A reader writes in, asking what the best “Freedom Business” is. The catch? It can’t rely on any third-party organization. This means no websites, email marketing, or even a venture that processes orders with PayPal.
The read (who asks to stay anonymous) wonders if it’s possible to make money without having to give a slice to some larger corporation.
As this individual writes: “Most ‘freedom businesses’ are dependent on someone else. If PayPal changes the rules, or Google decides to charge for better listing (think Net Neutrality) most location independent guys are screwed.”
And you know what? I agree.
Many businesses (legitimate ones too) get steamrolled by these types of problems.
Look at all the Vine or MySpace celebrities who practically vanished the second those sites lost popularity. Or the email marketers who found their profits slashed in half once Google rolled out its “Promotional” category for newsletters and sales pitches.
In other words, being at the mercy of some giant corporation and their Terms Of Service is a real issue, and something worth worrying about.
Because of this, I’ve put together a quick list of “Freedom Business” ideas that don’t require much third-party reliance. This means no PayPal accounts, email service provider, or web hosting. Best of all, it’s possible to remain semi-anonymous while doing any of these ventures.
Anyway, here’s the list:
1. Crypto Trading
(BitCoin Over The Past 12 Months)
Certain Crypto Coins (like Monero) are completely untraceable.
Thanks to this technology, it’s completely possible to be an anonymous millionaire.
Personally, I’m not the biggest Crypto expert, but I’ve still done pretty well for myself. Especially in this volatile market.
Buying and selling BitCoin dips is a great way to gobble up Crypto assets at a discount price.
It’s a classic case of “buy low, sell high.”
Another cool thing about this strategy is how your gains start compounding.
Starting out, I invested $500 into this strategy during the February free-fall. Every time there’s a peak, I sell, and then reinvest it all during the next “crash.” This leads to some insane asset growth of 10%, 20%, 30%, and even 40%.
10% monthly growth on $1,000 is $1,200+ per year (certainly doable in this Crypto market).
That same growth on $10,000?
$12,000+ per year.
And on $42,000 (roughly five BitCoins)?
$5,000+ per month.
That’s a big profit, especially since you’re just moving money around a computer screen.
By reinvesting at each dip, the your profits start compounding and your earnings skyrocket. If you’re willing to take a little risk, this is an excellent venture.
Here’s a whole article on investing in BitCoin and other Cryptos.
Also, check out the book Cryptoassets. It’s a detailed guide to investing in BitCoin and alt currencies. More in-depth than any other book or newsletter on the market.
2. Poker (Which Is Different From Casino Gambling)
Games like Poker, Backgammon, Chess, and Gin Rummy differ from traditional casino games.
How so?
By pitting you against another human player, not the casino itself.
In a game like Roulette, you’re always at a disadvantage. There’s a house edge, and no player ever wins in the long-run.
Poker’s different.
Your odds of winning are directly related to who you’re up against.
Pick a table full of lousy players (drunk businessmen or random tourists) and the game becomes your own personal ATM.
That’s the truth.
As long as you understand basic Poker strategy (here’s an excellent book to help), you’re going to win against 99.9% of casual players. Best of all? An above-average player easily makes $15 – $40 an hour in low-stakes games.
Here’s a whole article on playing Poker abroad, and be sure to check out the books Super Systems and Education Of A Poker Player for tactical advice.
3. Long-Term Investing
Day trading is stupid. And most guys who do it go broke.
That’s no exaggeration either. Some of the greatest investors of all time (including Warren Buffett and Peter Lynch) think this is a terrible idea. Lynch even claims that day trading offers lower returns than the worst possible casino game.
In other words, you could play roulette and have a better chance of “winning big” than the average day trader. At the very least, you’d get some free cocktails while losing.
Anyway, day trading is dumb, and there are much easier ways to profit off stocks.
Namely, buying and holding assets which produce a dividend.
What’s a dividend?
It’s a monthly or quarterly payment you receive just for owning a particular stock.
Case in point, I own: VYM (it’s an index fund), Waste Management, Hormel Chili, SPY (the whole S&P 500), SDY (a high yield dividend index), O (a real estate investment trust), and some other goodies.
Each of these pays out a couple bucks per year, just for being a stockholder.
VYM, for example, pays an annual 3% of its value in dividends.
If you buy the stock at $80 per share, and it rises to $88, you make 10% gains plus an additional 3% return through dividends (these types of stocks traditionally average 11% annual ROI, 4% higher than market standards).
(My One Week Stock Growth)
Once you’ve built a big enough principle, you start seeing major returns.
Case in point, I’ll collect $1,600 in dividend payments this year.
The next year?
$3,300.
The year after that?
$5,000.
You get the idea.
I’ve done a whole article on stocks before (read it here). But, if you’re interested in this, start out by reading How To Make Money In Stocks (super useful) and Beating The Street.
They’ll both give you a first-class education in how the market works.
Anyway, those are my thoughts on finding a potential freedom business to bypass traditional third-party gatekeepers like PayPal or Google.
If you have any additional suggestions, feel free to let me know in the comment section.