Profitable Passive Income Small Business Ideas For Newbies

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Passive income is a way of earning money without having to put so much effort in it. As a matter of fact, with passive income, you are still earning even as you sleep, sit down or relax. For many, passive income is a way to slowly get out of that time-bound 9 to 5 job that drains them physically, emotionally, and psychologically. If you think that passive income is scary and daunting, the truth is that it isn’t. For as long as you put in your hard work and get your A-game on, you will slowly reap the benefits of all your efforts. For starters, here’s a list of profitable passive income small business ideas, as emphasized in this passive income summary blog, that you can get into:

1. Sell products online

Do you have things that are lurking around your house that you’re no longer using? Or do you have a hobby that you would like to pursue? For example, if you love selling clothes, then you can utilize online selling websites such as Amazon to sell your pieces of clothing. E-commerce is becoming very popular today, and for good reason. The advantage of signing up to this marketplace, for example, is that you don’t have to facilitate every sale that goes on in your account. Amazon does all the work for you in the order process, and all you really have to do from that point on is to wait for the profits to be sent to your account.

2. Invest in real estate stocks

Gone are the days when it was commonly thought of that for you to be able to invest in real estate, you would need to have millions. No, there are now numerous ways for you to earn an income even without a fat bank account. There have been successful real estate investors who also started with only a couple hundred dollars, going as low as seven hundred dollars. How? Through real estate stocks.

When you invest in real estate stocks, it is pretty much like investing in the stock market, except you are focused on a particular shared real estate. This can either be a residential property, commercial property, condominium, apartment complex, and the like. The growth potential of investing in real estate stocks is dependent on external market factors particularly affecting the real estate industry.

3. Lend money through peer-to-peer lending

As a newbie who is only starting to open a small business, lending money may seem like it is out of your options because you will need so much capital for it. However, this isn’t true anymore. Many websites on the Internet allow you to go for peer-to-peer lending, offering amounts even as low as a hundred dollars. With this small amount, you can start earning an interest, just like how credit unions do. Albeit small, if you can manage this well, then it is an excellent opportunity for financial and business growth.

4. Have your extra space rented out

Do you have a garden shed that you can convert into a beautiful tiny guest house? Or perhaps there are rooms in your home that are empty that you can have rented out? With this option, you don’t have to spend so much money for you to get started. As you register for home and room rental apps, such as Airbnb, you are allowing yourself to earn an inflow of income for the room that used to be stagnant, simply collecting dust.

There have been many success stories of individuals who also chose to go the passive income-earning route, and went all out with having their extra space rented out. Some of them were earning well enough that they were already able to leave their day jobs, and do even more passive income earning opportunities!

5. Write an e-book

Are you fond of writing? Or is this something that you’re an expert on? If this is the case, then this section is the perfect passive income opportunity for you. Because you love writing, doing so isn’t a chore for you anymore. You can make a business out of the e-books that you have written by earning a royalty for each book that is published. The more books that you write, the higher the chances of you earning more. The great thing about this, too, is that you can write your books during your free time, which makes you so much more productive as well.

6. Sell your photos

Do you have an eye for excellent photos? Even if you aren’t a professional photographer, there are many opportunities for you to earn an income out of selling your photos online. Whether these are travel photos, clip arts, or whatever it is you love taking pictures of, why not share them to the whole world through cyberspace and earn an income while doing so? When you sell your photos on websites such as Shutterstock, you are paid a fee, or royalty, for each time that your photo is downloaded or used.

7. Sign up for affiliate marketing

If writing is not your piece of cake, another alternative that you can do is to sign up for affiliate marketing. What is this exactly? Affiliate marketing refers to the act of promoting products and services that you are sent, featuring these on your channel or your Vlog, and even on your website. You earn an income for every product that you feature, and you are also sometimes paid a commission each time the company makes more significant sales because of how you have successfully marketed the product on your site.

8. Create a website

Other than writing to publish an e-book, if this is not your forte, then you can write shorter blogs on a website instead. Starting a website isn’t as costly as you would think it is, and there are many sites on the Internet that can help you make one. How do you earn from websites? The more famous you are, because of the high traffic on your site, the more money you are paid from the ads that are posted on your website. Even on days when you have no blog post, you can still earn a steady income growth through these ads.

Other ways for you to earn passive income through a website are the following:

  • Using your website to sell goods, products, and services
  • Using your website for digital course classes that you are teaching

9. Create & Sell Online Courses

The last profitable way in our passive income ideas listing is earning money from creating & sell online courses, which considered to be one of the best ideas for making money online.

But, earning money from this way needs you to be aware of how to create effective, informative, and comprehensive online courses that matter all learners from all over the world.

First off. you should ask yourself some important questions, which finally will help you know how to start your business and how to reach your business goals. These questions should start from: “Do I have something to teach?.”

Hence, we should confirm that you have to own something that customers need and can teach them a new value in any industry. Something can change their lives, teach them how to do things, enables them to earn money, and enhance their skills.

After that, you should generate a great suite of ideas for your online courses, as well as finding great sources for your ideas, and topics, in order to save your business position amongst audience and competitors. On this front, there are several sources can help you generate successful ideas for your online courses, such as:

  • Review what’s already earning in revenue
  • Survey and study Your customers
  • Discover The Gap In The Market

Finally, you have to find must-need production supplies, which enable you to produce your online after putting the content plan. Then you should know how to sell these online courses by running digital marketing campaigns after setting the target audience.

For all details about creating & sell online courses step by step, you can visit the Podia official site.


Choosing the right passive income opportunity is very important as you have to love what you do. If you don’t, then you will only feel burdened by it no matter how attractive the earning opportunity may be. With this list, you can narrow down your options to ideas that best suit your needs, lifestyle, and preferences. You are now one step closer towards becoming a passive income earner.

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