OLD POST ALERT! This is an older post and although you might find some useful tips, any technical or publishing information is likely to be out of date. Please click on Start Here on the menu bar above to find links to my most useful articles, videos and podcast. Thanks and happy writing! – Joanna Penn
I'm finally back from my epic trip to Australia and New Zealand. After the 26 hour flight back to London, I feel like I have been run over. My soul is lingering somewhere over the Indian Ocean, slowly catching up.
But it was a good trip and although I didn't do much writing, I did do some thinking. Deep and meaningful thinking that might have involved a lot of South Otago Pinot Noir and Bluff oysters (the best in the world!).
I've been thinking about the past five years, and considering what I want for the next five.
We moved from Brisbane, Australia to London, England last June but we left behind a lot of stuff in storage and a house, just in case this move didn't work out. At the end of March we sold the house and so we flew back to Brisbane for a few days en route to New Zealand in order to finalize the shipping of personal effects.
Our physical move from Australia is now complete. London is officially home. I love change so this is all fantastic fun for me.
But inevitably, moving means reviewing accounts and taxes, and as I checked the paperwork, I felt depressed about how little we had achieved financially in five years despite earning well and attempting to invest.
My husband and I had tried to build up a property portfolio in Australia but with the global financial crisis and the Queensland flood, it didn't quite work out as planned. I'm sure many of you have similar stories.
Overall, I was looking at our time in Australia as one that reduced our assets considerably.
But my husband then pointed out that I had left Australia with a business, The Creative Penn, and this site, which now earns income through the sale of courses as well as my speaking. I had also invested in my own education in terms of internet marketing, writing and publishing that was probably equivalent to another Masters degree.
Plus, I have two novels and several non-fiction books that are intellectual property assets that will continue to earn money for me over time. I also have a business model to add to this IP with more assets that will create scalable income.
[Scalable income is when you create something once but the number of sales can be 1, or 1000, or 1,000,000. It's not dependent on your physical time. Books, and especially ebooks, fit this model.]
Clearly, I am as guilty as anyone in terms of forgetting to celebrate success!
This realization of creating intangible assets was a profound one. I hadn't seen my creations as actual assets before, as I thought the word applied more to physical things like property. But an asset is “anything tangible or intangible that is capable of being owned or controlled to produce value and that is held to have positive economic value” Wikipedia.
You might think I had learned that lesson already but trust me, the penny has taken a while to drop.
That is incredibly exciting as we now have the tools to publish and market these ourselves, connecting directly with customers. We can create our assets and use them to create ongoing income, with much lower risk, lower overheads and lower cost of entry than something like property. [I'm not discounting property forever, but it is a good example in this financial climate.]
Books are intellectual property. They are assets. They create income.
Yes, we write because we love it and we feel a compulsion to create. But in a world where what was previously considered an asset may turn out to be false hope, a book is something that will last and may continue to earn money in your lifetime even after your death.
I know your writing journey may be different to mine, but I am now a full-time author-entrepreneur and I need to make money from my writing. Yes, I love the writing and the process but I also need to make it work professionally.
Yesterday, I returned home to a 4 figure check from Amazon for the sales of my ebooks from February. My physical property never left me with that much per month.
So where does that leave my 5 year plan?
Focus on creating intellectual property as scalable assets.
If you want to be a professional writer, making an income from your writing, it is now possible. I'm not making Konrath or Locke or Hocking money yet, but every month, the checks are heading in the right direction.
This is the Magic Bakery concept that prolific writer Dean Wesley Smith talks about. Each pie in the bakery is a book, and you can carve up the pie into different kinds of rights. But you won't make a decent living from one or two pies, you need lots. Each piece of each pie is a cash stream.
So, I'll be focusing on:
- Writing more books – fiction and non-fiction – and improving my writing
- Creating more of my own products
- Building a direct connection with readers through marketing
This doesn't seem world-changing, does it?
But the secret is consistency over time. There is no overnight success.
Most people give up because the first book isn't a runaway success and doesn't make thousands. Many writers stop at one book, or maybe two. But overnight success is a myth. We have to put in the time – to improve our writing, to write more books, to learn about marketing. We're so lucky because the journey is so rewarding.
My life has changed in the last 5 years. It can be summed up by this. When I came back through Customs and filled in my landing card, I entered ‘Writer' as my occupation.
I'm not giving up, because my dream is just starting to become a reality.
Here's to the next 5 years.
I'd love to hear what you think. Do you view your books as assets? How do you see the next 5 years working for your writing journey? Please do leave a comment.
View Comments (61)
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
1 2 3 … 5 Next »I would like to be a two-book-a-year author if I can. I don't want to have to depend on a first best seller.
I hadn't thought of it as assets, though. You're right. Thank you very much for sharing!
I'm trying for 2 books this year as well Lauren, plus a re-release and some products... the more creative we are, the more creative we are...
I'm very much new to the self-pubbing world, but I've quickly built up a decent portfolio and have just begun to see substantial reward from it, hitting my first $1k+ last month. I write short erotica and often I push my writing aside to focus on "real work"... which of course isn't scalable. Reorganizing my priorities is part of my goal for this month, so thanks for the reminder of how important it is to have those priorities straight!
Congrats Aubrey, and erotica is so hot right now :) Congrats on 1k + a month. What a great feeling! Let's keep reminding each other of those priorities too. I seem to forget them over time.
