It’s important to focus on passive, non-linear income vs. active, linear income. Let’s briefly look at the difference.

Active, linear income requires your involvement in producing the money either by some kind of work you do, a service you provide, or maybe something you sell or distribute.

You do the work, provide the service, or sell the product and you are then paid whatever was the agreed on fee. If you stop working, providing the service or selling the product the income stops as well.

With passive, non-linear income you work once and are then paid over and over again. A great example of this is Elton John. He composes a song, sells it to a CD label company where he gets paid for his work. But that’s not where he makes his money.

Every time the CD is sold he gets a royalty (a percentage of the sale). Every time his song is played on the radio or TV he gets a small payment. And the best part it that this will continue for the rest of his life, even if he should decide to never compose and record another song!

Network marketing is another good example of non-linear income. Let’s say you’ve joined a company that sells health and wellness products. You recruit just 5 people to be part of your team. You are paid a commission for recruiting and training them.

But that’s not where the real money is made. The passive, non-linear income happens when each of the 5 you recruited also recruits 5 to be on their respective teams. You receive another commission now for the 25 people that your team recruited.

Now just think about what happens when those 25 also recruit 5 to be on their team. Now you’re getting commissioned on the work of 125 people, AND it just keeps on compounding from there!

I think you probably see the power of this. Your income is growing exponentially even if you’re vacationing in the Bahamas.
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