Thread: One Trick Pony

Originally Posted by snowbank

another question in relation to my last one is this.........

what active income do you consider fastlane? in other words, money that you have to work for. $100k? $200k? $500k? I'd be very interested to hear from the handful of people on this forum who are definitely in the fastlane, what your thoughts are on this.

See this post for the answer.

http://www.thefastlanetomillions.com...read.php?t=449

Originally Posted by snowbank

The path I'm taking it may take several years to become a millionaire, yet I'm essentially guaranteed to become a millionaire in several years. However, if I altered my path a bit to try some other things out the potential is definitely higher, but there's obviously a learning curve. If I learned quick I could see making a million quickly. If not, maybe I slowed up my path, but I don't know if I consider the path I'm on the fastlane for what my goals are.

If you ARE guaranteed to become a millionaire in a few years, I don't see why it isn't fastlane. I don't know enough about your specifics to answer fully. I also know that your path is one that is much different than mine and would make me unqualified to give you an answer.

Some people work and save their entire lives to become a millionaire. That is slowlane.

The bigger question may be around what you will do with this money that you make.

Glad to see this post resurface - the point is SO important. Thank you, SteveO. I too am tempted by many different potential business ideas. It's amazing, it seems like once you start running your own business - you finally make that leap - all of the sudden it feels like you see everything as a viable business concept.

And while you might be capable of success in many different ventures, it is smarter to pick one concept, refine the process to that of a well oiled machine and continue to repeat the process over and over again.

A wise man once told me that, often, making money is boring! It is the beginning phase - the 'figuring it all out' and initial growth period - which is exciting. Once you execute the plan multiple times, you may almost get bored or become less entertained. This is when your mind starts to wander (gee, maybe I should start an internet business.....), when in reality, this is where the real potential for money making most likely occurs. Stay the course. Thanks again, SteveO. I need this reminder almost daily

Awesome post, I had never read it!

Rep++

I struggle with different opportunities, but I have printed on a piece of paper, hung on the door, that I read every time I leave the house --- F.O.C.U.S. - Follow One Course Until Successful

I never thought I would hear such great advice using the word pony, in my life...

Mr. Pink

Cactus Wren, Thanks for bringing it to the recently read area. I wanted to read it as well.

It seems the first question in business is about capacity? Mental capital, physical capital, and financial capital are all just ingredients. It should have been the first question in going to war in Iraq! It is the first question before designing the electrical for your new house. etc etc etc Capacity changes with confidence, education, maturity, etc

I always try to look at the big picture before detail, context before content, framework before reconcilitation, general before specific, etc. There is a sequence to every approach, yet the path is the same or universal. Wealth and money are a good measuring device because it is what the system values and is brutal if you take a loss, it is amoral so it makes you look at the truth of why you lost. By the same token it is not inclusive of all learning but the penalties are real (celestial boot camp) and success can be measured.

The bigger picture is based on value, which may produce short term cash or kick in billions in 20 years. By the same token in the 19th year you may come up one indicator short and make nothing. What drives you? Its what you learn. If you are making nothing along the way it usually means you are off the path. The path is not that exacting for large wealth but more so for small wealth (one million).

On earth there seem to be only 2 generalist professions - Accounting and Law - Numbers and Words. The path will always involve these to powers and I mean powers!!

Originally Posted by unicon

It seems the first question in business is about capacity? Mental capital, physical capital, and financial capital are all just ingredients.

The primary point that I was trying to get across would deal more with the physical and mental capacities. It is easy to get sidetracked and move towards something else that has not been thought through as well.

An example: Let's say you have been researching small strip malls in Birmingham. You have done all the market research and have narrowed your search to certain primary locations. You have studied what makes a strip mall successful and understand lease rates and typical terms for the area. You already have one in place and it is performing well for you. You also know based on data that retail performance is looking to grow in the near future (not the current status, just an example). You are watching the market for another deal that fits your parameters.

Now someone comes along and shows you an apartment building that is mismanaged in Denver. The price looks good but you know nothing about the market or apartments for that matter.

Do you have the time and resources available to get to understand this? Will your current plan take a hit with all the time and energy you would need to dedicate to this project?

These are the questions that need to be asked. Usually there are deals that can be found in many different fields. How much capacity to you have at your disposal to research and put a plan in place for all of them? My opinion is that if you want to buy apartments in Denver, you set a plan for this and research the area well.

On earth there seem to be only 2 generalist professions - Accounting and Law - Numbers and Words. The path will always involve these to powers and I mean powers!!

You need to understand the numbers and basic law behind your plan. Hire professionals to help get certain aspects in place. Look to see what the numbers can do for you.

Steve in reading your posts it seems you are very good at delegating to control so many units, you are efficient, you speed up the velocity of money, you are organized so you are conquering time to a degree. I own a few and it has taught me alot. However when I first got in real estate years ago and made subtantial money as a "young guy" I thought it was to easy - so I had to buy a business. Thats when my learning compounded, not so much for making money but the life lessons. It might have been somewhat self destructive.

In looking at the ideal if you want it bad enough, you could make a leverage buyout and control even more wealth. If you truly believe you can do this the money is going to be hugh but you must decide how much time you are willing to expend out of your life (and capacity).

A detail example may be evictions, you might be so big you never personally got involved in many. There is a local guy in my town who is a competitor (for lack of a better word) who owns a little over a 100 units. My lawyer told me he always pays them to leave within a week. I never pay a low life for screwing me (excuse language) and have participated in well over 50 eviction going to court myself. Not only did I learn about the "System" it taught me how to fight major battles which I win virtually all and I am talking six figures. Also it gives me the courage to look at many different types of deals for overall efficiency in owning property (residential, commercial, industrial, apartments). The mix is powerful in itself and also actually controls a geographic area to a degree. Each acquisition actually clarifies the path as my vision capacity increases. I never sell.

By the way, my competitor's philosophy works for him, but his capacity is small. He could never do what I do not because he isn't a great guy, a smart guy, he doesn't have the commitment to go to the mat. Because I can see this I can see limits - this is important in business deals, negotiation, etc.

If you want to get out of a traffic ticket enlarge the picture, take on the whole system, force them to think. Their response will always be to make detail their god. The devil is in the detail. Details are reconciling items only and no god.

I attempt to go down the path as it shows itself. Balance is the most important practical tool for discipline yet it is not easy with regard to capacity questions. So I will usually dig out a concept to make the decision. Like "Perfection is somewhere in between" so I don't bite off more than I can chew at certain timing.

Finally sometimes down the path I must do something I hate to do and I do it anyway because it is really a future economic gain and the learning will compound.

No lawyer does evictions as fast and as cheaply as I can now, so what fears 90% of landlords is virtually nothing for me, I have actually figured out how to make money off it (another story, another time).

MJ (founder of this forum) wrote about Trump vs RK and he is 100% right in evaluating Trump. It is easy for me to see Trump's boundaries and limitations. On the other hand I am intriged by RK, M Scott Peck, etc and would thirst to hear what they had to say next. This obviously has very little to do with money in the short run. The long run is a different story.