networking

As people realize we like them and respect their opinions, they share information about themselves that can be helpful in analyzing whether they can use our products or services.

So says Canadian businessman Michael J. Hughes, who is known as "THE Networking Guru." Hughes runs a highly successful Ottawa, Ontario-based consulting business that works with Fortune 500 companies and international associations across North America.

I was recently at a networking meeting and met a really nice woman. After several minutes of conversation, I asked her what she did. She excitedly launched into how she was a real estate agent, but that was slow right now, so she was going back to giving massages, but she was also selling Mary Kay cosmetics.

While I was trying to process all of those unrelated businesses, she dug into her purse and handed me a card that listed her as an Ambiance Coach. I questioned her about that since it didn't seem to fit with any of the businesses she'd mentioned. Amazingly, she said, "Oh, I'm also a distributor for PartyLite Candles."

Doing four totally different businesses with different target markets is the wrong way to establish multiple streams of income. Why?

Any banker will tell you--if they're completely honest--that your greatest financial asset is your ability to earn income. It's not your house, your bank accounts or your car. They don't actually want your collateral, they want your payments. What's important to them is your ability to earn money on an ongoing basis. That ability is based on your health (your capacity to work), your knowledge, your skills, your reputation and your experience.