Right Out of High School: Five Jobs That Don’t Require a Degree

Job markets are always changing. There are many professions that don’t require candidates to have a college degree. Experience is the foundation of most careers. There are opportunities for high school graduates no matter how recent they left high school. Here are five jobs that do not require the individual to have more than a high school diploma or a

G.E.D.Computer Systems Analyst

The job of a computer systems analyst is to simply look after and analyze computer systems of companies. IT support and troubleshooting are a part of the profession. The ob involves creating templates from scratch, contract or service billing and other tasks that only require some training or volunteer experience. Computer systems analysts can work for various organizations. The average salary for this job is about $84,000.

Insurance Agent

Insurance agents organize appointments with clients to collect the information needed to assist them in making goals, investments or to extend insurance coverage. This position does not require a degree. The tasks related to the job are learned through trial and error. Insurance agents can work in any field as an advisor and there are opportunities to move up in salary. The median salary for this position is from $36,000 to $103,000.

Online Advertising Manager

Online Advertising Managers specialize in creating and pushing advertising campaigns. The desired result of an online advertising manager’s job is an increase in consumers for the company’s product or service. Anyone can have this job without a college degree. Creativity and some computer knowledge are the only real requirements for the job. Online advertising managers can start as regular advertising consultants before reaching the managerial position. The average salary is between $67,191 and $99,863.

Wholesales Sales Representative

Wholesale companies need sales representatives just as much as any other business or start-up. Wholesale sales reps are responsible for navigating computer systems and maintaining customer focus for products and services. Wholesales sales representatives have a large selection of wholesale distribution centers they can work for. The median salary for this position is $56,620.

Real Estate Agent

The real estate agent is another position that does not require a college degree. Agents give clients financial information and other data about the property. They give tours on many homes up for sale, and they help individuals decide what is the best property to buy. The average salary for real estate agents is $39,070.

It is possible to have a start in many careers without a degree. Individuals who are straight from high school can be ahead of college students who think they have to earn a degree before even applying for certain jobs.


Top 10 Passive Income Strategies for 2020

So 2019, was a great year in the stock market and investment realm world of creating dividend income through stocks, but 2020 can be hit by the market uncertainty bug once again.  What do I mean, to start off the year major stock market was down anywhere from 5-10% because the Federal Reserve was discussing raising interest rates, which in turn made everyone extremely skeptical of investing any more money in stocks, and actually selling off a large portion.

So how do you handle the uncertainty of 2020?  Do you continue to invest, do you yank your money out hastily and make a poor business decision?  Read on to find out how I handle an uncertain market.

1. Stock Market / Dividend Income

So if the stock market is scaring you, do your research.  In 2020, there have been no signals which would identify 2020 as being another recession for the U.S.  You’re wondering why everyone jumped ship, however?  Uneducated investors get extremely nervous when stocks fall 3-5% and if it were showing the same signs as the recession, I probably would pull my money as well, but this year was different.  The recession was focused on poor banking loans, and that was a major focus, because of defaults and foreclosures, but 2020 has shown no signs of this.

So what should be your first goal?  If you are new to the stock market, look for big-name stocks, who may be down on their luck because of uncertainty in the overall market, not just the company itself.  Identify, who is your best investment, dividend wise, and a company that you know can bounce back.  During the lowest point of the market, I invested in IBM and Proctor and Gamble.  Why you ask, both are long term companies, who innovate and also have the cash flow to sustain long term growth.  Yes, they may not have huge dividend returns, but they are consistent and have been for years.  And since the downswing, my investments in less than 3 months, have jumped to a positive 10% swing.

So even there is a downturn in a market, look at investing in dividend stocks, even if they are not huge dividend providers, knowing you will have consistent passive income for 2020 is your main goal.

2. Selling Your Stock Photographs for Cash

Photography is an extremely hard business to break into, however, there are opportunities to take something you enjoy and do as a hobby and make it a passive income stream.  There are websites now who allow you to sell the rights to your photographs and earn cash.  Albeit this is not a 100% to form of passive income, because you do have to do work on taking more photographs and updating your portfolio, however, if you ever achieve a large selection of high-quality pictures, you should be able to sit back and watch money roll in, which in turn, should earn you passive income.

If you are interested in selling photographs for passive income, check out iStockPhoto or Fotolia.  Do your research on the companies and find out which one works best for you, and also look around, there are other companies as well.

