Why Everyone Needs a Passive Income Stream (Yes, Even You)

Even in the wedding industry (or maybe I should say, especially in the wedding industry), selling digital products and ready-made designs is looked down upon. Dime a dozen designers on sites like Etsy, Zazzle and Creative Market have made having a passive income stream seem somewhat dirty.

And truthfully, I get it.

Most wedding invitation designers have positioned themselves as “artists” making “timeless keepsakes” in order to stay alive in a competitive market. So for someone like me to swoop in and sell digital products, well, it’s kind of discouraged.

And it’s not just the wedding industry. The same goes for photographers, graphic designers, brand developers, you name it. Digital designs are seen as catering to bargain hunters and there’s no place for that in a high-end design business.

But here’s the thing, making it as a designer in an over-crowded industry is tough. Even if you position yourself as an expert and sell only high-end design services. (Or find a coach, buy that fancy website, and hire a professional photographer…) There are still a million designers out there exactly like you doing the exact same thing.

So now let’s ask a different question:

What do you have to lose by diversifying your business (or starting a side hustle) and earning income on the side?

Absolutely nothing. Even if that means others in your industry don’t take you seriously.

Last year alone I made over $18,000 from one Etsy shop. That’s an extra $1,000+ a month that came in while I was sleeping, working with one-on-one clients, or on vacation.

If my entire paper business were to fail tomorrow, I would still have earned $18,000 that could go to pay my mortgage, bills, groceries, you name it.

From one passive income stream.

What could I do with 2 shops? Or 3 shops? If my only source of income was designing and selling digital products, how much could I make a year? How much could you make a year?

Small business owners can’t afford to scoff at passive income anymore. Not when they’re practically giving $20k to someone else.

So here’s why I believe every designer, small business owner, and corporate employee (ie. you) needs to sell digital downloads.

5 Reasons You Need a Passive Income Stream

1. It increases your hourly rate

Passive income products are, by their very definition, products you make once and sell over and over again. In my business, this is my line of wedding invitation templates (I also sell other digital downloads here and there, but we’ll just look at my invitations).

I might spend 8 hours designing, creating and testing a template before putting it in my shop and selling it for $12 a download.

If I look at just my top-selling listing, which brought in over $4,000 last year, my hourly rate comes out to about $500 an hour. If I look at my shop as a whole, $18,000 income for roughly 80 hours of work is still $225 an hour.

As a creative, where else can you earn that kind of premium for your time?

2. You’ll worry less (+ sleep better)

I view passive income streams as a way to diversify my business – not as my entire business. And that means that I always have an income stream to support my family if something goes wrong. My custom invitation business could go belly up but I’d still have earnings from my template shop, or vice versa. It also means that if my husband were to lose his job, the economy tanks, or an emergency hits, we’d still have money coming in until we can get back on our feet. And that’s priceless.

3. You get paid even when you don’t work

Like I mentioned before, with passive income the money comes in whether you’re actually working or not.

And while “passive” doesn’t mean you don’t have to work at all, it DOES mean that you can choose when and where you work.

Take weeks off to travel the world or go on a long holiday with your family – you’ll still get paid.

4. It allows you to reach more customers

Let’s face it, not everyone can afford that $3,000 design package. But just about anyone can afford a $50 pre-made logo design. And while Marketing 101 says you never want to design products to please everyone (or you’ll end up pleasing no one), creating a passive income stream doesn’t mean you have to throw your high-end market out the window. You can have both if you do it right. In fact, that’s the whole point (but we’ll talk more about this in a later post…)

5. It’s waaaay more fun than working a 9 – 5

At least 5 times a day my phone makes a little cha-ching! noise whenever a new sale comes in. And every time I open my inbox I have at least 2 new sales notifications. Making sales on autopilot turns earning money into a game of how much can I earn today? And for those of us who are natural entrepreneurs, that’s so freakin’ fun.

Did I miss anything? I could chat business all day, so go ahead and leave your burning questions in the comments below.

The information contained on this Website and the resources available for download through this website are for educational and informational purposes only. I am only sharing what worked for me, and as such, I cannot guarantee that any products or processes will give you the same results.