3 Automation-Powered Income Streams for Engineer Entrepreneurs

When I graduated college and started my first job, I quickly realized that engineering was very hands on. Even with the many tools and software available I noticed that they always required manual input, calculations and many projects require physical presence of engineers.

Very early, I became obsessed with learning and finding ways to automate and find ways to create recurring and passive income. Passive income is almost cliche these days, I'm sure you all see a dozen real estate ads online on how to make passive income, so I promise this won't be like any of those you've seen.

Besides the obvious benefits of creating streams of passive income, my goal has always been to create a system so robust that it doesn't just sustain itself without me, but also one that can outlive me and propel future generations forward.

In today's digital era, the scope for engineering entrepreneurs extends far beyond traditional project-based work. With the rise of the internet and automation, there's a multitude of opportunities for engineers to create passive income streams. At Oasis Engineering, we've pivoted to embrace these futuristic opportunities. Here's how you can too.

1. The low hanging fruit: you gotta' get that yield!:

This may not be fully automated or tech savvy, but its a simple concept that can yield additional money (and benefits) to your bottom line, without having to do "extra work". Right after you've set your business structure, and have the typical operating framework, learning how to use money at the right time, can be very beneficial.

Step 1: Own a High Yields Savings Account:

There are many accounts where you can keep your business/corporate treasury that yield 4-5% for parked money, while still being highly liquid. My personal favorite: Titan Cash. Smart Cash automatically moves your money between Cash Reserve and Treasury Money Market Funds on Titan when a better rate is found for you. Currently up to?5.33%. They basically put your money on US Treasuries, without lockups or fees, so if you need to cover unexpected business expenses or cash flow issues, your money is available fast. The best part is that some of these treasuries have tax advantages, further allowing you to keep more of your money.

Step 2: Play the Credit Card game:

credit cards receive a lot of bad rep, but if you know how to use them right, they're extremely useful. I strongly recommend reading the credit card agreement, and understanding the different type of due dates (specially for charge cards). Most credit cards have great benefits, like insurance for your car rentals (super useful for business trips), and more.

The first rule of credit cards is don't pay interest. The #2 rule is maximize your cash-back, rewards, miles and benefits - and have fun with it. Please consult your CPA, but word on the street is, that the IRS treats cash-back rewards as a rebate on spending and not as income, so you aren't required to pay income tax on these rewards. My personal favorite: Chase Ink Business Premier With this card, you can get 2% cashback on all purchases, and while 2% sounds small, if a good percentage of your costs is eligible to be paid with a credit card, it can really make a difference when you compare the cash backs to your net profit.

While getting cash back is generally preferred, if you do a lot of travel, having a points card may be better than cash, I recommend the Business Amex Gold Card.

All in all, the game is to charge everything you can, to credit cards, have an operating account, where you charge anything that can't be charged to a credit card, and then make consistent and timely payments back to the credit card before the due date so that you're never paying interest and you're reaping the benefits of the cards.

2. A Digital Playground: How Etsy Became Our Canvas for Passive Income and Beyond

Our Etsy Store: From Zero to 25+ Products in a few months

Okay, here's the real tea. When we first thought about venturing into digital products, Etsy was not at the forefront of our minds. It seemed like a place for handmade crafts and vintage items, not engineering designs. But after a bit of research and a leap of faith, we set up our little corner on Etsy:

The best part? We didn't start from scratch. We had this trove of past projects and designs just sitting in our archives, collecting digital dust. A little tweaking here, a few updates there, and voilà! These revamped designs became our first batch of pre-engineered plans.

eBooks, Guides and Pre-Engineered Plans

Think you've got heaps of knowledge? Don't let it go to waste! Our journey taught us that by merely repackaging what we already knew and had, we created an entirely new revenue stream. In our case, this took the form of eBooks and pre-engineered plans.

EBooks offer a great low-cost introduction to your work. Think of them as "tasters" or appetizers before the main course, giving potential clients the chance to get to know you better. Our engineering eBooks cater to everyone from the seasoned professional to the curious layman, thereby expanding our reach.

