The need to diversify revenue streams has never been more paramount. 2020 has been a year where businesses either sink or swim, with successful companies typically being ones with multiple revenue streams. If one stream dries up, your business still has other ways of making money. So, outside of your primary source of revenue, what else can you do to make extra cash?
Partnering with other brands or gaining sponsorship is a great way to secure some extra income. In essence, another company pays to sponsor you in exchange for some regular advertising. It can be hard for businesses to find sponsorships, but the key is to align with brands that make sense. For example, let’s say you run a restaurant business. You could get sponsored by a condiment brand, only using their products at your restaurant. It’s exposure for them, money for you; everyone’s a winner.
As a business, you come into contact with many different suppliers. Therefore, you have a chance to make additional money without really doing anything. Many suppliers offer referral programs where you get paid for referring their services to others. The precise method of payment depends on the program, as do the qualifications to get paid. You can see things like the CalTech Web referral program will pay you a set fee for every successful referral you make. Here, ‘successful’ is defined as someone else signing up for the service after your referral. Programs like this are an excellent source of added income as you earn money for suggesting services to different companies/people. If you’re happy with the service a supplier offers, it makes sense to refer them!
Creating content is a fine way to open up a new revenue stream. Nowadays, content can be monetized in many different ways. Traditionally, advertising is the best and most effective way to be paid for making content. You create blog posts but have ad space on the pages for other businesses to bid on. You don’t have to do anything in these situations other than creating content and getting your page set up for ads. Another idea is to make a YouTube channel and monetize your content with ads through that platform. Either way, it gives you a chance to make some extra money alongside your other streams of revenue.
You have a main service/product, but that doesn’t mean you can’t introduce supplementary ones alongside it. Gyms and fitness centers are the best examples I can think of. Their key service is selling memberships to people, but they may also stock protein bars, drinks, etc. They sell these extra products to get some extra money alongside the memberships. You can take this approach and apply it to your business; what can you introduce to go alongside your main service that people might be interested in? It has to supplement the service/product; it can’t be something completely unrelated!
Open up as many revenue streams as you see fit – there’s no such thing as having too many! It protects your business by ensuring you have multiple ways of earning money. If your main products aren’t selling, you can call upon other streams to keep you afloat until the primary source opens up again.