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  • Being Greedy Or Being Patient? One time Vs Recurring Income

    Posted on April 25th, 2008 Jason 14 comments

    The above question is one of the biggest questions that most entrepreneurs making money online face – especially with affiliate marketing.

    Do you go for the big money instantly or wait a little longer and receive far less, but recurring profits?

    I’ll have to admit – I’ve been greedy in the past. For example, when I used to do eBooks I’ve at times sold eBooks that were making $50 a day for less than half a month’s revenue… I also sold a product that had generated around $2,550 in one month for a mere $1,500. Why? Because I didn’t know any better, and I was greedy too. This is a habit of quite a few webmasters too – they tend to go for the big lump sum rather than waiting to see what will happen.

    Personally, I promised myself I would be patient soon after the offer for this blog – I thought that why sell for $6,000 when in a couple of months this could be worth ten (and yes, it is reaching there slowly) and I am happy with that decision having waited, even though I would have been a few thousand richer. Despite the best attempts of Hostican (read my Hostican Review) this blog continues to grow and I’m now seeing a recurring income in terms of ad sales, affiliate sales and private reviews, not to mention indirect financial benefits like networking with top names in the industry and a brand name that people are slowly getting to know more about.

    I’m looking more and more into recurring income, although depending on the work involved I will still go for the big money depending on how it seems – I’ll take hosting as an example.

    When deciding about hosting you can go with two ways; the first being the one off commission that most companies give you (in Hostgator’s case, it is $50/$100), the second being getting your own reseller hosting (which I can handle) and offering people hosting services at $10/month.

    In this example, I’ll always go for the high commission, simply because it is easier – it would take ten months for me to make the $100 otherwise, and even though I could potentially make much more I would have to provide support – something I don’t really feel up to at only $10/month, especially in an area where I’m a bit of a clueless nut. On the other hand, If the hosting commission gave you less (like my VPS hosting, which pays $27 I believe) and I could earn more by hosting people myself, I would consider it – especially as I have a bit of free space at the moment. :)

    How about you – do you go for the smaller, but recurring money or the one time lump sum? I’d be interested in hearing thoughts and opinions :)

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    14 responses to “Being Greedy Or Being Patient? One time Vs Recurring Income” RSS icon

    • Sometimes a little patience will reap you a big reward.

      I am still new at this. I have a few ebooks to sell but I am unsure how to automate the process. Any suggestions?

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    • Recurring is my favorite. I look for stability. One lump sum is fine every once in a while, but doing something that will send you recurring money is the best.

      Sammy Ashouri’s last blog post..My New Hate: Complex Captchas

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    • I go for the quick lump sum because I can invest that in other things and make more than the steady income anyway.

      [Reply]

    • @ NJC, eBooks are easy if you know what you are doing – I will write a post up on that in the next few days.

      @ Sammy, fair enough. I get all excited when the lump sum comes in but you probably make more on recurring commissions :)

      @ Pure Caffeine, I like your thinking :D

      [Reply]

    • I think we should give first and get second.

      Chiong’s last blog post..About Those Trucks In the Square Ahead Carrefour

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    • Just to let you know, there was some discussion on one of your sites today. The one I told you to buy a while ago was snatched up by someone whom you probably wish never got it so you’d be the owner ;) .

      Sammy Ashouri’s last blog post..My New Hate: Complex Captchas

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    • I sell up far too quickly, I’m like you, greedy :P
      Mind you, not much of my stuff gets any good, so meh :P

      George’s last blog post..AVG 8.0

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    • @ Sammy, I have no idea what you just said… hit me up on MSN :)

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    • Decision what to do, if or when to sell, it’s up to you. Whatever you’ll do I’ll say, that’s the right decision.

      Aleks’s last blog post..Joke – Accident

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    • Well, I new at this, so I haven’t found what I go for.:p

      Nathaniel’s last blog post..Looking Into Something New

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    • It depends, if im earning $10 a month for a product, and im offerened $100 for someone else to sell it then i would probably take it. However if im earning $10 a month and i believe i can increase the income from that product to say $20 a month within 3-4 months i would wait until i got the increase then sell it.

      Its all about the potential in the product and if your getting the most from it or if you can do within an acceptable time frame.

      tony’s last blog post..Chelsea catch up in title race

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    • Awws Jason! I’m so glad you’re back in the biz. This isn’t about your post but I’m just saying that I’m ecstatic that TUK.com is back, I’ve tried entering the URL countless times, click the link from Google and whatnot for days and have nearly given up.
      Just finished the post about HostICan and your experience has saved me from mine (not saying that it was fortunate that I learnt this way!)! Thank you and all the best!

      Desirée Ha’s last blog post..Color Your Legs Hot

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    • Its a hard choice sometimes especially when starting out on which way to take the plunge. For now Im going with CPM and PPC. Commision based just isnt the way to go imop untill you have a good cut of percentage.

      Big Ben Patton’s last blog post..EcoInsomniac.Com: Norway Using Green Living To Rehabilitate Prisoners.

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    • You should really try to get a better understanding of the recurring process before jumping to either side. In adult, many people will cancel after 1 month, but when someone stays, it is usually for a very long time. That being said, you have to look at the quality of the content being provided. If the company updates their website frequently and provides value, recurring is a no brainer. There is so much more money to be made. If the site provides crappy content or just plain and simply not a lot of content, take the lump sum!

      [Reply]

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