I've only recently started to think of writing as a career and this article is great encouragement for me. However, paying the bills put writing on the back burner more often than not. I plan to continue to strive for the big dreams that won't let me quit just yet. Thanks for the boost you give someone struggling to do something different and creative for the soul.
I understand how you feel Patricia - I spent 3.5 years writing in my spare time and building this site while I worked as an IT consultant. It was hard work but definitely worth it. Becoming more creative can only happen with making time for it.
Hi Joanna,
I love you talking about books as assets because I seem to have been building up my store of these assets and neglecting the marketing of them. I will get around to it soon, as I feel my latest book is my last for a while and now I can get onto recording them getting them into print / kindle format etc and making videos for youtube. I keep thinking that the assets are going to realise their value eventually, and it is reassuring having you encourage me to keep persisting.
So pleased you came back to Aus for a while. We need your sunny personality now and then.
Live With Energy .... Joan Small
Really appreciate you writing this post. I've been following you for years and watched you consistently invest in yourself, including:
- the craft of writing
- the business of books
- online marketing
- website ownership
- social media
- video producing
That's a lot of investment that pays dividends in so many ways, not the least of which is the depth and breadth of the kind of help you can bring to authors.
What I respect more than anything is that you actually did the work to make all this happen. So many folks are simply tip collectors or won't make the temporary sacrifices to achieve their goals. You've been an inspiration to so many by honestly sharing your journey with posts just like this one.
Cheers and here's to a grand five more years!
Thanks so much MaAnna and you've been doing the same, I know. It has been a lot of time and money to get to this point, but changing career and investing in oneself is one of the most important things, right? I finally feel, at 37, that my life is heading in the right direction - and creativity is the keystone. Honesty is another and I will continue to share with you guys, I don't know any other way to be :)
Decide what you want out of life and then spend 30 years getting there. Nothing comes quickly, a lesson that I learned too late. My wanderlust was a financial downfall.
I discovered that I enjoy writing too late in life. I do all business and web copywriting right now, but I have finished one Kindle book on self-publishing for the absolute neophyte and will look at doing another.
If I had discovered writing 30 years ago and spent those years learning, working, practicing, etc., I would be rich even if my bank account was empty.
Hi Greg - never regret wanderlust! I have lived and worked in Malawi, Africa, all over Europe, Israel, the US, then spent 11 years in New Zealand and Australia. I have just moved back to the UK with no house and no possessions. Financially, moving around is a nightmare, as you say, but the experiences are SO worth it. My family has 'itchy foot disease', we can't stay still :) I am so happy when I am moving, travelling - so please don't regret your travels - just write about them!
Totally agree. In fact, one of the reasons I'd like to be a full-time writer is so that I can travel around without having to leave my work. Apart from that, it's SO much easier to write about different places now that I've actually lived there.
I can relate to starting to late. If only...
Nathan, it's never too late to start living your life with your goals: it's never too late to start over! I know so many strong, positive people with a lived experience of mental health issues who teach me that, and who teach me that you can lose everything and keep going. They keep me strong, and they keep me focused, and I am a better writer as a result.
Absolutely, the value we create through intellectual property is immeasurable (in terms of what's possible).
Of course, it's difficult to grasp the notion that there isn't an "overnight" success story here, most of the time. Some authors get lucky, some just have to work and work until everything starts to pay off. I've been writing for Aspindle for a little over a year now and we're still struggling to come out of the deep end of the pool. The good news? We have a lifevest on, it's our ebooks!
Joanna, thank you for posting this. I feel your pain. My wife and I have also invested in rental properties over the years & have poured blood (literally) & sweat into them with little or negative monthly return and constant problems with tenants -- all the while consoling ourselves that, “Hey, at least we’re building equity.” Not now. :( But such is life.
As for the intellectual property: congratulations on the 4-figure check from Amazon. I’m also going to get a 4-figure check ... but it will include the pennies: $10.06. Yipee!
Congratulations, Mrs. Writer.
Thanks Justin. We sold the property because of how much it was costing us. No point in waiting 20 years to make a "profit" if it causes us pain in the meantime :)
On the 4 figure check, it was low 4 figures but I am happy with that - about a year ago it was more like your check, so hang in there!
I love your honesty in this article Joanna and it's really thought provoking - thank you!
#1 I definately agree that investing time into tying to generate income online improves your education loads!
#2 I'm going to practice celebrating my intagible assests a bit more :-)
5 years...I currently measure years by the ages of my children, and that includes my written children. I don't consider writing a full-time profession as yet, because my focus is raising my boys (ages 13 and 10). Since they don't need me full-time like babies and toddlers, I can write while they are in school (in between keeping house, and monitoring my other business, MommyLoves.com) and of course while they - and my husband - are asleep.
Thank you for putting your past 5 years in perspective, Joanna. Writing about the change in your perception of assets and success helps us all look at our own definitions of success, and see the baby steps we take, and the left or right turns that lead us to our current reality.
The next 5 years...I, like you, have only just begun to describe myself as a writer, and yes my books are assets - otherwise I would not offer them for sale. I will never stop describing myself as a writer, and the first day I receive a 4 figure check from any distributor for one month of royalties, I will sit and do nothing but drink a glass of wine and read...until the kids come home, that is. Congratulations!
It's a very exciting way to look at things. Everyone focuses on home runs, but when I realized that each book was an annuity, I remember thinking, "wow, I can bunt my way to success."
More incentive to write.