Well, as I mentioned before, we actually lifted off before we reached the launch pad …. ooops :(
But, in personal finance – thus, this ‘grand experiment’ – we’ll actually be doing a lot of back-tracking even as we move forward at great (I hope!) speed …
… in fact, some horses have jumped right out of the gate so fast, we’ve had to gently coax them into slowing down, just a tad ;)
Horses and rocket ships? Now there’s a broken analogy, but it’s all in a good cause, because:
As promised, we are now moving into MM201
For at least a few of the 7 Millionaires … In Training! the past few months has seen a confirmation that their MM101 strategies are sound (but, I don’t know any who shouldn’t have made at least a slight shift in their thinking?), but for others, change is required.
I’m retired at 49 [AJC: and, I intend to stay at this age for my 'blogging persona', much like a perpetually 10 y.o. Bart Simpson] … if I had this advice in front of me when I started out (probably in my mid- to late-20’s would have been the right-frame-of-mind time for me), I would be retired before 35 and be living my Life’s Purpose already …
…. it really is just a 7 year project IMHO, give or take a little :)
Some of the keys that we have learned already are to:
1. Set a solid base (bankroll management, respect for money, delayed gratification) without going over the top (it’s just not necessary to live totally ‘frugally’)
2. Have a very clear understanding of the ‘why’ (your Life’s Purpose), the ‘what’ (your Number), and the ‘when’ (your Date)
3. Select the right ‘how’ i.e the MM201 ‘tool/s’ that are most appropriate for YOU to get YOU there
… the ‘who’ is pretty straightforward: it’s only YOU who can make this happen!
This is a great time to sit back and really reassess your NEED to reach your Number by your Date … if the back of your head doesn’t tingle whenever you think of it, you’re probably wasting your time even trying.
Now, assuming you DO have the burning desire to get ahead, the real ‘riches’ of this experiment are still in front of you: everything up to now has been on 1. and 2., and – while we will review these two areas every so often – the gates on 3. are about to open!
1. Pull out your old notes and take another look at your Number / Date and most importantly the Compound Growth Rate that you need to get there. What are they?
2. Take another look at the table by Michael Masterson and affirm which ‘tools’ you think will help YOU along the way; remember, this table is just a guide (ideally, you should select the LOWEST compound growth rate tool that you have some affinity/interest/passion for. Why? It’s probably the lowest risk tool for you …)
3. Review your “passion table” (the areas where you earn/spend/do/ and/or have special abilities)
I want you to get pretty clear in what you are planning to do to get to your Number by your Date; for example, if a business, specifically WHAT kind of business and HOW (buy, start, etc.) … you’ve had a long time to let this sit in your subconscious (which is why we started looking at MM201 then back-tracked to MM101 for so long) … don’t be shy, spit it out!
If you need help from the community, join in with a comment right here, or tack onto any of the 7MITs who you feel most comfortable communicating with and alongside (that’s why I chose such a diverse bunch) to ask for (and get) the help you need. Then, let’s get our ‘growth engines’ selected and, specified …
… in fact, I want you to think of this as going out to tender: if you were to ‘buy’ the tool that got you to your Number on (say) CraigsList, how would you write the Wanted-To-Buy listing for it; for example, I might have said:
Operating manuals for one business in the call center services field (manuals only, as I intend to start this business from scratch); would also consider IT or services-based business models, but no manufacturing businesses or businesses intended to run as a sole-proprietorship, please. Has to be able to be modified with good processes and IT (that I will develop) to make more efficient (a.k.a. profitable).
Has to have potential for rapid expansion across many countries via franchising or strategic partnerships (ideally Australia to develop the business, then New Zealand to test the ‘franchising’ model, then roll out to USA, then UK, then possible key countries in Europe). Must come with good potential for cashflow that can be applied to residential RE investments (apartments) and commercial RE investment (including owning the building that the business resides in). Must be saleable to a large multinational or have IPO potential.
Big houses, flashy cars and first class travel not mandatory. Genuine enquiries only. No Business Brokers, please.
… I’m sure that you can do a MUCH better job than me!