3. Create an E-Book

This may sound like an extremely difficult thing to achieve, but self-publishing an e-book really isn’t that bad.  You will first need to create your content, find something you are passionate about, write about it, edit it, write some more.  But remember, quality is your best seller, don’t sell something you are not proud of and that doesn’t actually help anyone.  If you create a low-quality product then you will, in turn, receive low-quality sales.

So now once you have created your content, create a cover for it.  If you cannot create a catchy cover, find a designer to create one for you.  Try Fiverr and you should be able to find someone to design a cover at a great price and also be able to give you a high-quality product.

So now you have content and you have a cover, it’s time to sell.  My first self-publishing go to, would be Amazon’s Kindle Direct Publishing.  You will need to upload your e-book, get granted approval, and then sell the living covers off of it.  But don’t expect to be Stephen King in a night.  You need to develop marketing strategies and ways to let people know your book is available and why they should read it.  Tell your friends and family and have them help you too.

4.  Rental Income

I still believe rental income will help you achieve financial success quicker if you make quality investment decisions. Using and locating a realtor who specializes in rental properties and can give you quality, sound advice. I would insist on this especially if you have not been in the market and are not super comfortable with all the numbers and market values.  Some of the wealthiest people in America such as Donald Trump have invested in real estate and become successful in doing it.

5.  Affiliate Income

While the beginning points of affiliate income is not passive, because you need to generate the traffic to your links, adding an affiliate link to your website can be highly lucrative.  You cannot count how many companies offer affiliate marketing, some of the big names like Commission Junction, have large brand name companies and offer multiple products.  You can also earn from places like Amazon, and also offering digital products from places like Clickbank.

But remember, just because you add a link or banner to your website, does not mean you are an affiliate marketer, the second word of the phrase is a marketer.  You have to sell yourself, you have to be an expert on what you are selling.  You also need to believe in what you are selling, don’t sell crap, or a scheme, sell real products that solve a real problem for you as well as your customers.

6. Peer 2 Peer Lending

This is a newer concept.  This is an idea, you will be providing a loan, just like a bank, to a customer and they repay you with interest payments to get a return on your investment.  But remember with loans, there is always a risk.  Start with Prosper and LendingClub and see what they are offering.  You do run the risk someone may default on a loan and you lose all your money.

The majority of experts agree, diversifying over 100 or more loans is a better investment of your money than one large loan.  If one small loan defaults, but 99 others continue to pay interest on their loans, you aren’t losing so much money and risking a huge loss.  Also with P2P lending, you need to research who you are providing a loan to.  Have they looked for another financing, or what type of project are they trying to complete?  Always do your research especially when providing any type of unsecured loan which is what p2p lending is.

7.  Become a Silent Partner

Investing in businesses can be good and bad.  Invest in a great business who has a long-standing good record with great owners can be a blessing, while trying to invest in a poorly managed business can lead to losing your entire investment or worse, going after your other assets.

Becoming a silent partner with a good team can be difficult, however, if you can do your research and find someone who needs money to try and complete a renovation, or build more inventory, you can get into a growing company early and reap the rewards later in life.  The other nice thing?  If you are silent, that means you have no responsibility to take part in the day to day operations.  Hire a CPA and look over their books thoroughly however, so you can make sure everything which is promised is delivered, and nothing is being hidden in the books.

8.  Certificates of Deposit

Why I do not use these as much as some people? Because I prefer to delve in stocks that return a dividend, but CD’s can be a safe and trustworthy spot to stick your money.  There is one strong suggestion that I have with doing a CD’s and that is making sure you have liquid assets handy, in case you have an emergency, or want to make another investment.  Do not, I repeat do not, stick all of your savings in a long term CD, and get caught with your pants down when you have a huge medical bill or home repair.

If I were going to make a large investment in CD’s, I would suggest creating a ladder set up.  Having CDs at the 1, 2, 3 and 5-year maturity marks.  For the shorter time rankings, you will have lower interest rates, but less time that you will not have access to the money.  Your longer-term CD’s should be for a long term investment but higher interest rates, if you reach the 5-year point, and want to reinvest, do it, or you can remove the money and create another investment.  Brick and mortar banks offer CD’s but the trend over the past few years for interest rates has been downhill, however, online-only banks like Ally have become very popular because they can offer higher interest rates because they don’t have a physical location.  So try it out, CD’s are safe and have been around for years and if you can compile a large amount of CD’s, you can create a great passive income for 2020.

