With linear income you work and get paid once for what you do. With nonlinear income you work once and get paid over and over and over again for what you did.
With linear income if you stop working you stop getting paid. With nonlinear income the work you do today continues to pay you long into the future, whether or not you do more work.
Allow me to share a short personal example. I'm an author of some 15 books. When I first wrote the books I got a small check for my time and effort in writing. However, twice a year I am paid a royalty on these books, from two different publishers. The royalty is a percentage of the sales price for every single book they sell.
This money just keeps coming in, regular as clock work, and it will continue for the rest of my life whether or not I ever write another book! This is nonlinear or residual income. This is leverage.
You see, with nonlinear income, as you continue to grow, the money you make this month is added to the money you made last month, and next month's money will be added to this month's and last month's income.
So over time you can have a stream of income that equals your monthly expenses. When your monthly expenses are covered by your passive, nonlinear income streams you are financially free!
This is the definition of financial freedom created by T. Harv Eker in his Millionaire Mind Workshop: "Financial freedom is being able to live the lifestyle you desire without having to work for it or rely on anyone else." Passive, nonlinear, residual income is what makes this possible.
So what does this have to do with leverage?
There are several types of leverage, all of which can help you set up multiple streams of non-linear money and earn income from your computer:
1. Money Leverage involves investing money in such things the stock market, or real estate, or starting a home business. You're leveraging smaller amounts of money to make much more than your initial investment.
2. Information Leverage is when you plug into training programs or attend seminars or read articles and books others have written. You're using their creativity, ideas, opinions, and information to spark your own and possibly produce you own information which will pay you over time.
3. Time Leverage happens when you find ways to get more done in less time. For example, let's say you're in network marketing and you have a downline that needs training. You find an online training program that you can plug them into so you don't have to train each one individually yourself.
4. People Leverage is also best illustrated by network marketing where you sponsor someone into your business and they sponsor others. You make money off of their efforts.
5. Technology Leverage is using all forms of technology to get your message out to masses of people. Obviously the leading edge of technology leverage today is the Internet.
For example, you can produce an eBook, film yourself making a presentation, record a live conference call or teleseminar, and write an article and post it on the Internet. For years to come this will potentially reach hundreds of thousands of people all over the world, without you have to leave your home.
Archimedes, the famous philosopher, inventor, and mathematician from ancient Greece once said: "Give me lever long enough and a fulcrum on which to place it and I shall move the world."
Archimedes' statement has come to be what we mean by leverage. When you have the right lever and fulcrum, the sky is the limit on what you can achieve. You can get more done, in less time with, with less money!
Leverage is one of the most important things needed for a successful home business. True financial wealth is created through leverage. In fact, with leverage, you can earn income from your computer; and you'll find that making non-linear income from your computer is actually easier than working for your money.
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