Do Courses & Membership Sites REALLY Provide Passive Income?
Spoiler: Not Quite…
"Passive income." Yep, those two words have inspired a thousand dreams of sipping mojitos on a beach while watching your bank account swell. And if you’ve heard that starting a membership site is the “easy way” to do this…well, I’ve got news for you, my friend.
Here’s the truth: Memberships aren’t exactly a one-way ticket to Mojito Land. You don’t just build it once and watch the cash roll in. Building a membership is more like creating a business baby; you’ll need to feed it, nurture it, and yes, lose a little sleep over it, too.
Let’s break down the facts (and myths) on what kind of income you can really expect from a membership. Grab a coffee (or hey, a mojito) and settle in!
Why Memberships Aren't the "Ultimate Passive Income Business"
I’ll just say it upfront: A membership site is a business, not a lottery ticket. And while I wish I could tell you to set it and forget it, that’s not the case. You’ve got to put in the effort. Your members expect consistent value, fresh content, support…and maybe a little razzle-dazzle.
The Reality Check
A membership business model is more like running a marathon, not a sprint. Your members are here for the long haul, which means they’ll want to see you delivering quality content, month after month. And yes, you’ll have to check in regularly to keep things running smoothly. So… maybe hold off on buying that beach chair just yet.
But Wait, Isn’t There a Way to Make It Somewhat Passive?
Ah, yes, we’re finally getting to the good stuff! While 100% passive income is a myth, there are ways to make your membership more passive over time. Think of it as “leveraged income” instead of passive income. Leveraged income means you’re creating systems, content, and processes that let you work less (eventually!) while still growing your income.
Here are a few ways to get closer to that sweet, sweet “set it and semi-forget it” feeling:
Automate, automate, automate – Use tools to help with onboarding, customer service, and even content scheduling. If you’re repeating a task over and over, there’s probably a tool out there to handle it for you.
Outsource – Once you’ve built up a decent income, consider hiring help. Trust me, outsourcing those repetitive tasks can be a game-changer. You didn’t start a membership just to spend hours sorting through emails, right?
Create evergreen content – Got lessons that will still be valuable a year from now? Great! Record them, package them, and let those videos do the heavy lifting for you.
Leveraged Income vs. Passive Income
Here’s the mindset shift: Think of your membership income as leveraged, not passive. Because here’s the beauty of a membership model: Your effort isn’t tied 1:1 with your income. That’s a fancy way of saying that your work scales—one hour’s work will pay off many times over.
And yes, the more members you attract, the more impact that initial work has. So instead of seeing your membership as a passive dream, let’s call it what it is: A way to stop trading time for money and start earning based on the value you create.
So, Just How Passive Can a Membership Be?
Let’s break it down into three stages:
Starting the Membership: The grind. You’re building, marketing, and setting up all those systems. This part isn’t passive at all, but it’s foundational.
Day-to-Day Maintenance: This is where you can make it more passive. Choose how hands-on you want to be. You could do monthly live Q&As, or keep it light with email-only updates.
Growth Stage: As your membership grows, your processes get smoother and your workload can (and should!) lighten up. Growth might require you to show up more frequently, but that depends on how big you want to go.
You Set the Rules
The beauty of a membership site (and why I love helping womenpreneurs start them) is that you get to set the rules. Maybe you’re after that $10k month and you’re ready to hustle, or maybe you’re aiming for $5k with a laid-back approach. There’s no “right” answer—just what works for you.
So, if you’re dreaming of creating a membership, just remember: Passive income is a sliding scale. It’s about designing a business that fits your life, not just your bank account. The work is there, but so are the rewards. And who knows? With the right mindset, that beach chair might just be in your future after all.
Cheers to building the membership—and lifestyle—that works for you!
