Some of my clients got involved in the crazy days of the stock market in the late 90’s/early 2000’s and a lot of them made a lot of money.  But, it wasn’t passive income.  They had to sell the stock to make money and they had to dedicate time each and every day to make sure that they got into the stock and out of the stock at the right time.

The next big boom was real estate.  Now, I’ve been a fan of real estate for a lot of years as a way of creating passive income.  But, many of the newbies to real estate used it as a commodity in a business.  They did the “fix and flip” program.  To be honest, so did my husband.  We made a lot of money during the wild years in Phoenix.

But, just like the stock traders, real estate trading isn’t passive.  You have to sell the real estate to make money (or refinance, which means higher payments on a property that doesn’t cash flow anyway).

And if you couldn’t make passive income during the crazy boom years of real estate, you probably will have even more trouble making it now.

There was one more point to all this.  I had a lot of CPA clients (www.DKAffiliated.com) who made a lot of money with their active businesses.  The last thing they wanted to do was go to a seminar on “How to Get a No Money Real Estate Deal”  No money wasn’t the problem.  No time was.

That’s when I came up with the idea of taking my model for creating passive (and more highly leveraged active income) exclusively to my business owner clients.