On the other hand, our pre-engineered plans serve a different need. These are for clients who require immediate solutions. For them, time is of the essence, and our ready-to-go plans have been a lifesaver, quite literally. The best part, this can be sold outside of USA, which has really opened our horizon!

What we didn't initially realize was how much our Etsy store would act as a 'loss leader'—you know, a product that's sold at a loss to attract customers. People would come for our low-cost eBooks or pre-engineered plans and stay for our bespoke engineering solutions. The store became this dynamic portfolio, showcasing our versatility in ways we hadn't anticipated.

Think of your digital products as not just a source of passive income but also as a marketing tool. They work round-the-clock, requiring minimal upkeep, and serve as a 'live demo' for prospective clients to test the waters before diving into a more significant investment with you. Sometimes we give them out for free, as bonuses, or gifts to clients and partners. Digital products are great assets overall.

So, if you're sitting on a pile of knowledge or a catalog of past projects, don't sleep on the passive income potential or the wide array of benefits it could bring to your brand.

3. Affiliate Marketing: Building Material Lists, Easing Construction, and Earning Along the Way:

Ah, affiliate marketing. It's not just for bloggers and lifestyle gurus, you know. In the engineering world, it's an underexplored goldmine that we've decided to tap into. Given our extensive network and reputation in the industry, it just made sense to monetize these relationships without compromising the quality and integrity of our recommendations.

Let's get into the specifics: building material lists. When we create engineering plans, whether it's for a residential building or a tiny home DIY project, we're not just providing drawings. We take it a step further by crafting comprehensive building material lists, detailing every piece of lumber, every nail, every bolt, and every can of paint you're going to need. These lists are not just static PDFs; they're dynamic tools. Each item on the list comes with a direct link to purchase the material online.

Why is this game-changing? For builders, especially those less experienced, this removes the guesswork and potential errors that come from material estimation. You have a list, you click, you buy—simple as that.

But here's where the beauty of affiliate marketing really shines. Each of those direct links is an affiliate link, partnering mainly with Home Depot, but also other suppliers in some cases. What this means is that every time a builder or contractor clicks through and makes a purchase, we earn a commission. It's a win-win for all parties involved: the builder benefits from a streamlined, foolproof shopping experience, our partners at Home Depot receive qualified leads and sales, and we earn a commission that contributes to our bottom line.

And just so we're clear, these are not random recommendations. Every single product and material we list is vetted for quality and suitability for the specific project at hand. These are materials we'd use ourselves, and often do in our bespoke projects. So it's a seamless extension of our brand and ethos into the affiliate marketing space. Sometimes its critical, as for example, in Florida, many construction products require Florida Approvals, or NOA (material certifications for use in Florida certain areas - specifically related to wind engineering and hurricane design requirements).

This approach has multiple benefits. Firstly, it adds another layer of value to our pre-engineered plans, making them even more appealing. Secondly, it diversifies our income streams. In addition to the passive income from the sale of the plans and the eBooks, we now have this steady flow of affiliate commissions. It's almost like we've set up a small online store, but without the headaches of inventory and shipping.

What I absolutely love about this system is its "fire-and-forget" nature. We put in the effort upfront, and then these lists continue to earn for us, day in, day out, with minimal maintenance required.

So if you're in a niche industry like engineering, don't overlook the potential of affiliate marketing. It's not just a 'side gig' or an 'extra'; it's a powerful strategy that can generate substantial returns while adding unparalleled value to your core offerings.

Conclusion:

The age-old belief that engineers solely offer hands-on, project-based value is being rapidly dispelled. In the age of the internet, automation, and AI, engineering entrepreneurs have a golden opportunity to diversify income streams, boost brand value, and ensure business sustainability.

As you can see, you don't need to be a software programmer or an AI guru, all you need is simple ideas and tools that help your clients and benefit your business cycle.

At Oasis Engineering, our journey of pivoting towards these automated income sources has been enlightening and lucrative. Embrace the future, innovate, and diversify. The engineering world is vast, and the opportunities are limitless. Join us in this revolution.

For those interested in exploring these avenues or seeking guidance, feel free to connect. We're always open to collaborations, sharing insights, and fostering a more connected, prosperous engineering community.