So let's look at some traditional residual income models. traditional models that models tend to be property stocks and shares or traditional media, books, CDs, DVDs. So in the past, if you could get your book printed and start at the bottom, you get your book printed, and get it into the shops and sell enough of them. you produce one item, maybe spent six months to a year to create that book. But then you sold that book forever and ever and ever. And you've got a percentage of profit from that forever to do the work once and you continue to get paid.

Then you have to nurture it by doing promotions going to events and things like that. But the book was there CDs DVDs are the same CDs. Think of Paul McCartney and the Beatles. He never has to work again because every time his music is played officially on a radio, internet radio, or someone buys a CD or downloads, he gets a percentage The Beatles get a percentage of that sale. DVDs The same thing about the movie industry. They create a movie for lots of money.

So might spend hundred and 50 million pound producing and then they make that back at the box office. And if they well they make the profit in a box office and recoup their money and made a profit. Now what they do now they release it as a DVD to pie now, now they might make two pounds on a DVD when they get their final cut. So they sell all the DVDs wants to DVDs have been sold. They'll often move into rental now they might rent if saying UK three pound 50 or rental they might be making maybe 50 p 75. p i don't know the figures. I'm not in the industry of each rental.

But then it doesn't stop there. Because when the rental period is dried out, they release it to the TV channels or the streaming companies and now they get a much smaller revenue every time that's watched. So that one product constantly earns them money they make it once and sell it on an on again and again against when people look and say costs hundred and 50 million They don't realize this, this is a purely residual income based business. And if they get the product, right, they're gonna earn a lot more money than they actually spend on it. stocks and shares, you know stocks or shares, I'm not talking about the crazy stuff, but investing in stocks and shares can give you a form of residual income This is the most risky of all the traditional models, property, anyone will tell you in history property, you know, even when the market dips you hold on to your property eventually or pick up property is one of the most secure things you can invest in, you know, and especially if the property is sound, the property is in well, Bill areas is not open to natural sort of damage and risk, then very, very good way to create residual income.

But there's a problem. The weakness of this model is you have to exchange money for money so you have to have money to make money. Now, most people are Want to start residual income business don't have money. So you need excess income to generate residual income. And we're going to show you how we have online marketing. In the next lecture, how we online marketing, you just need time for money.

So this is the weakness of a traditional residual income model is the weakness in the fact of it. It's not a weakness in itself. But it might be a weakness as a model for you because you don't have money. But traditional models are something we want to diversify to when we've earned enough online residual income. And when we go through the five year $6 million plan, we'll show you how using online residual income to develop offline residual income and the traditional model can create a six, seven figure bank account in five years. So as we consider traditional residual income models, we want to keep in the back of our mind, but there's still viable.

And if we can create enough money with our online residual income, we can now start investing in them as well because we don't want to have any one source of residual income. We want to create multiple streams.