Many people believe there's a clear, distinct line between assets and liabilities.
There's a massive argument going on where some people are saying that a house is an asset whilst the other half are saying it's a liability.
Which side is the right side? We're not going to get into that today.
However, we are going to be talking about how some liabilities are in fact assets.
Before we get into this, we must first understand what assets and liabilities are.
Assets are resources with economic benefits owned by a party in hopes of providing future benefits.
For example, owning property is an asset - it is expected to generate cash flow in the future.
I believe that every book you own is an asset - it will become income in the future.
Liabilities are resources owned by a party that will depreciate over time.
A good example of this is usually a car.
Did you know that once you drive a brand new car out of the car room, it depreciates instantly? By the first year, you'd have lost up to 40% in value.
Although a car depreciates in value and is commonly known as a liability, what if I told you that it doesn't need to be?
What if your car or whatever other depreciating product you own makes you more than it loses you?
Then it becomes an asset, right?
Right now you might be reading in bewilderment.
How is this even possible? How would your car, or your phone, or your gaming console, or whatever it is that you have, make you more than it loses you?
In this article, we're going to outline 4 ways in which you can turn a liability into an asset.
We're discussing how you can turn anything into a stream of income.
Make Content on it
The first way to turn anything into a stream of income is to simply make content about it.
Around 10 years ago, there was a simple man with a passion for cars.
He was working a regular job, getting paid a regular salary with no way to afford the cars he loved.
He went to car shows to see the amazing cars that he could only dream of.
Sometimes, he used his phone to record the cars for memory.
One day, he had an idea - he started to record the cars, or when a supercar was on the road, he quickly got his phone out and recorded it.
Those videos made their way onto YouTube and a few months to a few years later, he had 10s of thousands of subscribers watching his content.
The channel started to generate some income and that's when he decided to buy his first car and make some videos about it.
The channel blew up into what it is today - a 3.5 million-person empire that all love cars.
That man is called The Stradman.
There are many examples of this - not only him.
One a lot of people might know more commonly is the real estate guru, Manny Khoshbin.
Content is king in today's world.
People who are able to make a piece of content and throw it on a platform like YouTube or TikTok will get all the attention.
This is because it's exactly what people are after, it's where the attention is at.
Whatever your product is that you think is a liability, you are able to make content about it and turn it into a stream of income.
For example, there are many people on YouTube or TikTok who make real estate videos.
There are people who do property tours or maybe even tour their own property.
If you own your own property, you can turn it into an income stream that pays for the house itself.
Make property tour videos, home decor videos, home tips, etc.
If you're a gamer and you love to buy games, spend money every month on gaming, then you can also invest time into YouTube or Twitch and turn that passion into a stream of income.
Let's say the average YouTube CPM (per 1000 views) is $5.
This means that for every 1000 views, your channel is making $5.
If you had 1 million views per month, that's $5000 per month.
Now if you had 10 videos per month, each one needs to have 100,000 views to reach this goal.
Here's a little secret that not a lot of people know about or do.
You can take the best moments in your videos and cut them up into shorter videos for TikTok or even repost them for YouTube shorts.
I once spoke to an entrepreneur who has achieved more success than myself.
The biggest thing he taught me was to repurpose everything, wherever possible.
Content is king and it will only get more effective as we go further into the future.
Become an affiliate
In my article about starting a blog for free, I mentioned how you can make money on your first day of blogging.
This was done through something called 'affiliate marketing.'
Becoming an affiliate for a product is very simple.
In fact, for many influencers on social media, their affiliate income is some of their easiest income.
Building a new stream of income through affiliates is as easy as putting your links in your social media posts.
If you create YouTube videos or TikTok videos, for example, you can advertise the products you use.
You might want to mention to your audience that there are affiliate links just to be 100% transparent.
There are a bunch of YouTubers who create videos about equipment and phones, and electronics.
They made a bunch of videos on the latest phones, the latest cameras, the latest equipment, and gadgets.
At the time, I was dying to buy an iPhone 5 - it was the latest iPhone and I absolutely loved how it looked.
The whole day, I would spend my time watching unboxing videos of the iPhone, hoping I could also get my hands on one.
In the description of the videos, they would have links that go out to Amazon where you can directly buy the products.
Once someone clicked on any of those links and bought the products, they would make a small commission.
That is how affiliate marketing works - it's that simple.