9.  Create a Product Idea and License it

Everyone has millions of ideas running through their heads, some better than others.  But everyone is always looking for the next big thing to make money and explode.  Companies think the same way.  They want ideas and products that can create a bang, and create exceptional sales.  Not only that, these big companies are willing to pay big money, and royalties to gain access to these ideas.

So if you have the gusto and the brains to create a quality product or idea, find a company you can pitch it to.  But don’t create and just sit on it and expect it to go somewhere.  Ideas can expire with time, and someone may create a better or the same product you already created and beat you to the market and your time and money spent is all for nothing.

If you’ve ever seen The Shark Tank, the American Dream is to create a product and sell it to an investor and make millions of dollars, whether it be for recurring passive income, or whether it is a huge lump sum payment, but why not try your hand at creating another passive income strategy for 2020.

10.  Create an Ecourse

So you are reading this now, but you have a full-time job doing something else.  But you want to jump into online business but you don’t have anything to sell or feel like you have nothing to offer.  But if you already have a job, what is your expertise?  Are you a real estate agent, are you a seasoned banker, or do you mow lawns for a living?  All of these have the potential to create an e-course to actually teach someone the skill you already have.

Maybe if you mow for a living, you can teach people how to create the perfect lawn with 10 steps, or if you invest in real estate, you can teach people how to invest in real estate.  There are countless ways to teach people how to do something, you can create a website and walk people through words, or you can create videos to create your course.

So now that we have covered the new ideas for 2020 for passive income, start investing, start creating, and build up the passive income so you can sit on a beach and reap the rewards in the future.


Single Day Jobs: Making Money Quick

There will come a time in the life of most people when they need money quickly. You may have a surprisingly high bill or an unexpected car repair. Maybe you simply need money for a gift. Your demand for extra cash need not be dire to be worthwhile. Luckily there are a number of legitimate ways to make money quick. A single day job is a job that you work for just one day. These are often ‘cash for work’ gigs or contractor employment. The pay will vary greatly. In general, the work will pay slightly better than if the employer were to actually hire an employe to do the job. Employees need to be paid no matter the work load while a contractor is only paid when needed. Single-day jobs have their pluses and minuses for everyone.
Contractors do not receive insurance nor do they need a building to stay in. Contractors benefit from flexible schedules and are able to pick the jobs they take on. Many single day jobs are in farming or landscaping and require a strong back and arms. Typical work would include weeding, harvesting and tending food crops or flower beds. Less strenuous jobs are in advertising. Your employer will often pay you to hold a sign or pass out leaflets. You will be on your feet and in the weather so dress properly. Day labor work is often found through local agencies or posted on job boards.

If you have any particular skills you can use them to your advantage. Take an inventory of your hobbies. Many people will need the services of carpenters, photographers, seamstresses and other skilled work that many do for fun. Don’t limit yourself to just skilled work. Fishermen can rent out their boats and knowledge of fishing spots. Animal lovers can pet sit and walk dogs. Musicians can give lessons. These single-day jobs can even offer income on a regular basis. The best way to get into skilled day work is to bring the work to you. Advertise your services locally on job boards, online or even on flyers around your community. Be sure to follow any local laws relating to running a small business while you rake in your new income.

Lastly, you can turn to the internet for single-day jobs. Today there are a number of individuals and companies looking to hire people for very short-term work. Many of these jobs can be found by searching for freelance work. People today use freelancers to do everything from designing websites to ghost writing books. In fact, freelance writing is a very popular way to make extra money in your spare time. To get started writing you need good basic writing skills and the temperament to work on a deadline.

No matter your skill set you can make money quickly. Extra cash is out there waiting to be made by the right person. All it takes is a bit of preparation and your willingness to work.


Higher Management: What Big Business Moves Can Teach You About Running Your Life

There are many of life lessons that can be learned from leaders and those who are in the position to lead and make important decisions. Being informed is one of those lessons to be learned from Higher Management leaders who make the Big Business Moves. The next lesson in life to learn from leadership is preparation. How does Higher Management prepare for each day? Following, studying and explaining the leadership activities and attitudes towards being prepared are at a great way to teach life’s lessons.

What are the types of Big Business Moves? Today, because of all the volatility and instability in the U.S. Dollar, many would agree that the creation and support of the Bitcoin is one of the many Big Business Moves taking place now to deal with survival in an unstable global economy. Whether becoming a user in practice of the Bitcoin will Teach Life’s lessons to the individual is still open to discussion, however, the Bitcoin is taking a stronghold in certain circles in the Big Business community.

