For the next few posts I would like to focus on the way that online business can be used to pay back student loans. Student loans are probably the worst part of getting an education, but they are also essential for many people. Finding a way to pay back the loan can be challenging, and often takes a substantial portion of your income each month. Affiliate marketing is one specific form of online business that offers an effective approach to paying off student loans or simply to generate extra cash flow.
1. Affiliate marketing
When I first started working online, I did not know much about affiliate marketing, partly because it is something that sounds much more difficult than it is. Affiliate marketing sounds like it is something that requires a large amount of technical know-how, as well as being up-to-date with many different websites.
In fact, affiliate marketing is a perfect for of business for a beginner, and can be very easy to set up. Probably my favorite thing about affiliate marketing is that you don’t directly deal with customers. Instead, you are creating a connection or a referral between the customer and products, and earning money based on the behavior of the people browsing your site.
Now admittedly, this sounds like a scam, such as filling out surveys for money online, but affiliate marketing is actually a popular and successful business model.
You can start off small and build your business over time, which is perfect if you have a busy lifestyle, or have a ‘real’ job as well.
If you are looking at paying back your student loan, your online business is more than simply another source of income, and this makes planning crucial. It is easy to start spending more because you have more income, which ultimately gets you nowhere.
One effective method is to use the money from your online business for loan repayments, while any other money (from your job etc.) goes towards living in general. This gives you an edge over everybody else out there and more flexibility in your income.
If you can pull it off, travelling overseas is also very effective; because it lets you get out of most of the taxes associated with an online business. You can normally also live on the cheap for a few years and have a wonderful experience while doing so.
Any method of paying back loans requires some budgeting. You have to make sure that you section aside the money meant for your student loan and don’t end up spending it simply on a whim.
Budgeting can be a pain, and it means going without things you want. In the long-term, it is worth it. Managing your money effectively is an important skill regardless of what direction you want to go in your life.
There is no single way of budgeting, but budgeting can be as simple as using a Word file or Excel spreadsheet to keep track of where your money is coming from, and where it needs to go.
If you are looking at getting involved in affiliate marketing, have a look at the five day getting started email course on this site. The course provides valuable advice in the best ways to get started in online business, as well as what the risks and advantages are.