I just joined the forum yesterday, so I'm trying to catch up. This thread is of particular interest - and I appreciate all the great comments and suggestions so far.
Although I've been a photographer for a very long time (40 years) I only recently began thinking of it as my profession. I suppose it started about seven years ago when the head of the Art Department at the University of West Florida was looking for someone to teach Photoshop ... and I got the job.
Today, I teach privately - seminars and one-on-one tutoring in basic digital photography & Photoshop. I also do custom PP work for some of the local pros, and an occasional photo restoration.
My actual photography activity consists of developing and marketing my own private work - primarily landscapes - shooting a couple of big events a year (a fishing tournament and a flower show), an occasional family beach portrait, and, most recently, photographing artwork for local artists.
My primary website is all about teaching what I know, but it also serves as a link builder and a source of affiliate income (google ads), referrals, etc. Not being - or wanting to become - a website designer, I've used what I now know is the most successful online business development service in the world. (If you're interested in learning more, please PM me).
I recently launched a new venture on Cafepress.com, and have my own gallery and sales site. It hasn't amounted to much yet, but these things take time to build. So I'm being patient.
Selling prints for events - like the aforementioned fishing tournament - is handled through my Pro Gallery on Shutterfly. This arrangement, or something very much like it, seems to be the only viable way to make money with event photography (Note to Tennessee Landscape: This would be especially appropriate for you and your interest in shooting football and hockey.) It's amazing to shoot a three day event, with two other shooters I've hired, collect all the files (about 1600 last years between the three of us), edit, select and upload ... and have sales being generated before the event is even over!
Unlike most of you here, I'm not interested in building a commercial photography business that's capable of supporting a family. I'll be 65 in a couple of weeks, so this is really just doing what I can to keep enjoying my passion for photography and for teaching.
But I'm convinced that a younger, more ambitious and more energetic person (are you listening Tennessee Landscape?) could use some or all of these ideas to build a very nice business.