Locally, we have a street newspaper called "The Contributor" that is published/printed for free and given to the homeless and formerly homeless as a means of income. All papers sold are 100% profit and the usual cost is $1.00 although many receive addtional donations in the form of tips, free food, clothing etc. They started out about 2 years ago standing at major intersections holding up papers with various signs describing their hard-luck stories. Since this city has a long history of volunteerism and helping the needy, it wasn't long before the vendors started showing up in more obscure locations such as storefronts and government buildings. Currently it is the exception rather than the rule when a vendor isn't stationed near these locations. According to one of the directors of the publication, their top vendors average about $2/paper including tips and sell and average of 1200 to 1400 papers/month. I don't think that I am going out on a limb when I say the this is also 100% tax free since it is basically untrackable revenue.
While this has certainly lessened the number of outright vagrants standing in front of gas stations and the like, I did notice one interesting phenomena. Some intersections have no less than 1 vendor/corner for a total of 4. Usually these are prime locations but sometimes they are at less-traveled intersections such as near a liquor store. One can make their own assumptions as to why.