Which members of Higher Management would consider the Bitcoin? The sectors of the business world using Bitcoin are those heavily involved in digital business practices. Bitcoin is a digital monetary method of exchange. It has value to movers and shakers in that arena of business. Frankly, those movers and shakers tend to own the lion’s share of any type of monetary value be it dollars, renminbi, francs, yen pounds, or euros.

Business leaders are always on top of all situations that effect their sphere of influence and those of other spheres of influence. They stay informed on all trends and activities of their competitors. However, they do have an acutely developed ability to surround themselves with highly skilled and loyal people who are assigned the job of digging into a particular area of importance. This way they can stay on top of all matters that could emerge. It is a way of being prepared for anything and avoiding being taken by surprise or being blindsided with a devastating event that can take down their business overnight.

Big Business Moves often involve massive investments in novel ideas with a great deal of risk in research and development capital. The main point to teach life’s lessons in this aspect is, if there is nothing ventured, then there is nothing gained. Some would say, ‘no pain, no gain.’ However, risk-taking must be managed with an excellent risk mitigation strategy. Covering as many potential slip-ups, proactively as possible, is essential to survival. This is a matter of hiring great thinkers, experts in related fields, and having an equally excellent contingency plan for potential failures. Many would agree that hiring the best legal staff will also come in very handily. In the world of Big Business Moves, the ground that is unearthed with each innovation is often found, through legal machinations, to be an opportunity for a jealous and calculating competitor to pounce. The best leaders will see this coming in most cases. This goes back to preparation which should teach life lessons, repeatedly.


Passive Income With a Fitness Center

Have you ever had a membership at your local fitness center? I have, and really, the business does not appear to be that complicated. Typically, there is one, maybe two, people working, and most of the time they really aren’t needed! Think about it. When you go to the gym to work out, do you need to go up to an employee and ask a bunch of questions? No, you just walk up to your machine of choice and start your work out! The employee is mainly there to keep things clean, refill towels, and check people in and out.


In my area (where things are cheap), you could purchase a 20,000 square foot factory building for only $250,000. The open layout would be perfect for a fitness center! A few alteration plus the equipment, and you’re probably looking at an initial expense of $350,000.

When you open up your doors to your customers, your expenses will obviously be your employee (you could probably get away with just one employee for a while), but besides that, it’s just a matter of keeping up with the utilities.


I never really thought about it much before, but owning a fitness center would really be a breeze. Once everything is set up and you find your members, all of the income is almost 100% passive. Each month, your customers pay their dues through your automated charge system and as long as they stay happy, the money keeps rolling in! If you were able to acquire 200 members at $30 a month, you’d consistently earn $6,000 a month, just in dues! That’s some pretty solid income – especially since it’s mostly passive.

Return on Investment

As with any business, you want to know how long it’s going to take to recoup your initial investment dollars. Assuming your gym cost $350,000 initially, and it costs $2,500 a month to maintain (employee + utilities), and your income is $7,000 a month (membership dues + product sales), it would take you nearly 6 years to earn back your $350k, and that doesn’t even factor in the interest that you’re paying on your loan! If you have interest payments, your payoff might be 10 years or more!

Since the business is quite passive though, you might not mind carrying your debt load. With a loan payment of $2,000 a month (including insurance and property taxes), you could still have a cash flow of $2,500 after expenses. That’s still not a bad income.

What do you think about this passive income idea? Thumbs up? Or thumbs down?


3 Ways to Earn Passive Income

If you are a hardworking guy/gal with an 8 to 5 job, you currently make a living with “earned income”, which is paid either by the hour or with a yearly salary. If you are suddenly unable to perform at work anymore, you will no longer receive checks and your income will plummet to $0. This is why additional “passive income” is so important! With passive income, you would perform your work with very little or no pay in the beginning, but once your project is complete, the paychecks will continue to come in (sometimes for life!). Every person alive should be looking for these 3 ways to receive passive income.

What are the different ways to create a passive income?

1) Dividends – The idea is quite simple. There are a few hundred (maybe even thousands) companies that pay a quarterly dividend if you become a shareholder. This method is great for a long term focus, but it definitely won’t allow you to quit your job anytime soon (to do this, you will need at least $1 million in the market).

