Introduction to Passive Income Programs
Introduction to Passive Income Programs
Contents
1. Quick Intro
2. About Me
3. Revenue Sharing
4. Autosurf, HYIP
5. Sports Arbitrage
6. Other Opportunities
7. How To Start
1. Quick Intro
Passive Programs are designed to provide an income without the need to sell,
recruit, or advertise. They also require little effort; some require a small amount,
others next to no effort.
The scope of this report is to provide a brief introduction to the different types of
passive programs available today. The presentation is made as if the reader has very
little foreknowledge of the subject matter. All explanations are general summaries
because each program varies in specific details. Though general, it is sufficient to
give you a basic understanding of how a program operates. For specific answers to
any program please contact the admin of the program.
One other thing, passive programs have only one drawback; they require you to
have funds available to begin, but so does any program, passive or not. The more
you have available to invest the faster you will see significant results even though the
returns are the same if you invest $50 or $500. Before you are scared off consider
this: Where will you be in 18-24 months? A $50 invest now, earning 7% a week will
grow into over $1600 in 52 weeks at that point your weekly earnings would be about
$110. (A $500 investment in the same program would return over $1100 per week.)
Back to the $50 investment, if after one year it was left to grow another 26 weeks it
would be over $9700. The weekly income at that point would be about $680, from a
one time investment of $50. So you see a small investment + a little time = a pretty
good income.
DISCLAIMER: NOTHING IS WITHOUT SOME RISK. DO YOUR OWN DUE DILIGENCE.
I AM HERE TO PROVIDE INFORMATION ONLY, NOT TO MAKE PERSONAL
RECOMMENDATIONS.
RISK FACTORS INCLUDE BUT ARE NOT LIMITED TO MANAGEMENT MISTAKES,
REGULATORY PROBLEMS, WORLD MARKETS, TECHNICAL FAILURES, INTERNET
FAILURES, REVENUE PROBLEMS, AND SO ON.
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Introduction to Passive Income Programs
2. About Me
My name is John Schofield and I am the “Johnny” of johnnydoesntwork.com . Why
would you want to listen to me? I am not a millionaire, nor an internet guru, just an
average guy who wanted to make some money online. I began marketing several
years ago with the intention of earning some extra money with the “hope” of
earning enough to eventually do it full time. I quickly learned internet marketing is
really quite a chore, more or less like having a second job. Without knowing much
about how to make it work, I made mistakes along the way, but also made some
money. One of the mistakes was to allow my marketing to become time consuming.
Building downlines, trying to teach them how to duplicate, list building, creating ad
campaigns, etc. That isn’t what I wanted. Many of the programs I joined were
matrix, cyclers, promoting paid advertising programs, and affiliate marketing.
Some worked when I got in at the right time and the others consumed all my profits
in advertising costs. All I was doing, it seemed, was spinning my wheels.
Then I found passive income programs.
Passive programs provided the income I was looking for without the effort and time
that was required to work the other types of programs. What I like best about these
programs is the fact that my earnings are never based on what other people do, or
fail to do. When I introduce these programs to people I know or meet, I never have
to “sell” them on the business because I will still earn whether they participate or
not. I promote the programs I am in because they pay referral commisions which
helps to build my business a little quicker but again it isn’t necessary in order to
earn an income.
The truth is anyone can do this because it doesn’t require any skills or technical
knowledge, only a little common sense, a desire to earn, and very little time each
day.
3. Revenue Sharing
Revenue Sharing programs are all very similar. They are traffic exchanges that
simply share the advertising revenues received from their members in the form of
rebates, and any income the program receives from outside ventures. The percent of
shared revenue, amount of rebate, and traffic exchange surfing requirements vary
from program to program but all in essence are very much the same.
A traffic exchange is a website that allows a member to advertise their site in
exchange for viewing the sites of other members.
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Introduction to Passive Income Programs
To illustrate how Revenue Sharing works I will use the program Adventures4U as
an example:
As a member of Adventures4U I have purchased an advertising package for $100.
A4U will rebate my purchase up to 200%, provided I surf the required number of
websites daily, which is 25. The potential I have at A4U is to double my money
through the rebate program.
At the end of the week A4U pays out the weekly rebate. The rebate amount has been
14% weekly for a long time. A 14% rebate on an ad package of $100 will be $14
when paid and I have 3 choices with what to do with the rebate.
1. I can take the entire rebate of $14. This would reduce my advertising
package by $7 to $93. This is because I would have received 200% of $7
by taking the $14.
2. I can take $7 of the rebate. This would leave my advertising package at
$100. By taking only half of the rebate we are using the $7 remaining to
purchase additional ad packs, maintaining the $100 level.
3. I can rollover earnings to grow my account and the new ad package level
would be $107.
