For many people searching for financial freedom, a six-figure online income is basically the “Holy Grail.” And though it sounds impossible, it’s actually much more realistic than you’d think.
Breaking Down a 6-Figure Income
If you’re used to making $30,000 or $40,000 per year, then reaching that six-figure threshold seems lofty. But let’s break it down.
To make $100,000 per year, you essentially need to earn ($273 per day) x (365 days). That’s obviously including weekends, but using the method we show you in this article, you’ll be making money seven days per week.
If you’re used to making, say $80 to $100 per day, that sounds unreachable. However, you’re still in the “time equals money” mindset. In other words, you’re thinking about earning money in terms of exchanging your time for money.
But what you need to do is think about scaling your time and earning money by selling assets. More specifically, think about it in terms of selling physical products.
Let’s say, for example, that you have a product you can sell for $15. That product has a profit margin of $10 (meaning it costs you $5 to buy the item and acquire the customer, but you walk away with $10 in your pocket each time a unit is sold). In order to earn $273 per day, you need to sell 27.3 products.
That’s it. If you can sell 27.3 products with a $10 per unit profit margin, you’ll make six figures per year. But that’s just one example. Let’s pretend that you’re selling a higher-priced product with a bigger profit margin.
For example, you have a $50 product that nets you a $30 profit per unit. Using this illustration, you’d only need to sell 9 products per day to earn a six-figure income. Sell 27 of these products per day, and you’re making $300,000.
Obviously, we’re just throwing around numbers – but do you see how this works? You don’t have to slave away working 40 hours a week in a job you hate for $15 or $20 per hour. There are so many opportunities out there.
The Physical Products Approach
Okay, now that we’ve covered the theoretical side of things, let’s get into a specific step-by-step process to show you how you can make $100,000, $200,000, or even $300,000 per year selling physical products online (even if you don’t have your own physical product).
Here’s a very basic overview of how this process works:
Buy Wholesale Products
You don’t have to invent your own product. Simply go to a wholesale marketplace and buy products at a discounted rate.
Listing Bird is one of the best places to do this. You can find everything from iPhone screen protectors to nail polish to dresses to jewelry. And in most cases, they’re able to be re-sold at a 300-500 percent markup.
Pick the Right Online Marketplace
A site like Listing Bird will ship products directly to your house or office. Now you just need to find a place to sell them. The most common online marketplaces are eBay, Amazon, and Etsy. (You can also set up your own website, but that’s a much more involved process.)
eBay is generally considered the easiest place to start, though you’ll have to do all of the packing and shipping yourself. If you’re looking for a more hands-off experience, Amazon FBA is easy. Once you find a product that sells, simply send your shipments to Amazon and they’ll handle everything from packing and shipping to customer service and returns. (Though they obviously take a bigger cut.)
Create Compelling Listings
You won’t be the only one selling your product on eBay or Amazon. So in order to stand out, you’ll have to open an account and create a compelling listing with beautiful graphics, crisp copy, and a competitive price. You’ll also want to start gathering reviews and testimonials as soon as possible.
Rinse and Repeat
That’s it! Of course, there are dozens of other smaller steps that go into each one of these. However, at its core, it’s a simple process of buying a wholesale product, finding the right marketplace, creating a listing, and cashing in. Not every product will be a winner, but all it takes is one or two products consistently selling a few units per day to create a stress-free online income.
Give it a Try
If you could make $100,000 or more working from home on your computer, how would your life change? Would you be able to spend more time with your children? Free up space in your schedule to exercise more? Spend more time with friends?
The path to six figures seems difficult on the surface, but when you break it down, it’s really quite manageable. And here’s the best part: The method we discussed in this article is just one method. There are literally dozens of other ways to make a six-figure income online. The key is to find the one that works for you!