For those of you already trading online, you may already have come across the value of recurring income, the type of income which you can depend on month and month, allowing you to actually plan ahead.  As your business begins to grow you will notice the need to plan ahead, to cover your own expenses and ensure there is enough aside for extra promotion.  But how do you build up your recurring income? Is it as difficult as it sounds?

While the idea of building up recurring income may sound a little daunting to start with, it is actually a reflection of the service which you provide to your customers.  If your customers need regular assistance and you have offered a high class service, there is every chance that they will give you regular business.  This type of regular business can then turn into monthly recurring income which actually benefits both parties.  Your customer knows they will get a service which they are more than happy with, and you will be to plan your time around recurring income - the “bread and butter” or any business venture.

Is there a downsides to recurring income?

While there is no downside to managed recurring income, it can sometimes become a little difficult to deliver if you take on too much work.  You may have 5 recurring projects a month and be able to handle them with no problems, although by taking on an extra project this may over stretch your resources.  Not only do you risk losing the 6th project, but it may effect your relationship with the other 5 clients. 

This is a classic result of over stretching your resources, and something which can have a detrimental impact upon your business, often undoing the hard work you have put in over the prior months and years.  While it may pain you to turn away projects, there are times when you just do not have any choice.