It works best when you have an audience of people who trust you.
If you're just starting out, TikTok will be the fastest eyeballs you can get.
Make videos about things you have around the house, or maybe your room setup, and let people find your link and buy the products if they like them.
Some influencers are able to make a six-figure income purely off of the products they are affiliated with.
On my blog, I am affiliated with the books I read.
When I mention a book that has really made an impact on me, personally, I have an Amazon link for it which allows you to directly buy it from Amazon.
I have an article that talks about the 5 books every entrepreneur must read to be successful - it has links to all the books and can be a passive income stream.
Become an ambassador
Ambassadors and affiliates are almost the same things.
Where affiliates are just people who advertise products for a commission, ambassadors are people who directly work with the company on a mutually beneficial agreement.
Going back to our example on Unbox Therapy and Marques Brownlee, they are usually ambassadors for the products they advertise.
In many cases, the company works directly with the influencer to make content and advertise their company.
They may send the influencers free products or help them host giveaways to their audience.
Another great example is Mr Beast and Honey.
Mr Beast is not just affiliated with Honey - the coupon company.
Mr Beast is now an ambassador of Honey, the face of Honey.
It was a very smart move on their part and has most likely made them an infinite ROI.
The benefits of being an ambassador rather than an affiliate are much higher.
You get free products (which is amazing) and you have a much higher, more consistent payout.
It's common for these companies to pay you for working together rather than on a commission basis.
This is what everyone should work towards, those sorts of relationships.
So how do you even become an ambassador for a brand?
There are many ways for this to happen - the ideal situation is if the company comes knocking on your door.
However, this most likely will not happen anytime in the future for a lot of people.
That's completely fine, there are other ways too.
The simplest way is to first think about the brand you want to work with.
If you're a car channel, think of your favorite manufacturer.
If you're a gamer, think of your favorite game.
Or you could also look at the brands behind your gaming setup or camera equipment.
You'll want to do your best to find their emails or contact information.
Hawk Prospecting was made to help with this!
Once you've found the right contact, reach out to the company and tell them about yourself and how you want to work together.
Tell them how you love their brand and think working together can benefit both parties.
Before you go on your merry way, I should tell you that this most likely will not work.
You could potentially get a few replies, but a lot of the time, you won't.
The bigger your personal brand and audience is, the better your chances of success.
There is a final method I wanted to talk about.
A few years ago, Aubrey Marcus approached Joe Rogan with an idea.
A supplement that Joe Rogan fell in love with.
He told Aubrey to start a brand and work together - Joe Rogan became an ambassador where he constantly talked about the brand on his podcasts and social media.
Today, that brand is called Onnit - a fitness brand that gets almost 1 million monthly site visitors and is worth over $100 million.
Sell it on Amazon
Everyone has a product they really like.
What better way to show your love for a specific product than to start your own brand around it?
This method might not be for everyone.
It might not be possible for every product.
Or you might not want to do this.
However, since I've started to get back into eCommerce, I wanted to mention this as a potential stream of income.
Selling on Amazon is one of the simplest businesses to set up.
Here's a simple run-down of how Amazon works (as a seller).
You really like a specific product, but there might be a few ways you can see an improvement.
You realise that this is a popular product that sells well.
You find a manufacturer or a supplier for this product - it's best to find a supplier who has great communication, is honest, and is cooperative.
After getting samples from various suppliers, you pick one and order a bunch of the product to an Amazon warehouse.
Once it's received, you let Amazon do the rest.
That's a very, very high-level view of selling on Amazon.
If you'd like a more detailed tutorial, please leave that in the comments!
On Amazon, you can expect profits between 30-50%.
If you run the numbers, anything lower than this should be cast out.
Not only would this help you build a good stream of income and turn your liability into an asset, but you can also scale it over the long term and build a massive brand from it.
A great idea would be to find a supplier and sell on Amazon.
Don't make any changes to the product, just find a good supplier with a good product.
Once you get traction and have consistent sales, you can start a Kickstarter campaign where you make big changes to the product from the reviews you receive.
This way, you can raise money and build hype around your business.
That is a whole other discussion in itself!
Today, you should start to think about all the liabilities you own and how you can turn them into income streams.
Whatever you decide to do, commit to it and focus on it for 6-12 months.
From here, you'll be able to see a massive shift in your life!
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