Monthly Archives: August 2013

Today’s Media

You are what you read, watch, listen, and study.

What are you filling your brain with?

The world is full of negativity; and apparently America digs it.

Don’t watch the news.  When was the last time you watched the news and felt good about yourself, others, and/or the world in general?  Rarely if ever!

Instead of watching the news, read books of things that interest you.  Listen to and watch podcasts that teach you how to act upon your passions and dream.  Study how you can reach your goals.

Do I watch tv? Very minimally.  And when I do it is either a tv show that is on Netflix such as Breaking Bad, or ESPN.  I stopped watching the news a little more than half a year ago.

Media is a business. They are going to show and put on the news things that will attract eyeballs, and in America, people are infatuated with the negative, they get caught up in it.  FoxNews, CNN, MSNBC are a few that drive me nuts.

The politically world being what it is today, is causing me to be completely unplugged.  When in airports and these shows are on I always listen to what others around me say.  Their reactions intrigue me and this is exactly what is wrong with America today: People do not listen to what the person speaking has to say; they instead see the little (R) or (D) after their name and immediately judge – “Oh, those damn Republicans” or “Man, I hate those Democrats.”

If you get caught up in that, you will never accomplish what you are destined.  The world has been the same for thousands of years.  And it will be the same for thousands to come.  How you ask?  This world is always filled with opportunity mixed with difficulty.

Take advantage of every opportunity by continuing your education yourself.  Read, write, study what you love.  Turn your passion into something that helps the greater good, and in return you will live a good life.

Just turn off the news!


Setting Goals

Many times people overshoot.

What do I mean?

I believe in huge goals.  Big Audacious Goals (B.A.G.s), in fact I have set many for myself and I expect you to set them for yourself as well.  We all know that being realistic is a high-speed freeway to a life of mediocrity.

But how are you setting your goals?

The most successful people in the world create business plans and goals that reach out 20 and 30+ years.  You have to be able to cast a vision that far out for you to reach your B.A.G.

Here is the problem with many peoples goals and their overall outlook: A majority of people overestimate what they can do in a year and underestimate what they can do in ten years.

Why do people do this?

The human race wants to be instantly gratified.  They want what they desire, and they want their desire to happen now.  For many, this leads to very quick disappointment and a thought process of; “I’ll never get there.”

Instead, look at it in a different perspective.  What can you do today, this week, that will get you what you desire in five years?  Take your B.A.G. and break it down.  Make daily, weekly, monthly goals, that help you get started towards that goal.  Not only does this help build confidence, but it will rack up momentum as well.

So never give up on your B.A.G., in fact set more!  But break them down, and take a step today, a step tomorrow and soon you will arrive.

3 Questions to Ask Yourself

Before any big decision in life, you most likely feel nervous; unsure of your ability to make the correct decision.  One moment you picture the best outcome and the next you picture the worst.  This happens all the time when looking at investments, relationships, where to go to school, etc, etc.


With over analysis comes paralysis.  And there is nothing worse than not making a decision.

Here are three questions to ask yourself that has helped me through many situations.

1) What is the best thing that could happen?

2) What is the worst thing that could happen?

3) What is the most likely to happen?

This can help you visualize how much risk you are taking.

If the best thing that can happen far out weighs the worst thing that can happen – go for it.  But, do not forget about the most likely thing to happen.  Too often people only look at the absolute best and worst outcomes, ignoring what is most likely to happen.

So the next time you are facing a potential life changing decision, ask yourself ALL THREE of the above questions.

Your Business Team

If you have ever played sports, if you have ever coached sports or are an avid sports fan; you understand how important the team really is.

Running an AdvoCare business for almost a year and a half, I have seen many people succeed, but also a few fail.  Both are often correlated to how often, and how effectively they decide to use the team which got them involved.

I have used, do use and will continue to use my entire AdvoCare team to build my business to greater and greater heights, helping more and more people.

On August 30th we are closing on a four-unit rental property – in large part because of our team.  We are the Founders of our own app, in development, SkeePet; and Co-Founders, with a group out of Silicon Valley, of Vet24seven, which will be featured on Indiegogo in mid-September.

I can’t stress enough, in those three cases, we have a GREAT team around us.

I will use our real estate project for an example.

The core team members of projects such as these consist of a realtor, an inspector, a contractor, a private lender, a quality attorney, and an insurance agent.

To start with, the four-unit we are closing on was purchased for $197,000 and it’s appraisal came in for more than $225,000.  That is essentially $28,000 put into our back pocket.