2) Rental Income – This method has been around for quite some time and the general concept is quite simple as well – all you have to do is purchase a property and allow someone to rent it from you. As long as the resident is on your property, you will continue to receive those rent checks month after month.

3) Profits from a Business – This is probably the most lucrative way to make a passive income, and there are countless methods within this category.

  • Website business – The latest craze has been blogging (pretty much what I do here on this site). If you receive a consistent flow of visitors to your pages, advertisers will want to post their business on your site. This provides income month after month. And, once you establish your website with quality content, less and less effort is necessary to continue to receive your income (which is what makes it passive).
  • Network Marketing – I tried my hand at this once and it is actually pretty tough. You must believe in the product you are marketing. If you do not, don’t even try; your clients will sniff out your fake enthusiasm. If you are legitimately excited about the product, then this could be an amazing opportunity. I know quite a few people that make a very good living in this category.
  • Develop an iPhone application – This is a new idea that I’m becoming more interested in every day. If you have an idea and can get an app made for it, there could be an enormous amount of passive income coming your way!
  • Begin a business and franchise the system – Anyone can start a business, but few really know the tools to make one run successfully. If you have this talent, you can make a lot of residual passive income by teaching (or selling) the system to others.
  • For the gifted: Write a song or book – authors and song writers make royalties each time their work is sold. All of the work is done up front, and they reap the benefits for years and years. I think Elvis still makes more money in a month than I’ll most likely see in my lifetime (and he hasn’t been alive in decades)!

Passive income can come from many avenues, but the key is finding what’s right for you. I honestly love writing these posts every day, and I can’t wait for comments from my readers each time I post a new article. I hope to be able to monetize this site enough so that I can spend more time helping others through my writing!

Do you have other ideas for creating a passive income? Share with the rest of us, even if it’s just a slight variation from what was written in this post!


Janitor Turns Millionaire Because of Passive Income

Do you know what the average salary of a janitor is? Approximately $25,000. With a modest living quarters, food, transportation, and clothing, there often is very little left for retirement planning. However, with the right passive income moves, even a janitor can become quite wealthy.

The Story of the Janitor

The news story seemed impossible and had the attention of the entire nation. “Janitor passes away and leaves over a million dollars to charity.” Reporters everywhere asked the same question, “How on earth could a janitor have acquired so much wealth?” Some assumed that he must have had an inheritance. Or, perhaps he was married and his wife earned a hefty income. And, if either of those assumptions were untrue, then he must have earned more money through other work. Janitors don’t just die as millionaires.

The Simple Truth

The janitor absolutely did give over a million dollars to charity, but it wasn’t because of an inheritance, a working wife, or a second career. No, he just lived frugally and invested a small portion of his earnings on a consistent basis. Technically, an investment in the stock market is considered “portfolio income”, but since there is absolutely no effort involved, I unapologetically refer to it as passive income.

How Much Needs to Be Invested to Earn a Million Dollars?

So, how much did this janitor likely invest each month to earn his million dollars? Let’s take a look.

If he began investing at the ripe age of 20, that means he would have had a solid 45 years of investing under his belt before retiring at age 65. So, what if he invested just $100 a month and earned an average of 10% per year? How much would that turn into after 45 years?

By contributing less than 5% of his earnings each year, the janitor would become a millionaire in his 45th year of investing! To be exact, the investment is worth $1,056,982.12!

What If Your Earn More and Contribute More?

What if you are in a position that earns $60,000 each year and you contribute a mere 5% (or $300) of your earnings? How much would you expect to earn over the course of 45 years?

First of all, you would reach the million dollar mark by your 34th year! Then, by year 41, you’d be at $2 million, and by the 45th year, you’d have $3 million saved up in your retirement account! Isn’t that amazing! All from just $300 a month.

I think we all have quite a lot to learn from this janitor. First of all, we could all be a little more frugal, and secondly, we can learn to earn a passive income just by investing consistently in our future!

Do you already invest? Are you earning your passive income?


Money at the Movies: 10 Movies on Finance Worth Watching

Money is a common topic in several famous films and documentaries. Here are 10 movies made about finance, which are actually worth your time to watch.

1. “Trading Places” is a movie about two brothers who run a commodities futures brokerage, who make a bet with each other on whether nature or nurture has more to do with a person’s character. They arrange for a street hustler and one of their executives to change places.

2. When it comes to films about the financial sector, “Wall Street” immediately comes to mind. The movie is about making fast money, through insider trading. The movie explores greed, and brings up several troubling questions about the entire finance industry.

