PASSIVE income is defined as an income received on a regular basis, with little effort required to maintain it.
The easiest way to gain financial independence is to reconfigure your life so that a substantial portion of your income is not actively earned by your labour.
Things such as rent from real estate to trademark licensing fees for characters or brands you’ve created or royalties from books, songs, publications, or other original works, can be among the ways one generates passive income.
However, escalating property prices and their high down payments or the lack of creative juices can be stumbling blocks.
Massage chairs, on the other hand, now offer middle-income Malaysians an easier route to generating passive income.
According to N. Manohar, chief executive of Sunner Group International, the trend of people getting a quick massage in shopping malls, airports or even at hospitals, is growing.
Sunner Group is one of several companies involved in the business of placing massage chairs in public spaces.
“A few years ago, we saw a company renting out these (massage) chairs. We wanted to purchase the chairs from them and offer it it to middle-income Malaysians as an investment opportunity,” said Manohar.
However, the company that Manohar approached declined his proposal, which prompted Sunner Group International to import their own chairs from China.
“The chairs are much like the top-end massage chairs sold for use at home, but commercial chairs come with vending slots and provide information on how much of money is already collected for a period of one week,” said Manohar, who added that Sunner Group International initially invested RM50, 000 to start the business.
“Much like home-use chairs, commercial chairs are also sophisticated, but vary a little in technique from one make to another,” he added.
The company started importing its chairs in 2011 and it has received good response ever since. According to Manohar, in its first month alone, the Group sold approximately 40 chairs.
“Excluding the rent of between RM200 and RM300 for the space where the chairs are located, an investor can take home RM1000 to RM1,500 a month at any public venue where there are a large number of people,” said Manohar, adding that it is a sensible investment as the chairs cost between RM15,000 and RM20,000.
“Additionally, we have a very strong after-sales service team. Our company will maintain and service the vending massage chairs periodically to ensure they are clean and in good condition in order to offer excellent service to all customers,” he added.
The company also scouts for potential locations that provide the best returns on investment. Each Sunner Health station (where the chairs are placed) is able to transform an unused or idle space into a profit centre and the stations can be set up in almost any business premises.
Malls, hypermarkets, hotel lobbies, transportation hubs such as airports and bus terminals, and car wash centres are some of the more popular spots to place the chairs, said Manohar. Stop, relax and go
Sunner Group International’s massage chairs are designed to maximise revenue while providing comfort to the public.
The company says that its vending model is custom manufactured to the highest-quality industry standards and will provide users with trouble-free commercial service.
“Our top of the line massage chair is the Sunner Vending Massage Chair Recliner. It has the most advanced feature set for providing people with the most complete and comprehensive massage available. The position elevates your legs above the level of your heart to enhance circulation, reduces pressure on the spine and expands lung capacity,” explained Manohar.
Customers can pre-select five automatic programs that operate all the features of the chair at the touch of a button.
The leg rest is extendable eight inches to accommodate those with longer legs and to better target muscles and full body heat is used to provide deeper penetration of the massage.
“The vending massage chair is equipped to accept bank notes. Besides, the notes acceptor is also built with an intelligent sensor that can recognise and reject any bank notes other than Malaysian Ringgit,” said Manohar.
He added: “The vending massage chair will generate an audible alert once the user is sitting on the chair for duration of more than 30 seconds without inserting the required bank notes. Similarly, the alert will also be triggered 30 seconds after the massage session has ended and the user does not top up for extended usage”.
The future
Moving forward, Sunner Group International plans to have a showroom by the end of April to showcase its complete range.
“We are also looking to cater to the home user who wants to buy a chair for his or her personal use,” said Manohar.
The company also aims to sell an average of 50 chairs a month this year as they believe more and more Malaysians will see the benefits of a small capital investment in the current economic conditions, and as new markets start to emerge.
Manohar said the company is looking to explore the possibility of expanding to East Malaysia, Indonesia and Thailand this year.
According to financial gurus, passive income is what makes people rich and as simple as it sounds, there will be a degree of risk involved.
The more you educate yourself on the subject is the less risk being taken on, and the greater the returns.
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