The illustration covers the basics of how Revenue Sharing programs work. But
again each program has its own minor differences. If you are unsure of what the
rebate levels are being returned or have any questions contact the program admin
before investing. When investing in a Revenue Share programs you ARE
purchasing advertising. Your initial and subsequent investments are nonrefundable,
the method of producing income is through the rebate programs. There are several
Revenue Sharing programs operating today, if you participate in these programs
you may want to consider splitting your money between those several. Never place
all your eggs in one basket.
4. Autosurf, HYIP
Autosurfs, Paid To Surf, or HYIP’s are programs that I do not generally promote.
Identifying them is quite easy, they usually GUARANTEE a fixed daily percentage
of Return On Investment. Many of these programs have relied on new members to
pay existing members, creating nothing more than a ponzi. Others have invested in
FOREX or related programs which fail to produce the returns guaranteed and the
sites have simply shut down. These programs are known as HYIP’s, High Yield
Investment Programs. Though I participate in these with about 20% of investment
money, I consider these very risky. Never Invest What You Can’t Afford To Lose.
5. Sports Arbitrage
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Introduction to Passive Income Programs
ALWAYS PROFIT. If there was such a thing as guaranteed income Sports
Arbitrage Betting would be it. I know I just told you to avoid any site that
guarantees income but Arbitrage sites are different. In fact Sports Arbitrage has
become my favorite type of passive program. Arbitrage betting is not gambling, it is
a market phenomenon that occurs when two bookmakers have a difference in
opinion regarding the outcome of an event. Also known as Surebets or Surewins,
arbitrage betting provides a reliable, stable, risk free opportunity in which to invest.
To illustrate how an arbitrage situation produces income, please review this
example.
Football - UEFA Champions League: Who Will Reach The Semi Final? - April 8,
2008 - Chelsea vs. Fenerbache - Selection 1: Chelsea at odds of 1.45 with Bwin-
Selection 2: Fenerbache at odds of 3.50 with Coral- Guaranteed Return: 2.525%
A correctly staked investment of $1,000 guarantees a return of $1,025.25 whatever
the outcome of the match. That's $25.25 profit due to discrepancies in the
bookmaker's odds guaranteeing a 2.525% profit!
The above information tells us that Chelsea and Fenerbache are competing to reach
the Semi Final of the UEFA Champions League. It also tells us that bwin have odds
of 1.45 for the match to be won by Chelsea, and Coral have odds of 3.50 for the
match to be won by Fenerbache.
By applying a simple mathematical formula to those odds, we are able to calculate
that we can cover both possible outcomes of the bet and make a guaranteed 2.525%
profit.
We would place our bets in proportion to the odds on each possibility. The amount
to bet on each outcome is calculated using a simple formula. $707.07 staked on
Chelsea at odds of 1.45 to return $1,025.25 and $292.93 on Fenerbache at odds of
3.50 to return $1,025.25. Therefore we have staked a total of $1,000 and the bets
return a risk free profit of $1,025.25 - despite the outcome.
Source: About Page of Gold Nugget Invest.
6. Other Opportunities
Other types of passive programs include: affiliate merchandising, website sales,
FOREX trading, and more. Passive programs are essentially investment programs
where you receive a return on investment by the work performed by the program
owners. If you have a bank savings account, the principle is the same, you earn
interest based on the amount you have on deposit. The difference is the amount you
earn. A bank pays about 1 to 2% a year, passive programs are paying 6-7% a week,
some more some less.
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Introduction to Passive Income Programs
7. How To Start
NOTHING IS WTHOUT RISK. NEVER INVEST WHAT YOU CAN’T AFFORD
TO LOSE. As mentioned before, passive programs are great ways to make money
with little to no work, but they tend to be slower than what most people would like
them to be before they start producing a significant monthly return, especially for
those starting out on a limited budget. If you need money now you may want to try
a more active type of program. But considering that many programs have monthly
fees associated with them, it may be more of a benefit to you to add passive
programs and use those monthly fees to fund them and allow them to grow. Only
you know what your desires and resources are, please be sure before you invest in
any program you carefully consider whether the program is right for you or not.
I will never make recommendations on how or where you should invest. I only
recommed and promote programs that are working for me.
One thing I do recommend is that any program you invest in, take out your initial
investment as soon as you can. This is known as your seed money. Allow your
profits to build your account balances and place your seed money in another
program repeating the process. This is the process I have used but have also heavily
funded one program and used profits from that program to fund others.
A program that pays a weekly ROI of 6% can return all of your initial investment
in about 16 weeks, anything thereafter is pure profit. A weekly ROI of 7% will
return your initial investment in about 14 weeks.
HERE IS THE KEY: Never get greedy. Recover your seed money as soon as posible.
Diversify your programs. Though many of the programs I participate in are of low
risk, they can still fail. Creating several streams of income protects you overall in
the event of one of your programs closing; you will have other sources of revenue
still coming in.
Conclusion
I hope this report has given you a little insight into the world of passive programs.
There are really a lot of people quietly earning great incomes by investing in these
types of programs. Start small, diversify, reinvest, have patience, and you will see
you will be earning a great income also.
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