In our earlier post, on “How to Make Money”, we explored the most common method of generating incomes – employment. In as much as it is popular and easy to manoeuvre, it possesses a lot of demerits as far as sustainability and satisfaction is concerned.
This leads us to the next technique, what many refer to as being self-employed. Self-employment is the immediate most preferred method of cash generation especially for the skilled. In this case, the person in question has a profession and owns the job. An example is a doctor who is a medical professional and runs a clinic. Another example is a lawyer, who is skilled in his work and runs a practice from which he derives income.
The self-employed are those who do not like to depend on others for their incomes. Independence from being bossed is their main inspiration. They are people who have high standards and would almost always find it comfortable to venture out on their own.
Like the employees, the self-employed also earn a lot of cash. However, their earnings are directly proportional to their effort. Hence, it would not be hard to find most self-employed people working beyond normal hours just to ensure that they get enough cash to fulfill their needs and wants. They are therefore enslaved to their occupation in a way. Their incomes inflows stop when they stop working. Have you noticed when the lawyer or the street kiosk owner goes on vacation, the offices close? That is what we are talking about here.
With time, much striving may result into burn out and hence, reduced productivity and reduced income cash flows. The income streams therefore are directly hinged to the productivity of the business owner. It therefore means that for one to earn they have to be active either as an employee or as a self-employed person. These two are called active income sources. Those operating under these two classes of earners majorly trade their time resource input for cash compensation or rewards.
To sustain a healthy cash flow, it therefore is recommended that one has to design a system that would ensure constant inflow of income regardless of the presence in person.
So how then can you intelligently work to earn cash that is sustainable?
Watch out for our part 3 of our series on “How To Make Money” that is will soon be uploaded.
See you then! J
Michael The Passionpreneur 👌 