A proper legal analysis is necessary based on your location and contract. Consult an attorney in your home state for advice regarding your contract or specific legal situation.
Episode 103: Understanding The Contracts You Need With Passive Income
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You’ve heard the gurus talk about it online, making money while you sleep… And it sounds pretty good right?Setting up an income stream that can allow you to live your dream life, without being tied down to a schedule. It’s what we all want as entrepreneurs, am I right?
But here’s the thing, if you are going to go through all this work to set up this stream of income, nurture and grow it, I want you to make sure you are legally legit. And prepared for any legally sticky situations that may arise along the way… (Think trademarks, people stealing your course, you know the drill *everyone’s worst nightmare*).
Episode Highlights
- What you need to do to make sure the passive income in your business is legally legit.
- The contracts you need to add into your legal toolkit if you are ready to add this revenue stream into your business.
- What is a digital product purchase and use agreement, online course contracts, subscription membership, etc.
- Different passive income avenues and what legal documents and contracts they need.
Worth Noting
"When you set up shop online in a digital product e-commerce platform, you need to have two big things. First, you need to have website terms and conditions, and you also need to have a privacy policy. These are absolute necessities that you need when you start selling things on your website."
"Make sure that you're reading through their terms and conditions, and you're paying specific attention to commission kickbacks. Because every affiliate program is different regarding the amount of commission they offer their accounts. A good starting point is anywhere from about 10 to 30%"
"You're also going to have clauses related to no refunds due to the immediate nature of the digital product delivery. You will need to have things regarding privacy considerations for online purchases made through credit cards. So of course the third party payment processor that you're working with, you just want some language in there surrounding what is encrypted."
