In this thread I make $1 million.

[DeletedUser394]

I haven't been around much this week, busy inking a deal.

It's single-handedly the craziest thing I've ever done. Unlike most progress threads, I'll tell you exactly what I'm doing AND provide the numbers behind it.

I won't go crazy specific, but I'll give you enough to take you along for the ride.

I'm currently leveraged to the max, so it's do or die time.

I now own 50% of a company that provides ultra high end concierge service to 1%ers. We deal primarily with oil and gas executives and foreign property holders in the city.

Currently have 3 employees, not including the partners (me included).

I've negotiated a contract whereby I have the exclusive right to sell my stake in the business for 1 million + capital gains repayment when the company reaches that valuation.

We've negotiated a predetermined multiple. All has been signed and notarized by various lawyers, etc.

I have the right to sell off percentages of equity to the parent company as I deem fit.

Why not hold? Because I have a plan for the money already and I don't want to be involved with this company forever.

I'm super busy right now, so I'll go into more detail at a later date.

Other than that I will update a minimum of once per month (or when large things happen).

So here is my balance sheet for May 2014

Note: I don't include personal possessions in the asset column. Not worth it. Also, the numbers are obviously rounded, other than for the Liabilities.

Assets

Venture $287,000
Stocks $20,000
Cash $800

Liabilities

Line of Credit/Loans $204,160
Credit Card (Non Consumer) $76,500

Net Worth (May 2014)

$27,140

 

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[Guest12120]

Sounds interesting. I'll be watching.


Sent from my iPhone using Tapatalk

 

[oddball]

Sub'd.
This seems like a very popular business. Too bad you weren't coming to Houston next weekend, I would have introduced you to me friend, he has had a contract for the past year as a CEO of a concierge service. Our age too, 21. I know another kid on Facebook that started his own concierge service. Best of luck Ryan.

 

[DeletedUser394]

The debt seems excessive, but I'll be able to cut it down rather quick.

Using a variety of models/calculations I'm hoping to generate around $50k/month (not actual dollars). That includes increase in value of business, debt repayment, personal income from this and other sources, etc. The majority of that will obviously come from the increase in value.

I do have another venture. It isn't worth anything because it's entirely time dependent - and MY time specifically. But I can allocate 100% of the profit from that to pay down the debt.

In a most optimistic and unlikely scenario, I can reach the goal in ~a year and a half?

 

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[GuestUser113]

*watching thread* best of luck!

 

[atro]

*watching* interested to see how this rolls out

 

[jon.a]

I've been waiting for this to happen.
Go kick a$$ kid!

 

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[Bigguns50]

@RichKid ... My Nephew works for a company in FL .... watches private homes. $1.0-5.0 + Million $ homes. PM me if you think this may help you. He did tell me 1 or 2 were in the oil / gas business.

 

[Andrew@Secret]

Subscribed. Good luck bro!

 

[pro]

What does $287,000 "Venture" mean? If you dont get more cash/AR on hand, you don't have enough cash to cover the interest soon.

 

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[Silverhawk851]

Subbed, looking out for this one!

 

[DeletedUser394]

What does $287,000 "Venture" mean? If you dont get more cash/AR on hand, you don't have enough cash to cover the interest soon.

Sorry for the delay.

The Venture asset value is the exact (rounded) number of what I would get if I were to sell today.

Not sure if I mentioned it in the OP, but I've got income rolling in from something else that I've been doing for quite a while. It's not worth anything because it's dependent on me (think specialist-type thing). That, combined with the stipend from this venture and I can cover most of the interest payments.

I'm actually afraid of what my balance sheet looks like currently. Definitely underwater at the moment due to some unforeseen events.

By the end of June, I'm either going to be slightly above or below, but I should be able to push through.

 

[DeletedUser394]

I have in my possession a check for just over $61,100. Granted I'm only entitled to a fraction of it, but damn... it feels heavy even though it doesn't weigh a thing...

I'm not dealing with the 'millionaire next door types', I'm quite honestly dealing with the biggest foreign douche bags imaginable, who believe that we equate to their slaves just like in their home countries. Sorry that ain't how it works here.

These people are generally rude, obnoxious and pretentious. Needless to say I don't want to be dealing with these people (at least in a concierge capacity) for too long, so hopefully we can ramp it up to the stratosphere quickly so that I can make my exit.

If anyone is curious, these are my observations from my interactions with the 'super rich' thus far;

Brazilians and the mainland Chinese are the most irritating of the bunch to deal with thus far. My guess is that it has to do with the cheap labor in their home countries so they expect the same in the West.. Complete lack of respect and a certain aura of arrogance that you can smell from a mile away.

Germans, Koreans, and Americans are nothing but class and down to earth in their requests and interactions. Friendly and appreciative.

Canadians have been hit and miss. Half great, half a$$ holes. The Brits have been a bit of both as well.

Also had a couple of native Kenyans (who were white) who were total pricks as well. In fact it was so bad that we were forced to blacklist the lot of them.

The craziest (and most nonsensical) request that we were able to do thus far was for a client that came to town to visit corporate hq. He didn't want the standard limo... he requested a helicopter pick up from the airport. The stupid part about it was that all we were able to do was land him at a smaller airfield and he had to take a limo from there anyway. Some people haha.

 

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[jon.a]

I have in my possession a check for just over $61,100. Granted I'm only entitled to a fraction of it, but damn... it feels heavy even though it doesn't weigh a thing...

