Do you want to earn by not putting in the regular or active effort? Sounds impossible, but it is possible through passive income businesses and there are many such ideas for you. Before going into the list of profitable passive income business ideas, let us have a look at the meaning of passive income.
What is Passive Income?
Passive income is that kind of income which is can be earned without doing active work on it. You have to put in little effort and good planning to get passive income.
Passive income business ideas can give you a comfortable income and you can get it regularly without spending much time on it.
Planning is very important in the case of passive income business ideas. You have to plan and find out your resources or skills to gain maximum passive income.
There is no upper or lower limit to your passive income. With the right business idea, you can earn a comfortable income and enjoy your time doing what you like.
25 Passive Income Business Ideas
Dropshipping can be a good option as a passive income business idea. All it needs is your choice of products and an account with the Dropshipping platform. Choose a product that sells well and get your commission for each sale. You will also need to partner with a company that will ship the products to buyers.
2. Stock Investment
Stock investment is a profitable source of passive income. If you know the stock market and its graph, this passive income business idea is ideal for you. Investing in the right stock and selling the stocks at the opportune time will give you very good returns.
3. Mutual Funds
Investing in mutual funds is also a profitable option. You need insight into mutual funds and should be able to calculate your risk. However, this passive income business idea will start giving you steady returns on your investment.
4. Peer-to-Peer Lending
Peer-to-peer lending is a common concept now and a good source of passive income. People who are not eligible for loans from banks or financial institutions try for P2P loans. You can lend money and get high interest under this passive income business idea. However, check the credentials of the lender before lending money.
5. App Development
App development is a skill-based passive income business idea. If you have the skills of app development, you can create a mobile app containing public service or games, etc. Once it becomes public and people start using your app by downloading it, you will get regular income from that.
6. Start a Blog
Writing or creating a blog is a good passive income business idea. You have to register a domain name and set up hosting. If your content is engaging, it will pay a substantial amount of passive income to you in the long run.
7. Create a YouTube Channel
Start your YouTube channel and choose topics that attract viewers’ interest. For example, DIY projects, cooking lessons, travel guides, etc are popular on YouTube channels. You have to upload your content in regular intervals and start getting income with an increasing number of viewers. This passive income business idea is quite popular.
8. Selling Online Courses
If you have technical or academic excellence you can create a professional course and sell it on online platforms. The more interested candidates enroll in your course, the more will be your income. This is a very popular and profitable passive income business idea. You have to update the course from time to time.
9. Affiliate Marketing
You can start affiliate marketing and get passive income. By advertising other products through your website, you can earn a commission at each click on the advertisers’ link. This is a good passive income business idea and will give you a comfortable income.
If you have an empty apartment or rooms in your house you can rent them out to Airbnb and get a comfortable regular income. Since the concept of Airbnb has gained immense popularity among travelers this passive income business idea is a lucrative one for you.
11. Real Estate Investment
The price of real estate appreciates almost every time and everywhere. If you have funds you can invest in real estate and sell them when the price appreciates. This is a profitable passive income business idea. You can also develop real estate and get higher prices.
12. Renting Property
If you have a property like an apartment or a bungalow, you can get a regular and high income by renting the property. This is a sustainable passive income business idea as the rent increases with time. Renting bungalows for hotels or offices will give you a higher income.
13. Putting Ad on Vehicle
If you have a car or a two-wheeler, you can get good passive income by allowing advertisers to put ads on your car or two-wheeler. This is a profitable passive income business idea, where you don’t have to do anything other than let the advertisers or agencies know that you are interested to put ads on your vehicle.
14. Renting Car
Rent your car to travel agencies or app cab companies for a comfortable passive income. This is a hassle-free passive income business idea where you don’t have to pay for fuels and maintenance of the car in most cases but get a comfortable amount as rent.
15. Selling Stock Photos
Are you a passionate photographer with a huge stock of photos? Don’t let them remain idle in your camera or laptop. Instead sell them to various clients, news, or ad agencies. This passive income business idea only needs your time to advertise and publicize your stock. You can also have your website for selling online.
16. REIT (Real Estate Investment Trust)
Investing in REIT (Real Estate Investment Trust) is a profitable passive income business idea. REITs are companies that own and manage real estate and you can invest in them by buying stocks just like the stock market. They pay annual dividends and it gets higher with time becoming a good source of your passive income.
17. E-book Publishing
If you have writing skills and engaging ideas, e-book publishing will be a profitable passive income business idea for you. Find out popular niches and write about them. You will get a good income regularly as the number of readers increases.
18. Storage Space Renting
If you have spaces that can be used as storage space, you can rent them out and get a good income. It can be an empty room, lockers, or cabinets. There is a demand for storage spaces. You have to advertise that you have storage space and want to give them for rent. This is a good passive income business idea ensuring a regular income.
19. Vending Machine
Vending machines are a profitable passive income business idea. Put your vending machine in busy areas like malls or supermarkets and sell stuff that is in demand. You will get a comfortable income regularly and there is no need for your active participation, except for collecting the money and filling the vending machine again.
20. Network Marketing
Network marketing gives you a good amount of passive income. Many companies like Avon, and Amway sell their products through network marketing. If you can select a team of sellers, you can get a commission from each sale. As your team becomes bigger, this can be a sustainable passive income business idea.
21. Cashback Reward Cards
Pay your utility bills and buy provisions through cards that give you cash back rewards and earn regular passive income from them. The more you use the cards, the more is your cashback. Choosing the right card that gives cash back rewards is the only thing you have to do in this passive income business idea.
22. Coin Operated Car Wash
Open a coin-operated car washing center and earn hassle-free passive income. This service is automated and a strategic location of your car wash center will give you high profits. You have to invest in the set-up for this passive income business idea, but your returns will be high.
23. Renting Farmland
Do you have farmland and are not keen on farming? Rent your farmland and earn regular and high passive income. As farmlands have a good demand, this is a lucrative passive income business idea. Your rent will be higher if the location of the farmland is close to the market.
24. Student Income-Share Agreements
Student Income Share Agreements (ISA) are profitable sources of passive income for you. In this passive income business idea, you will enter into an agreement with a student wherein you will pay for the cost of studies in lieu of your share of the future income of the student. This is a popular passive income idea.
25. High Yielding Savings Account/Crypto Savings Account
Investing in a high-yielding savings account of a bank is a safe and easy passive income business idea ensuring you a fixed return. You can also open a cryptocurrency account and get higher returns with the right calculations.
Passive income business ideas can provide you with a substantial source of income and generate a sense of fulfillment and confidence in you.
About the Author: 99businessideas.com led by Rupak Chakrabarty is committed to helping beginners, entrepreneurs, and small business owners in starting, managing, and growing their business. Our aim is to educate the entrepreneur on the various stages of entrepreneurship.