Even in this day of plastic credit cards and electronic fund transfers, the old adage still rings true: cash is king. Without plenty of if it, you find yourself in financial distress, struggling to keep your head above water. But when you have plenty of it, life is good-the sun is brighter, the sky is bluer, the grass is greener, and you just breathe so much easier. With that in mind, the only logical question to ask is how can we make sure we always have enough cash? Well, different people answer this in different ways. Some of their answers work-some don’t. Here’s an answer we’ve found to be correct for us: generate a recurring cash flow through real estate investing.
What I like to do is to evaluate my new team member based on the skill set that they have and then give them a starting point for building there discounted cash flow. Let’s first take a look at the evaluation process that I use, its important to note, this is all about them and not about you, and its all about setting them up for success long-term.
When you combine this strategy of Covered Call writing with ETFs, you create an effective way to generate consistent cash flow from the stocks you own, a way to reduce your cost base of your investments and way to ensure your money is always working for you.
The next step is to put together a business plan that will cover all aspects of creating and maintaining your business. Make sure to cover both short and long term goals. Establish realistic objectives. Be certain to cover as many details as possible. A thorough checklist is an important part of your plan. Another vital part of your strategy includes financial planning. You want to have a solid foundation. And you do not want to get yourself too deeply in debt. It is crucial that you have your bases covered at all times. Make sure that you have a source of income, even if that means working full or part time at another job while you are building your business.
We’ve found that when you put an automated system in place that asks for a referral every time to everybody that buys, your referrals go up and so do your sales. You can usually expect to obtain at least one new “referred customer” from every five new customers asked. That’s a 20% increase in business without spending a dime on marketing or advertising.
All of this is mentioned as part of exactly what you need to be performing to evaluate and turn into a higher stage business owner. Folks using a greedy mindset are doomed to failure. Those who have belief in their property and make it the very best it can be tend to be more likely to succeed.
Some businesses set both sales and gross margin targets for their sales people and entrust them with the information to measure their progress. Checks can be put in place to have a level of “discounting” or “rebates” that the sales person is able to offer without going back to the business owner/manager for every sale.
Being afraid to succeed really occurs on a deep level within your subconscious mind. It can be associated with a fear of the unknown; fear of the changes success will bring to you, and the steps you need to take to become successful. It can be quite complex and requires a great deal of self-evaluation to assess if this is the reason behind business failure.