I'm not dealing with the 'millionaire next door types', I'm quite honestly dealing with the biggest foreign douche bags imaginable, who believe that we equate to their slaves just like in their home countries. Sorry that ain't how it works here.

These people are generally rude, obnoxious and pretentious. Needless to say I don't want to be dealing with these people (at least in a concierge capacity) for too long, so hopefully we can ramp it up to the stratosphere quickly so that I can make my exit.

If anyone is curious, these are my observations from my interactions with the 'super rich' thus far;

Brazilians and the mainland Chinese are the most irritating of the bunch to deal with thus far. My guess is that it has to do with the cheap labor in their home countries so they expect the same in the West.. Complete lack of respect and a certain aura of arrogance that you can smell from a mile away.

Germans, Koreans, and Americans are nothing but class and down to earth in their requests and interactions. Friendly and appreciative.

Canadians have been hit and miss. Half great, half a$$ holes. The Brits have been a bit of both as well.

Also had a couple of native Kenyans (who were white) who were total pricks as well. In fact it was so bad that we were forced to blacklist the lot of them.

The craziest (and most nonsensical) request that we were able to do thus far was for a client that came to town to visit corporate hq. He didn't want the standard limo... he requested a helicopter pick up from the airport. The stupid part about it was that all we were able to do was land him at a smaller airfield and he had to take a limo from there anyway. Some people haha.

A book?

 

[DeletedUser394]

A book?

 

[Bigguns50]

Yea man...an idea to write a book from your experiences in business dealings with those cultures.

 

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[DeletedUser394]

Wild month of June. I don't expect much more action until July (July will be INSANE), so here's the end of the month breakdown a week early. We will be hitting July HARD

I sold off the stocks to cover the interest. I rolled most of the credit card debt into the line of credit. I should be able to pay off the credit card in full by July 1st.

Sitting on zero cash right now. Shitty.

Assets

Venture $370,000
Cash $0

Liabilities

Credit Card $15,000
Line of Credit $298,000

Net Worth

$57,000

I'm up $30,000 this month. Insanity.

 

[MyronGainz]

Crazy, my cousin is running this exact same business in UK and Dubai.

 

[mgore714]

Assets

Venture $370,000

Awesome! But how are you calculating the value of the venture? I know you mentioned before that this is the number that you could sell the company for. Does that take into account assets that you've purchased? Does it calculate the present value of future profit? Or is it merely a valuation on brand/goodwill?

P.s. Good luck. Hope you keep it up.

 

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[DeletedUser394]

Awesome! But how are you calculating the value of the venture? I know you mentioned before that this is the number that you could sell the company for. Does that take into account assets that you've purchased? Does it calculate the present value of future profit? Or is it merely a valuation on brand/goodwill?

P.s. Good luck. Hope you keep it up.

The value of the venture is determined by the previous months earnings and profit. I can only sell at a predetermined multiple (that was agreed upon by both parties).

Let's take the past 6 months

Last month counts for 30%
The penultimate month counts for 20%
and so on and so forth, and it refreshes every month, with the 7th month dropping out completely.

Summer months are naturally the busy season, so the biggest jumps will happen then.

 

[DeletedUser394]

Wow haven't updated this in a while.

I'm officially withdrawing from school. I like the social aspect, but dislike pretty much everything else. I'm going to try a 2 year technical diploma and see how I feel, but I'm done with the 4 year liberal arts garbage.

I've also taken up competitive long track speed skating. It's fun, good for the health, and people constantly stop me on the street to ask if I'm on the olympic team lol. It's a closed nit community so not many 'recreational' speed skaters.. fun times.

Other than that I passed $650,000 in assets. But I have a huge debt load so eh, we'll see how this goes.

No longer in the concierge business.

 

[AlterJoule]

That's it?

 

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[DeletedUser394]

That's it?

What?

 

[AllenCrawley]

I've also taken up competitive long track speed skating.

Pics or it didn't happen.

 

[sle3pyguii]

I've also taken up competitive long track speed skating.

Always wanted to try the sport. Seems pretty expensive, but awesome.

 

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[DeletedUser394]

Always wanted to try the sport. Seems pretty expensive, but awesome.

It's great! The only real expense are the skates ($500 for a pair of entry level).

The problem is location. You can really only do long track on Olympic sized ovals.. and to the best of my knowledge there are only 3 in North America.

 

[ebms]

Inspiring progress man. What programs are you thinking of taking?

 

[Mike Kavanagh]

I'm officially withdrawing from school. I like the social aspect, but dislike pretty much everything else. I'm going to try a 2 year technical diploma and see how I feel, but I'm done with the 4 year liberal arts garbage.

Honestly I don't understand this part.

What is your reasoning behind still going to school? Are you doing it for the social aspect?

 

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[DeletedUser394]

Honestly I don't understand this part.

What is your reasoning behind still going to school? Are you doing it for the social aspect?

I don't understand it either haha. Really just trying new things. The tech program would actually be directly related to any future business plans I may have, so I figured I'd try it out and see.

Social as well.

I have about 8 months to think about it though. If I can make something work before then then there's no point.

 

[DeletedUser394]

Inspiring progress man. What programs are you thinking of taking?

Gracias mi amigo! Most likely hotel management. I've been in the industry in one capacity or another for a few years now and in the future I'd like to run my own.

Generic 'business' degrees don't appeal to me, and neither do Liberal Arts degrees as I've just discovered in the past few weeks haha.