Why Creating an Online Course for Passive Income Isn’t the Best Move for New Coaches (And What to Focus on Instead)

I know the idea of creating an online course that brings in passive income sounds like the dream, right? You get to make something once, and then it magically brings in money while you sip your favorite latte and chill by the pool. Sounds amazing, doesn’t it?

But here’s the hard truth: If you’re a new or new-ish coach, jumping into course creation might not be the golden ticket you’re hoping for. In fact, it could end up being a major time suck and leave you feeling frustrated when it doesn’t take off like you imagined.

So, before you dive headfirst into building that online course, let’s have a real talk about why it’s probably not the best idea right now—and what you should focus on instead to grow your coaching business faster (and with way less stress).

1. You Need Clients, Not a Course

When you’re just starting out as a coach, your #1 focus should be getting clients. Why? Because clients give you the real-life experience you need to become a better coach and truly understand what your audience needs. Without that, creating a course is like trying to guess what people want—without having any proof that it’s what they’ll actually pay for.

Coaching clients one-on-one gives you valuable insights into their challenges, questions, and desires. These are the building blocks of a successful business and will later help you create the right online course, but not yet.
Focus on learning your audience first. The more you work with people directly, the more you’ll understand what they really need help with, what language resonates with them, and how to serve them best.

What to do instead: Build your client base and gain experience. The more clients you coach, the more you’ll learn about their problems and how to solve them, which leads to better (and more profitable) offers down the road.

2. It’s Not as Passive as You Think

I know the term “passive income” gets thrown around a lot in the online business world, but here’s the reality: Creating a successful online course is far from passive—especially in the beginning.

Creating the course itself takes tons of time and effort. We’re talking about research, scripting, filming, editing, creating workbooks, setting up sales funnels—the list goes on.
Marketing the course is where the real work begins. Courses don’t sell themselves. You’ll need a solid marketing plan, a list of potential buyers, and ongoing promotion to keep those sales coming in.

And here’s the kicker: If your course doesn’t solve the right problem for your audience (because, let’s face it, you’re still figuring that out), all of that work could lead to… crickets. No sales. Frustration. And a lot of wasted energy.

What to do instead: Focus on building up your expertise and credibility. When you’ve worked with enough clients and understand what they truly need, then you can create a course that’s far more likely to succeed.

3. Courses Work Best When You’ve Already Built an Audience

The coaches you see making money from online courses? They didn’t start there. They built their audience first. They spent time nurturing relationships, establishing themselves as experts, and getting to know their community. And because of that, when they finally launched their courses, people were ready to buy.

If you don’t already have an engaged audience who knows, likes, and trusts you, selling a course will feel like shouting into the void. And trust me, that’s not fun!

Building an audience takes time. You need to build trust with your community and prove that you can deliver results.
Your audience needs to be warmed up. Before people will invest in your course, they need to see you as someone who can help them. That takes consistent content, engagement, and real connection.

What to do instead: Focus on growing your audience first. Share valuable content, connect with potential clients, and build trust. When the time is right, your audience will be more than ready to buy from you.

4. Your Messaging Isn’t Clear Yet (And That’s Okay!)

Let’s be real: As a new coach, you’re still finding your footing. You’re refining your niche, clarifying your message, and learning what resonates with your clients. And guess what? That’s totally normal!

But here’s why that matters: If you’re not 100% clear on who you serve, what problem you solve, and how you solve it, creating a course is going to be an uphill battle. You might end up creating something too broad, too niche, or too confusing for people to see the value in.

Your message needs time to evolve. As you work with clients, you’ll naturally fine-tune your messaging and figure out what truly resonates.
Clear messaging is key to sales. When you do create a course down the line, you’ll want to be able to clearly communicate what it is, who it’s for, and why it’s worth buying. Rushing into it before you’ve nailed that messaging will only make things harder.

What to do instead: Take time to work with clients, refine your messaging, and get super clear on what makes your approach unique. Once you have that clarity, creating a course will be so much easier (and way more successful!).

5. Focus on One Thing at a Time

When you’re starting your coaching business, it’s easy to get overwhelmed by all the things you “should” be doing—creating a website, posting on social media, building an email list, launching a course… the list is endless.

But here’s the truth: You don’t need to do all the things right away. In fact, trying to do everything at once is a recipe for burnout. Your focus should be on doing one thing really well—and for most new coaches, that’s attracting and working with clients.

Keep it simple. Your first priority should be getting those 1:1 clients and building up your reputation as a coach.
Courses can come later. When you’ve built a solid foundation, you can add courses, group programs, or passive income streams down the line—at a pace that feels manageable.

What to do instead: Focus on getting those initial clients, refining your process, and delivering amazing results. The rest will come in time.

Build Your Foundation First, Then Scale

I know it’s tempting to think that creating an online course will be your ticket to passive income and business freedom. But if you’re a new coach, it’s better to focus on building a solid foundation first. That means getting clients, honing your skills, and growing your audience before you dive into course creation.

Once you’ve built that foundation, creating an online course will be so much easier—and way more likely to succeed!

So, for now, stay focused on the basics. You’ll thank yourself later!