The Bubble Gum Machine – Residual Income Formula

The Bubble Gum Machine

(Residual Income Formula)

How to Become Prosperous in Today’s Economy

bubble gum residual income

One of the questions we often get asked is “what is the perfect business” and our answer is “one that includes a residual income element”  and that is no matter what business you are looking at whether it be property or running an online business as we do.

And then the next question we get asked is “what exactly is residual income” or “what do you mean by residual income” so when we heard this explanation from Greg S Reid (Author of Three Feet From Gold) on a featured video recently we felt it was the perfect explanation.

The Buble Gum Machine Residual Income Formula

(The story starts at 4.23 minutes into the video but we recommend you watch the whole video) Source:

In case you prefer to see this written down (confess that we do even though we love the power of video) we have transcribed the video with a little licence ….

“The simplest way to understand residual income is like a bubble gum machine”

Here’s how he explains it by example of being given $1000 cash and that you want a sofa for your living room.  What do you think 90% of American’s are going to to?  The answer is buy a sofa for $1500 and go $500 in debt.  9% will buy a sofa for $1000 or less and live debt free.  The millionaires do something different  – they understand residual income.


Greg goes on to explain the story around his love of gum … so in his example he would spend $750 on a bubble gum machine and $250 for the bubble gum at one penny each.  You fill the machine full, put in in the shopping mall and the kids come and buy and put 25 cnets in the machine for gum that cost just one penny  –  so “a quarter for a penny

In a year you wil make well over $1000 in pure profit so you can go and buy the soft a debt free.

Millionaires understand the simple technique of a residual opportunity, the simple understanding that they’ve still got a machine continuing to make them money month after month.

This is one of the best explanations of residual income we have ever seen and it really is the best way to become prosperous in today’s economy.

Whatever kind of business you are looking, whether that be Empower Network, property investment, network marketing;  make sure that it has a residual income element to ensure your long term security, wealth and prosperity.

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Chris and Susan Beesley




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The Bubble Gum Machine – Residual Income Formula

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