Why Business Owners Go Broke!
There is no doubt that Entrepreurs have talents that are unmatched. The Lord has created some beautiful people who are musicians, culinary experts, handy men/women, transporters, real estate investors, and more! Several fields create great income in today's economy that separates (Group 1) Entreprenuers from Employees. Those two groups evolve to (Group 2) Business Owners and/or (Group 3) Investors. Hey, we see what you are thinking. Entrepreneurs and Business Owners are not the same, as one works "inside" their business and one works "outside" their business where they have Employees or Partners that generate income at the moment they take the day off even with residuals coming in. Where do we start in this conversation that will generate a podcasts soon? Here are the first concerns:
1. Marketing: If you are known just in your area, you won't go far! People get tired and look for something new. Let the old inform the new and now you have a revolving door!
2. Campaign/Network: Who are you supporting? How many non-profits are you connected to as a resource and community events for awareness? People will bring the business to you! Question within this is how long do you plan to do this by yourself independently?
3. Personal Growth: Are you growing off your own Ego & Talent? Or are you incorporating ideas with trusted like-minded professionals. You should have a Center of Influence in and outside your field you can consult/confide in. Your life partner may not have the same interest as you and thats ok, but you should keep some conversations in house. This will be the realest thing you will have to tell yourself: STFU. Yes, that means some ideas don't need to be shared. The only way you share is in execution and building the plan with your circle that will see the vision when it starts coming together. At that point you have to stay focused. Hear the input, but stay focused on the additional side conversations and include outside thoughts if it gets you closer to your goal. (BONUS) Pay for it! Feel out others that have the niche and pay them. Have a professional do taxes and see things you can't! Ensure people have the credentials that can be held accountable, you don't have to do it all yourself even IF you have to use Artifical Intelligence to fact check your decisions. Only deal with those that stand on business, not just all talk with too many trades they jacked off instead of being the master of
4. Relationships: The community, People Who Make the World go Round. If they don't know you, you will never know them. Learn and adapt. Sometimes you have to learn from politics as it takes time and feeds the previous stated remarks. People quit because they fail at something called TIME. If it hasn't happened, wait for it by following through on PLANNED actions that produced results.
5. Finanical Literacy: This becomes the first & final straw. Nothing is FREE. We pay just for you to read this rent free thought you agree with or not. Many use Banks, Stocks, Investments and for some reason forget the 4th Home of Money which is and always will be #1. Noone will tell you and most likely you weren't open to the conversation. Insurance is the 4th Home of Money. This is one of the reasons many go for broke. When you started this process you could have been earning money as a Employee, Entrepreneur, Business Owner and Investor. People go through all groups and lose it all or find out too late. 10% figures it out and are set for generations. If you could put your money into a insurance policy protected from lawsuit, taxes and much more, but we told you could borrow at one of the lowest percentages and still keep 100% of your money in a growth vehicle...... we would wonder how much you would want to borrow or withdraw. Many get the commissions or sales and run directly to the bank. The bank puts the money in insurance for their growth. Why can't you put the money in the insurance first yourself, THEN take out what you need to pay expenses and more. Replace the money you took out the next month to rinse and repeat? That's true banking. And all that time, it appeared as if you borrowed 1 month of payments that never left the policy and grew with the original amount/the current face. If you can't grow your own money, why are you in business? Not even a church has free anything. They pay insurance for the building, utility bills, staff and much more like you. Even a hurch fails to learn about Key Person Insurance where they could cover the pastor and transfer it to the next building wealth (Hmmmm). Consider learning about the 4th Home of Money and don't go broke spending dollar for dollar taking risks with ALLLLLL your eggs in one basket. Risks you can afford to lose are the only ones you can afford to take. If your business partner died, are you ok if their spouse took over the business? There is a policy for every situation on top of grants and much more. All of these concerns are everyday situations to consider now or later. Put financial literacy at the top of your list!
We hope you were able to say you have all the tools you need, but if not please contact us here at Legacy Smart Group-Financial Solutions. And don't forget to add Trusts to your Things-To-Do lists! Build Business Credit as well as Personal Credit. Have a great day and thinks for reading our BLOG.