven

businesses and I continue to invest in more businesses.

As I speak now, is angel investing pure passive income stream?

The answer is yes and no in a way, because some founders in whom I have

invested, they seek active support from me.

They say that we want to have, like,

bi weekly meetings or we want to have meetings every two to three weeks.

Some say that you know what? Just be hands off.

We can handle things whenever we need you.

We'll call you right.

That is the type of conversation that you can end up having as an angel investor.

Now, one of the key traits for being

an angel investor is that you must know about businesses.

You must have built your own businesses, and you must be able to add value

to a business that you're looking to invest into.

There is a lot of money that is floating

around, and businesses are able to get that money.

But startups are super interested

in getting good people on board with them, who can help them accelerate their growth.

If you are starting out.

And if you want to invest in businesses, as a retail investor,

then there are certain platforms like Angel Investor Network.

You can read more about it and that will

give you a better sense of whether angel investing works for you or not.

But yeah, this is a super risky field

because majority of the startups feel so from that perspective,

I hope that you found this video to be insightful and useful and you can pick

certain tips and strategies from this discussion and implement it in your own

Arsenal so that you can upscale your career and start making more money.

I hope you enjoyed the video and I will see you the next time.