Multiple income streams
An income stream is a fanciful term to describe a source of income. This post examines the value of creating more than one source of income as opposed to relying on just one source.
First, a cliché, placing all your eggs in one basket…
This analogy, that if you drop your basket (lose a sole source of income), then all your fragile eggs are likely to be broken due to this single action.
Counter this with a basket that contain an egg and a piece of cheese. Drop this basket and you may lose your egg, but you can still benefit from the cheese.
The current rapid and discriminatory lock-down that has forced the closure of leisure, retail and many other firms, has basically placed their owners in the position of the egg basket handler, staring in dismay at the shattered remains of their ability to sustain themselves.
Whilst the distress and uncertainty that this process has created cannot, and should not be underestimated, perhaps it does open up space to consider future options including the possibility of creating more than one income stream.
Consider Joe, a driving instructor until social distancing left him without a business, who now drives local deliveries for a supermarket chain and fully intends to continue this post COVID-19. He plans to reopen his driving instructor business evenings and weekends and has already started selling craft products on the internet.
Instead of eggs in his basket, he now has eggs, cheese and bacon…