How Entrepreneurs Should Invest

Entrepreneurs, and especially Internet entrepreneurs tend to be really good at making money. We are trained to follow the money to start businesses that are made to produce as much money as possible. I think that's why most of us get into this game. But entrepreneurs, and again, Internet entrepreneurs are also notoriously bad for either keeping money or investing their money. So in this video I want to talk a little bit about investing for passive income and cash flow. Now, there's a very important reason why I say investing for that and I'll cover that in a second. But I have seen many, many entrepreneurs who are good at selling products or writing copy or serving their clients whatever produces their business cash flow. But they still have this sense of not being done, of not being safe, of not having enough. So they got to go out and they have to sell more things because they either A, live beyond their means or B, they don't have a predict source of cash flow because they are only making money by using their skill set or they're afraid that it's all going to go away if they've got a product that's selling well, either a physical product or a digital product that's making a lot of money. But one change could knock you on your rear. That's not a really safe place to be. So what we teach in freedom fast lane is how to build profitable businesses and invest the profits for passive income. Because I'm yet to see a better one, two punch and for creating financial freedom. And most entrepreneurs are notoriously bad at the investing piece. And if I were to give you one piece of advice on this, it would be when you're investing to only look at assets and investments that provide predictable cash flow. Now that seems overly simple, but when we look at how most entrepreneurs deal with money, they tend to be very risk tolerant. So in their investments they are more attracted to buying the Tesla stocks, Apple stock, and look, I love Apple. I'm recording this on an iPhone. I drive a Tesla. But those aren't the types of stocks that I will look at. Or some people will buy investment properties hoping that they go up in value. I live in Austin, Texas. There's all kinds of investors moving into town right now who are buying because housing prices are skyrocketing. I won't touch them. And here's why. Because when you're betting on something going up in value, you are speculating, you are not investing. The only good investment is one that provides cash flow. So when we're looking at stocks, it needs to be providing a dividend if it's real estate. It needs to make money on the rent. It can't just be banking on it going up in value. That's my number one tip for entrepreneurs when they're looking at how to protect their money and also grow the profits that they are making. Which leads me to what we invest in today, because today asset prices are so high, real estate prices are so high, stock prices are so high that cash flow is actually really hard to come by right now. That's why I have invited some of the smartest investors that I know to come onto a panel and share what they're investing in right now to talk about where the economy is going in 2017 and how they're protecting their cash flow, paying less taxes and also growing their wealth. I've asked my buddy Ron Fossum, who is probably the best I know at writing everything off and therefore protecting his tax liability. I've invited some real estate investors, Jay Massey, Jason Hartman, Jonathan Twombly, who all run big investment businesses and also teach that model. And I've invited my buddy Matthew Paulson, who has one of the biggest stock portfolios I know. And it's all based or from what I understand, mostly based in cash flowing stocks. And we're going to talk a little bit about all of those strategies at a panel at this year's Freedom Fast Lane Live, which is in Austin, Texas, December 9th, 10th and 11th. And the purpose of this is because talking about business is awesome and we're going to talk about that 80% of the time. But I think it's so important for entrepreneurs to protect their wealth, protect from paying too much tax and also growing their cash flow through their other investments. And that's the piece that nobody talks about in our space. So we're going to have a dedicated panel of some of the smartest investors that I know who are also entrepreneurs talking about it at Freedom fastlane live. It's December 9th, 10th and 11th. Tickets are available at freedomfastlanelive.com and I'd invite you to join us there this December. Hope to see you then.