Archive | August, 2012

No Goal, No Plan, No Success

25 Aug

It’s a simple equation No Goal, No Plan = No Success.

Do you remember learning to ride a bicycle?  My bike had stabiliser wheels and I hated them.  I remember nagging my dad to take them off my bike.  When he finally took them off the first thing I did was fall off my bike, time and time again but I was determined the stabiliser wheels were not going back on.  I then set about proving to my dad that I didn’t need them. Glad to say, they never went back on my bike.

I had a goal to get rid of the stabiliser wheels.  I had a plan to prove to my dad I didn’t need them and ultimately I was successful in keeping them off my bike and proving I could ride it.

Investing is very much the same.  If there is no goal to aim for; no plan to achieve then there will be no success for your future wealth.

Statistics show that 7% will achieve sufficient income in their lifetime to allow them to retire on a comfortable pension.  1% will retire wealthy. In reality this means 92% of the population fail with their finances.  But it needn’t be the case.

I’m a believer in simple steps towards building your financial wealth. For instance £2.73 invested each day could make you a millionaire. (See previous posts)  Eventually, contributing nothing else your investment could grow to be worth £23 million.  Just from saving £2.73 a day into the right type of investment. Most people – the 92% who fail financially – will dispute the figures.  The remaining 8% will take some form of action and be able to retire comfortably.

Goals do not need to be complicated.  Your goal could be to pay off the debt you have on your credit cards in five years time.  It could be that you want to have £10,000 in a savings account.  How about a new car or a luxury holiday? 

Whatever, you want in the future you need to have a plan to get there or in the future you will still be hoping and dreaming but not getting anywhere. A plan is simply a stepping stone to achieving the end result.

In my belief that you can keep things simple and achieve great success, I attempt to make my plans as automated as possible.

One of my goals is to have £1 million in my ISA account.  To achieve this I have a plan to put X amount into the cash component of my ISA each week by standing order. Then, once a month I buy shares and reinvest the dividends. Let the compounding magic kick in.  Result is that I am on target to achieve £1 million in my ISA.  A simple plan having sound results

I love skiing and always wanted my own place in the snow. I decided on the French Alps and opened a bank account in France.  Each month I sent money to the account.  After 3 years of searching I found the perfect apartment for the perfect price and had enough cash saved to purchase it.  A goal and a plan equalled success.

Do you remember having dreams of great wealth?  They can be reality.  Put a plan together today and start working on it. It is never too late to have a goal for your future and a plan to achieve it.  Remember no goal, no plan = no success.  What are you waiting for?

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What is Lack of Knowledge Costing You?

3 Aug

Continuing on from last week’s blog today we are going to look at what lack of knowledge is costing you?

How much of what you learnt at school do you apply to your everyday life?   If you are like me, the answer is very little.  What I call my real education – the information that helps me to build my businesses and investments – comes from experience, seminars and reading as many self-development, finance and investment books as I can lay my hands on.

If my school teachers had taught me that saving £2.73 per day could have made me a millionaire by the time I was 37 years old I’m sure my life would have been totally different.  Ironically, I was 37 years old when I read the book ‘Making More Money’ by Noel Whittaker and Roger Moses explaining the £2.73 per day and compounding interest.  This book opened my mind to the possibility of how little regular investments, given time to work their magic, can make anyone a millionaire.  The quest was on to gain as much financial knowledge as I could.

Three years later I was introduced to Robert Kiyosaki, author of the Rid Dad, Poor Dad, books.  His seminars and books provided more options and ways to create wealth.  Seven months later I returned to the UK with a plan and a desire to become rich.  Borrowed £300 on a credit card and turned it into £10 million.

Lack of Knowledge held me back from achieving my dreams for many years.  Today, I make sure I read at least one financial or self-development book a month.  I attend at least one seminar a year. (Where I spend one, two or three days in a class room) and I go to half day or evening meetings several times a year.  I try to pick one idea and implement it into my routine, business or investments. 

Building my knowledge is helping me build my businesses and investments.  Building knowledge has helped me create a lifestyle many only dream of.

I know how lack of knowledge prevented me from achieving my dreams at an earlier age.  What is lack of knowledge costing you?