3. The 2008 financial crisis is still fresh in many people’s minds. The movie, “Too big to fail,” explores the bankruptcy of Lehman brothers and other bank bailouts. The movie is highly critical of Wall Street, and gives us a behind the scenes look at what went on in creating the Troubled Asset Relief Program or TARP.

4. If you want a comedy about a corporate takeover, then “Other People’s Money” is the movie for you. The movie is about a corporate raider who takes over a family business with traditional values. The movie takes a look at the difference between the corporate world and the economy in the “real” world.

5. “Rogue Trader” depicts the real life of a trader, who lost more than a billion dollars buying unauthorized futures on the Singapore exchange. He relates the stock market to one giant casino where you don’t trade anything real, just numbers.

6. A group of cheating and lying young stock brokers, selling worthless stocks to people that they can fool, is the premise of “Boiler Room.” They would make high-pressure sales calls promising to make people millions of dollars in a short amount of time.

7. The documentary, “The Corporation,” depicts the idea the most destructive sociopath in modern times, are the actual corporations. If you are interested in the environmental, governance, and social issues that appear in the finance world, this documentary is a must see.

8. “Enron: The Smartest Guys in the Room” depicts the collapse of one of the largest companies in the United States. The documentary explores the collapse of such a large company, along with the greed that lead to its eventual downfall.

9. Twenty four hours in the life of a financial institution in trouble, is the premise behind the movie “Margin Call.” The bank has many leveraged and speculative positions facing volatility, where the losses sustained could be greater than their worth. Reckless speculation, ruthlessness, and risk are the name of the game in “Margin Call.”

10. A documentary made by Michael Moore, “Capitalism: A Love Story,” explores the idea of free market capitalism. The documentary shows what it is like to be evicted from your home or to be laid off from your job. The film also questions the political power of the financial institutions in the United States.


Should You Use PEST or SWOT Analysis for Your Business

The top two buzzwords in the business assessment game are PEST and SWOT. These acronyms are hyped as the crowning jewel of achievement in the bid to analyze businesses. For a first-time small business owner, however, it can be confusing to know how to use these two powerful tools. If you know that you need to run an assessment, but you don’t know which one, this explanation should make it easier for you to figure it out.

What’s the Scale of Your Analysis?

PEST and SWOT analysis are two very similar assessments in style. They break down the external world of business into steps for you to research, consider, and write about. Each one will help shape your business plan from the outset, and you should consider doing annual assessments to see if you’re still on track with all that you want to accomplish. However, these two tests deal with two very different scopes.PEST analysis is generally the analysis that businesses should complete first, according to It deals with the world in general, and stands for political, economic, social, and technological factors. These are things that affect not only your business, but the entire industry you work for. Expect to spend more than a few hours reading up on it in business journals before you complete this analysis.

SWOT analysis also impacts your business, but it’s applied to your competitors. (Though you can modify it to fit your business, if you want to get an outsider’s perspective on how you’re doing.) SWOT means a businesses strengths, weaknesses, opportunities, and threats. If there’s one online store that you’re always butting heads with, for example, you would apply this analysis to figure out where they have the edge over you, and what you might target if you want to win customers away from them.

Putting Yourself in Your Rival’s Shoes

Now that you know the scale of your interests, you can use the SWOT to figure out how to go after a competitor. If the market’s just not big enough for the both of you, you need to go into your marketing campaign knowing that you either need to take conversion away from your competitor or create whole new markets for yourself.

If you apply this to yourself, however, you can also get a sense of what your competition might do to get to you, as it will reveal your business’s weaknesses as a rival might see them. This is a powerful tool that will let you turn your business into a sleek, streamlined profit machine.

Looking at the Way the World Works

If you need to know the lay of the land on an industry or nationwide scale, PEST is your best friend. You can see where you stack up with the rest of the businesses when it comes to weathering the storms that any industry has. If you see a general lack of action on your part in one of the major areas, such as not enough businesses in your industry are taking full advantage of the social side of social media, you can zero in on these opportunities to stand out from the pack. It also helps you plan in advance if you can see that lean times are going to be coming for everyone.

Once you know the scale of what you’re trying to achieve with this analysis, you can choose between SWOT and PEST. They are both incredibly valuable tools, but they have very different end results. Pick the one that’s best for your business today, and save the other for use to further your goals tomorrow.


Passive Income With a Car Wash – Cash Cow or Money Pit?