Yes, this is due to our persistence, but mainly because our realtor did a fantastic job.  We are picky when it comes to investments like this.  She’ll admit, we make her work for her commission since we look for undervalued properties to garnish a higher return.  In 2010 we bought a commercial property, 35 cents on the dollar, through her.  From that point, until now, we must have gone through 100+ properties to find the right one.  The property fell into our lap because our realtor knew the woman (another realtor) who was selling.  We were the only ones to look at the property, no one else even knew it was for sale! Our relationship with our realtor, teammate number 1, paid huge dividends…for a second time.

Once we found this four-unit we knew it had some pretty minor fix ups to be done.  But to find things we might have overlooked we had our inspector check it out.  He found three things that we would not have noticed.  Thank you teammate number 2.

To complete the fix ups, correctly, we got our contractor involved – who previously built one of our buildings.  He took a look at the inspection report and gave us an estimate of what it would take for him to fix it up.  We know he does quality work and that his estimates are dead on.  Teammate number 3 will begin work four days after closing.

After talking to many banks and being unsatisfied, we came across a private lender in Madison, WI.  They, hands down, gave us the best terms: 30 year amortization, 7 years locked at 4.25% (awesome for investment property), and a 20% down payment. Teammate number 4 will probably get more investments from us in the future.

Our attorney.  We have used him for nearly 10 years now.  Real estate law is convoluted.  This guy is experienced, high quality, tough nosed, and smarter than a whip when it comes to deals like this.  Yes we pay a premium for him, a premium many would not be willing to pay, but it is important to get this part right.  You do not want to overlook a document and be backed into a corner three, ten, or fifteen years from now.  Teammate number 5 is definitely worth every penny we pay him today.

Last but not least our property insurance agent.  He protects us incase something happens to our investment and we have to rebuild.  But he also protects us in case a third-party member gets injured on our property.  Without proper insurance, you could be left devastated.  Thanks for protecting us teammate number 6.

All this being said…it is always about the team!

If you have a passion, a dream, a desire to live a different life than many around you – share your thoughts with others!  Create a team.  Surround yourself with team members you are confident in, who make you better, who can help change your life forever.

NEVER keep your passion, dreams, your personality wrapped up…LET THEM SHINE!

Financial Freedom – Understanding Financial Statements

Ever wonder how people can become financially free?

Yeah, you have heard stories about your neighbor’s, uncle’s, best friend’s, friend traveling when he wants to where ever he wants; doing activities he wants to do on his own terms.  Often times those type of people get labeled as the “financially free.”

Financially free is when you have more money coming in than money flowing out by “working” significantly less or on your terms.

How do people accomplish this, and how can you?

Step one is understanding your income statement(s) and balance sheet(s); and how they coordinate with each other.

Just recently, for the second time, I finished reading three of Robert Kiyosaki’s, “Rich Dad, Poor Dad” books.  These are three of my favorite all time books, reason being – he does a hell of a job making you understand these financial statements and how they really do apply to the type of life you live.

(All of the following graphics are from Robert Kiyosaki’s books)

The graphic above shows four different ways you can have an income.  To be financially free, you ideally want to be on the right side of the quadrant. The “B” and “I” quadrants mean you do not have to be present to have an income, it is literally your money working for you.  You also are allowed certain (legal) tax breaks that the left side of the quadrant does not have access too.

For example.  Those who fall on the right side of the quadrant can invest in paper assets (stocks), real estate, etc, etc, with before-tax dollars while those who fall on the left have much less to invest because they must use after-tax dollars. (One of the MANY examples)

Where do you currently fall?  Where do you want to end up?

The top two, vertical boxes in the above graph resemble an income statement.  The bottom two horizontal boxes resemble a balance sheet.  This graphic shows a person who has, or is on their way to, financial freedom.

Do you see why?

Their income comes from assets such as, a rental property. They take the income from the rental property and pay the mortgage, taxes, insurance and all other expenses (which also deducts their taxable income) that come with owning property, distribute some to themselves, and reinvest the rest into their asset column.  This is why the “rich get richer.”

Who’s financial statement is above?

It certainly looks like someone who may be caught in the “rat race.”  This person has one source of income, and that is as an employee.  They do not have any income from assets, a business.  They might be struggling month to month with bills, car, house/rent, credit card payments, etc, etc.  Not to mention, they have to answer to a boss.

So how can this person turn their balance sheet around?

One way might be by taking a passion, starting a business and running it part-time to begin with.  Once they begin to get a positive cash flow from their idea, from their passion, they can take before-tax dollars and invest it into their asset column and they are well on their way.  They have begun their journey towards financial freedom.

I definitely recommend Robert Kiyosaki’s books and reading them in this order:

Rich Dad, Poor Dad          Rich Dad’s Cashflow Quadrant          Rich Dad’s Guide to Investing