No matter your skillset, there are several types of businesses that let you earn passive income without a major financial commitment.
Despite what some passive income proponents would have you believe, you generally do have to spend some money to make money. But there’s no rule that says you have to spend a fortune.
While operating a side-hustle business can often occupy your free time, setting up a source of passive income is a way to boost your income without sacrificing as many leisure hours—and can even lead to a full-time business. And while there are several ways to generate passive income with a sizable investment (such as dividend investing and acquiring music royalties), not every passive income side business demands that. There are, in fact, several methods to boost your earnings without a major financial commitment.
Here are five passive income opportunities that you can get up and running for as little as $1,500 (and sometimes even less).
Short-term rentals
The rental field is a tree with lots of branches. The most well-known option, of course, is renting out a second home or a spare room through Airbnb or Vrbo. Short-term tenants can cover not only your monthly expenses on a property, but also net you a profit.
If you don’t have a second home or don’t want to invite strangers into the house you live in, though, there are still plenty of alternative routes you can take. Swimply will let you rent out your pool to people looking to beat the heat.
If you’re, say, telecommuting but have the rights to a parking spot in a prime part of town, there’s a way to monetize that with minimal effort. Platforms like Neighbor, Spacer, and SpotHero let you rent out an unused parking spot. The up-front expense is considerably lower than, say, renting a property. And you’ll have a wide variety of potential customers, from workers who don’t want to hunt for a spot during the work week to tourists or shoppers who could explore high-traffic areas at night or on weekends.
You can even rent your power tools via a Facebook page or sites like Cloud of Goods.
Online courses
A course library is a way to impart your knowledge in a particular field or skill, in this case through a series of pre-recorded courses. “Creating an online course lets you package your skills into a product that can be sold repeatedly,” says Navy Federal Credit Union. “Whether it’s cooking, coding, or creative writing, there’s likely an audience eager to learn from you. The upfront time investment can be significant, but it can generate income for years to come.”
Vending machines
You can pick up a used or refurbished vending machine for as little as $1,000, if you’re patient and shop wisely. Spent a couple hundred dollars more to stock it and you can quickly recoup your investments and see profits. The U.S. Chamber of Commerce points out that the retail vending machine market is projected to grow at a compound annual growth rate (CAGR) of nearly 4 percent from 2025 to 2030, “making this an attractive space for a potential passive income revenue stream.” How much you can earn will depend on your offerings, profit margins, and foot traffic around the machine.
“The key is finding good locations and keeping the machines stocked and maintained,” writes Navy Federal. “Consider offering healthier options or unique products to stand out in competitive locations.”
Digital artwork
Demand for digital art is on the rise, with a CAGR of roughly 14 percent between 2024 and 2032, according to the Chamber. If you’re artistically (or photographically) inclined, this could be a good way to generate passive income. Using sites like Etsy, you can offer your art as a digital file, which buyers can print, based on their needs.
“Be sure to research the platforms’ policies and requirements where you choose to sell your artwork, as different platforms take different percentages—and some may even claim ownership of your art,” warns the Chamber. “You’ll need to understand copyright and intellectual property rights, avoid using the trademarked work of others, and familiarize yourself with the concept of fair use.”
Notion templates
Structure helps in the chaotic early days of a startup. Founders who have succeeded can put together Notion templates that provide a framework for other startups, focusing on everything from team collaboration to project management. There’s no one-size-fits-all in any field, of course, but putting together a template that managers can modify to their own needs is one way to attract a customer base. You can sell these templates on the Notion marketplace or open a shop on Etsy or Shopify to begin earning.
—Chris Morris
This article originally appeared on Fast Company’s sister website, Inc.com.
Inc. is the voice of the American entrepreneur. We inspire, inform, and document the most fascinating people in business: the risk-takers, the innovators, and the ultra-driven go-getters that represent the most dynamic force in the American economy.