I don’t know about you, but I think about passive income opportunities every day. No matter where I am or what I’m doing, I think, “How passive is the income that’s generated in this business?” Sometimes, it’s not at all, and other times, it’s nearly 100% passive. The concept just fascinates me – I think that I’m obsessed with creating a passive income.  That’s why I thought of passive income with a car wash.

Cleaning That Car of Yours

I live in Michigan and it usually gets pretty chilly here in the winter. The snow starts flying in November and doesn’t go away completely until March or April (this year is an exception, but I’m sure we’ll get loaded up with snow pretty soon). And, since it is so cold, the only way to get rid of the snow and ice is with salt.

The salt typically does a great job melting away the snow, but it’s absolutely terrible for your automobile. If you avoid getting your car washed, that salt will start to break down the structure of your metallic frame and body. Then before you know it, your car starts turning into a rust-bucket! Needless to say, where I’m from, car washes are pretty important.

Benefits of a Car Wash

Car washes are typically very passive. Once the machine is set up, all you need is a single employee to receive the payments and begin the wash (and actually, I can see this step getting automated soon as well). If your machines are built properly, there won’t be a huge amount of repairs, and your expenses are pretty low (water, electricity, soap, and…that’s about it)! This sounds like a money-making machine!

Initial Cost of a Car Wash

Initially, I started researching what it took to build a brand new car wash, and honestly, I don’t think it’s worth it. You’ll first need to find that perfect plot of land, then check the zoning, then you need to get a building permit, hire an engineer to make some drawings, contract a company to build the car wash, and then there’s absolutely no guarantee that it will make money because no one has tried to run a car wash in that location before!

The typical initial expense of a new wash can be anywhere from $400,000 to 2,000,000, depending on the number of automatic washes, and the number of bays if you’re running a self-serve wash.

If I were to invest in making a passive income from a car wash, I would start looking at the existing washes that are for sale. Then I know that the zoning is correct, I don’t need to hire an engineer or a contractor, and the best part is, I can look at the history of the business! The owner can show me the average washes per day, week, month, and the year. And, I can get a good look at the expenses!  Be weary of the previous owners income and reporting however, this is a cash heavy business and it would be very easy to skew your numbers.  You need to hire a CPA and sit down and go through all of the financials piece by piece so you can make an informed decision and also to start your business on the correct foot.

I looked into the average initial cost of the washes in my area and they ranged  between $259,000 and $1,200,000.

Recurring Costs of a Car WashAfter a little research, I have found that the average reoccurring expense is provided per car that goes through the wash – it’s typically $0.55 per car. This includes things like the water, soap, and electricity like I mentioned above, but it also takes into consideration the air compressors, the bay cleaning, and preventative maintenance.

How Many Cars For a Profit?

In order to create a profitable passive income with a car wash, about how many cars do you think you’ll need to pass through your wash per day?

Let’s say you have a $500,000 loan on your business which costs $4,683 per month and you run the business by yourself. For each wash, you charge $7, how many cars do you need to run through your wash to make it profitable passive income with a car wash (wow, feels like we’re in algebra all over again huh??)?

To break even in the car-wash business, you would need to have 727 cars go through your wash each month. That sounds like a lot at first, but when you break it down, that’s only one car per hour!

What if you could run an average of 4 cars through your wash per hour? You’d bring in a profit of $18,576 per month! That’s $223,000 per year! If you find the right location, this venture could easily be one of the best passive income sources out there!

This may sound great and all but there are pitfalls to the business as well:

  1. You are at the mercy of the water company.  Remember water companies don’t look at individual businesses when they create their rates, they look at an entire city.  If the water company passes a bill to raise their rates over the next 3 years, your operating expenses will immediately raise and your passive income from a car wash will lower
  2. Repairs and replacements of equipment can put a huge dent in the net profit for the business for the year.  Think if you only have one car wash creating a passive income.  You’re business is closed until you can get it repaired or worst case scenario which could close your business for one to two months.
  3. Who and how is going to manage your passive income from the car wash?  Are you going to go to the business every day and pick up the coins or dollar bills, count them, and deposit them?  Will you hire someone to actually pick everything up for you?  Think about how long you would have to count money every single day you had to make a deposit?  $5,000 doesn’t seem like a lot until you are counting it in quarters.  Will you start a system which accepts credit cards and then you now have a service charge every time a card is used.

If this sounds like the business for you,