This is an edited and anonymous email from A. who reached out to me asking for advice on recurring revenue. It’s a very common question that I’m asked a lot, so I figured I’d publish the question and answer.
Mike, I understand that in this day and age, online offers a much better chance for building a solid residual/recurring income and that’s where I need to be.
So, no costs for any software or additional things to build a funnel biz? Do you have a team I can utilize to build these, once a deal is paid for or do I need to learn all that it takes to build them?
Here’s a deep question and sorry to take up your time, but I’m truly wanting to know about real recurring income, that can get me to middle 5 figure monthly pay, by 2025. Doing $10k each month, then adding another $10k per month each year, would be $50k awesome dollars a month! Is that realistic or far fetched?
Can a funnel be built, where it can incubate leads for companies, who in turn pay much higher for a lead, over what google charges for a AdWords click? Example, don’t most lawyer/attorney types pay over $150 plus for a single google click, here in the big cities, based in the US? Or, would it be better for each lawyer to pay for a funnel creation? I’m thinking Home Advisor also, where most contractors pay for a lead ($20-$60) but it’s also paid by 2-3 others for that same lead. Would a US based funnel work for all roofing leads, for all roofing contractors, in all states, where the lead can be sold exclusive to them?
Thanks so much Mike and sorry for going off, as my mind was racing, as I typed!
A.
A. Your questions and concerns are valid. Thanks for sharing a little about yourself, I certainly feel I understand your situation a lot better.
$10K per month isn’t crazy at all, neither is $50K per month. The key, and the absolutely fundamental fact that gets you there, is commitment. Which might sound obvious, but I know of too many people who get into the funnel business thinking that it’s going to be a quick win.
All businesses take time to build, and funnels aren’t any faster or easier to deliver recurring revenue. Commitment doesn’t just mean to the business, it means to your market, niche, product and sales approach.
You mentioned that you take the pressure off your wife, which is commendable. And that you have medical bills. I do know people that have created multiple recurring revenue businesses with funnels and who have very high outgoings.
The reason they are able to make it to that level, is because they stuck with it and committed to their product. You have to have an idea that you’re willing to stick to BEYOND the potential of a 6 figure income. Does that make sense?
Funnels have the real ability to change lives and make people’s lives better. When we can help a business sell to customers or attract more leads, we help that business, that business’s customers and those customer’s families. I truly believe we affect people that far down.
The problem is that we too often look for what appears to be “easy money” or an easy sale. Everyone in their funnel/marketing career goes after lawyers, accountants, dentists and charities. Because they think that those industries want help – they don’t. They DO want more leads and sales, but they all hate spending money. I’ve never met a lawyer that’s keen to invest in marketing.
Instead, take a look at a much MUCH bigger picture. What kinds of businesses do you like to work with now? What kinds of products do you buy? Who are you a customer of? Bizarrely, that’s a better indicator of who you should go after.
So to answer your question about lawyers and leads – the short answer is yes, I do think that there is a market for that. However, my experience has shown that unless you have a LOT of money to invest in structures that provide those services in the way that lawyers like, you won’t make any money. I’ve seen a lot of people try and fail. I’d be delighted to be proved wrong (:
The strength of a recurring revenue, funnel based business (selling marketing funnels to a certain customer that pays you every month) is not JUST in lead generation. In fact, I believe lead generation is quite low on the list of priorities. Generating recurring revenue coincidentally, is #1. You mentioned yourself that it’s a goal for you, and the fastest way to get ANYTHING is to show other people how to get it. If you can show people how to generate recurring revenue, you’ll generate recurring revenue.
My question to you, is who do you buy from now or are interested in, that could use recurring revenue? That’s a good place to start.
Mike.
