Why You Should Build Recurring Revenues For Your Business.

Why You Should Build Recurring Revenues For Your Business.

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Hey everyone !

If you want to build a healthy investment portfolio, you should consider diversification to lower risk and promote growth. Having a recurring revenue strategy plays a key role in your business by creating a valuable and sellable business and its continuity even after you’re gone. Recurring revenue usually makes a business appealing to customers. People normally have a lot of interest in businesses demonstrating reliable revenue streams. Below are some top reasons why you should build recurring revenues for your business: 

1. Maintaining a positive cash flow 

Recurring revenue can assist your business in developing and sticking to a more reasonable budget. If you know that you’re expecting a certain amount of money each month, it’ll make it easier to cover your routine, and unexpected expenses such as employee salaries, loan payments, accounts payable, etc. This predictability will lead to greater financial visibility. One will also be able to lower the total expenses in relation to the revenue and maintain a positive cash flow structure. Additionally, most loan providers and investors tend to trust businesses that have recurring revenues because of the low chances of insolvency. 

2. Creates space for valuable customer insights 

Having recurring revenues will help you analyze the needs, wants, and behaviors of your customers. If you want to create a long term relationship with your clients, it’s essential to understand what they actually need and how to meet their needs in different ways from your competitors. When researching about the market, you’ll also get deeper insights about customer preferences and satisfaction, which will directly influence your marketing efforts and customization of your products or services. 

3. Business growth 

Knowing the amount of money your business generates in a certain time and the recurring costs will free up more time and energy for expanding your market, attracting new customers, and developing new products. Additionally, the financial certainty can assist in alleviating stress, which translates to improved productivity within a business. 

4. Improves creativity 

If you’re less worried about the outcome of your business, you’ll end up focusing on more creative and innovative marketing strategies. You’ll also be able to analyze different strategies to see what works and what doesn’t before implementing any marketing strategy to prevent wastage of resources. This will help you have a strong customer base, which translates to more revenues and profits in general. 

5. Gives freedom 

If your business has recurring revenues, you’ll have the freedom to enjoy vacations in the destinations you want around the year. Lack of recurring revenues can lead to business failure, especially if you leave for a vacation without a clear picture of your business outcomes. 

Who I Signed Up With

I signed up with Amazon, ShareASale, Google Adsense, Jaaxy and Wealthy Affiliate. These aren’t a whole lot, right? But, it’s a start to build a portfolio.

Before I forget, I am leaning towards a free membership with IDplr too!

Off the bat my #1 recommendation is Wealthy Affiliate. It is slow off the ground revenue wise But when momentum picks with referrals and premium signups, monthly recurring revenues will start to add up.

Why do I feel this way?

i am very optimistic based on the income proofs from the following  3 true success stories:

1. Grace aka Littlemama – “Watch out Vegas, littlemama’s Coming to Town.”

2. Jerry Huang – “$40K in 4 hrs.! Craziest Night Ever!”

3. Benji’sDad – “LAS VEGAS 2020 Super Affiliate Challenge COMPLETE! (& Ask Me Anything).”

When insane success stories are happening here  at Wealthy, nobody wants to give up. Everyone’s eyes are on the prize for sure..

Concluding Thoughts

We talked about some of the top reasons why you should build recurring revenues for your business. If you want to create a subscription for your customers, it’s essential to provide multiple price points. For instance, you shouldn’t give your clients a yes or no choice, but rather a tiered approach which can easily make your customers identify plans that will meet their needs. Furthermore, taking a look at real proof offers incentive to realistically take advantage of various revenue streams.

Wouldn’t you agree that it is great to be covered by umbrella whiich represents a colorful future of recurring revenues? 

Just a thought.

If you have a comment or question, please leave it in the comment area below. Feel free to take a look at the other articles. They are all for you.

Until next time, have a great day.

Blessings always.

Maxine

6 thoughts on “Why You Should Build Recurring Revenues For Your Business.”

  1. Success Business Online

    I think it is really great that you covered the topic on building recurring income.

    Out of the five points you mentioned in the article, I loved point five the most.  The fact that recurring income gives us the freedom to pursue and do the things we like is what makes building business so attractive.

    I believe that as long as we find a good system that works just like Wealthy Affiliate, success is always closer to us then what we think it is.

    Thank you for sharing this article with us.

  2. Hi Maxine, I can agree that building a recurring income for yourself is quite important. Previously, people only know stock trading or property investment as the way to create passive income. Even some of my friends believe so. Affiliate marketing is a very good way to start creating passive income stream. It requires good marketing strategy, and I feel better doing this compared to stock trading (which need a lot of finance and forecasting skill, and I a bit sucked at that). 

    1. Hey Alblue,

      Financial freedom is what most people dream about. Affiliate is a means to that end by building recurring revenues.

      Thank you for your comment, Shannon. 

      Best regards, 

      Maxine 

       

  3. Thank you! This is a good concept, building recurring revenues for your business, as well as diversifying your income streams. Wealthy Affiliate sounds like a great way to make income because lots of people are looking for how to make money online, so they will try it. And you get referral bonus for if they join and then it creates recurring income each month. 

    I have also heard some stories of people making lots of money promoting Wealthy Affiliate. That’s one reason I signed up and joined a premium membership. It has already more than paid for itself. Thanks!

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