How To Earn Passive Income With No Business Experience

With the cost of living crisis affecting almost everyone, people are now searching for additional ways in which they can increase their income to cover the cost of energy bills, food and petrol. This is where passive income comes in. Although often referred to as “easy money”, passive income is the result of hard work and is a source of revenue that continues even when the work has been completed, for example, this could be earning money on interest accumulated in savings or renting out living space, or which does not need significant commitments in terms of time. 

There are now a number of different ways in which people can earn passive income, with the Covid pandemic further expanding the number of different types of passive income that can be earned. Passive income is different from active income, which is income that is earned through a job or business idea which requires actual active participation. 

There are three main types of passive income streams:

  • Investing – Where you can generate a return from investing your own money into stocks, bonds, real estate or saving accounts.
  • Asset Sharing – This involves selling or renting out assets which you own, including your home or vehicle. 
  • Asset Building – Examples of asset building include adding revenue-generating links to a blog or website you own, or selling online resources such as ebooks or content online.

You don’t need business experience to earn passive income, but there are some types which require more risk than others. Whilst you might be able to build up a passive income stream by simply using a small investment, remember that you’re not making any less of a commitment than someone who is investing time in a similar scheme. Let’s take a look at ways in which you can earn passive income with no business experience. 


How Much Can I Make From Passive Income? 

With passive income, you can make as much or as little as you want once you have found something that works for you. However, generating passive income is not a get rich quick scheme. With most of the ways, you will need to put in time, effort and initial investment in order to create a passive income source. But, the good news is that finding your scheme early means that, once established, you can enjoy the financial benefits for many years to come. 


4 Ways To Earn Passive Income With No Business Experience 

Earn Dividends From Investments

Dividends are paid from companies to shareholders and provide a good passive income stream should you have funds available to invest. This type of investment, however, is not guaranteed and many companies temporarily suspended dividends during the pandemic. A dividend yield is a good indicator of a return on investment and it is similar to that of an annual rate for a savings account. 

This is calculated using the method of the dividend payment divided by the price of the share or investment. For example, if a company with a share price of £100 is paying an annual dividend of £4, then this means that the dividend yield is 4%. Getting started in making investments in business opportunities is a good way to earn some additional passive  income which is anywhere between 10%-25%. There are some platforms, such as which will take care of finding businesses for you to invest in, meaning that all you need to do is invest the money to get started. 


Start A Dropshipping Venture

Dropshipping is one of the best and easiest passive income ideas if you are looking to earn money from selling online, no matter where you run your dropshipping business from. Dropshipping is a good idea if you don’t have a large budget to start with, or don’t have excess space often required when starting a business. In extreme cases, some people who have taken up dropshipping have made hundreds of thousands of pounds, so it is a proven way to increase your income stream. It is important to remember, however, that dropshipping is not a get-rich-quick scheme as it does take some time and investment in order to generate income. 

Dropshipping involves creating an ecommerce store from which customers can browse and buy products. One of the positives of dropshipping is that you don’t need to physically hold or manage the products you are selling. A chosen supplier will handle everything from manufacturing to packaging and fulfilment. As you don’t need to pay your supplier until your customers have paid, there is limited cash risk on your behalf. Depending on the products you choose to sell and implementing competitive pricing, you can earn solid amounts of passive income. 


Stake Cryptocurrencies

Investing in, or making a stake, in cryptocurrencies can be a good way to earn 5%-10% in passive income. Think of it as a way of earning interest on your savings, but with higher returns. In order to get started with cryptocurrency investment, however, you do need to spend quite a bit of time researching and learning about cryptocurrencies. It is not an investment strategy that is recommended as a quick win. 

You’ll want to learn more about the different coins you can invest in and discover the best way in which you can make educated decisions in investments. One thing to be aware of when trading crypto, however, is the high volume of cryptocurrency scams that are present across numerous trading platforms which are renowned for targeting new and inexperienced traders. 

Once you’re more familiar with the terms and trading tips, you can be ready to partake in crypto exchanges. From this point, it’s simply a matter of waiting to see the returns build on  your investments and checking them regularly. The more you learn about crypto and trading, then the better and more-informed trading decisions you will make, and then the greater your passive income stream will be. But, just like with any other investment, crypto trading does come with its own risks and there is some upfront time required to learn more about your investment options. 


Sell Digital Products

If you have a specialist skill, hobby or accreditation, then selling digital products could be a great source of passive income for you. Digital products include assets or pieces of media which customers aren’t able to physically hold or touch, such as PDFs, templates, plugins or e-zines or books. Digital products have high-profit margins, which makes them an easy source of passive income and you only need to make the asset once, which you can then sell repeatedly. There is no physical storage or inventory required and you can sell as many as you want. 

A lot of digital creators make passive income from digital assets such as kits, printables, files and professional materials that can be used. A lot of people in this business create downloadable templates that teachers can purchase to use in the classroom, wedding-related templates such as invitations and seating plans or website flowcharts and wireframes that can assist with a website design and development process. It’s a great way to make quite a large amount of money from something that could possibly only take a few minutes to put together. 



There are only so many hours in a day and when you’re looking for ways in which you can increase your income more efficiently, you’re going to want to find ways which are easy and also provide you with some flexibility. Finding the right passive income stream that works for you means that you can not only increase your income, but make better use of your time that might be otherwise wasted on bad business ideas. 

As with any investment, you should always consider the risk levels associated with them and whether you would be able to absorb any losses. In a lot of cases, you may need to pay income tax if you begin earning over a certain amount, so this should also be considered. 

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