RealWealthTalk

What is the connection between wealth and risk taking?

I contend that it is wise to spend money in order to gain knowledge and professional advise on how to be successful in your wealth building field of endeavor. It increases your chance of success, accelerates your learning curve, and expedites potential cash flow.

This has been called “building your platform”. It could be a Mc Donalds franchise (if you have over half a million to invest), the real estate field, stocks, a small business, or a presence on the internet via your own product, or affiliate marketing.  Your choice of focus is practically unlimited.

With respects to having a “platform”, let’s say you wanted to build a fishing guide business, starting out part time and evolving into full time.  Well, your “platform” could be a multi-thousand dollar bass boat, and a creative marketing plan for growing your business. BTW, as a sailor, I have always been amused by the tendency for fisherman to head to the other side of the lake to find a good fishing spot.  In so doing, they pass boats from the opposite side of the lake heading to their boat launch site side of the lake, to find their fishing spot.

So if your goal is to launch some income producing project, what is your platform? Let’s say you choose to become a real estate investor. Wouldn’t it be wise to invest in knowledge (pertaining to real estate) first? And if so, this can be very expensive.  A well known real estate millionaire and guru, Ron Le Grand, offers starter courses at low prices, but then attempts to persuade you to take one or two multi-thousand dollar courses.

Many of his students cringe at the prospect of spending that kind of money, to which he will state…. “If you think education is expensive, try ignorance”  So true… so true.

One internet option that intrigues me is affiliate marketing. It takes low capital to get started, you don’t have to create your own product, carry inventory, or ship product. And the commissions are typically 50% or more of any sale you make.  Not too shabby!

Regardless of the path you choose… the platform you select… it will cost you money to get started.  And one of the major cost factors is paying other professionals to help you get started.  And this is where the risk factor kicks in.

Here is what you typically find being offered by internet gurus:  $37 starter courses, more advanced “$297” courses, and then the $1,000 (correction: $999) course.  Note: $999 sounds more affordable than $1,000.

So, once you commit, you are taking a risk.  You could be very successful, or you could be throwing your money away. So let me offer the three axioms to risk taking, taught in Risk Management courses.

1.  Don’t Risk A Lot For A Little:

Would you bet the family farm for a chance to win $100, even if you felt the  odds really favored you?  If so, you would be violating the first axiom concerning risk taking.  You would, in fact, be risking a lot for a little.

2. Don’t Risk More Than You Can Afford:

No matter how good the opportunity appears to be, it is not wise to risk more than     you can afford.  If the transaction blows up in your face, you want to be able to          say “that stings but it won’t ruin me… I can recover… I can afford it”. And what a great learning experience that experience might prove to be!

3.  Know and Consider The Odds:

Often, this is the hardest of the three to quantify… to come to grips with, in terms of risk.  And the less you know what the odds are, the less you should spend… and maybe you should just walk away.

But wait!  There is a fourth risk concept:

                                      The biggest risk in life, is to take no risk at all!!!

No elaboration needed on this concept, right?  But it begs the question: Is that the kind of life you want to live?  A life of “no pain… no gain”… “no risk… no reward”!

Bottom line, I am encouraging my readers to take a little risk… very little… by spending a little bit of money to gain more knowledge on their chosen field of endeavor.  With that new-gained knowledge, they will have the confidence to invest more… thus accelerating their learning curve, and cash flow potential…. or shut it down and pursue another avenue.

Beware Of Scams!

The internet is full of business opportunities and ways to make money on line.  But bewared, many of them are legitimate, but some of them are either scams, or have very little marginal value.

So how can you protect yourself?  Investigate before you commit; do research (check references, check with the Better Business Bureau, etc).  Never respond to requests to transfer money.  Another example of an at home income opportunity to avoid is “envelope stuffing”.

Don’t respond to internet/email requests to “UP Date Information”. Scammers would have you believe you are dealing with your bank, Ebay, PayPal, or even the IRS.  They want your account information!

Rather than buying into an on-line business opportunity, why not create your own?  It is quite doable, if you commit to gaining the knowledge with the purchase of some on-line courses.

Remember:  If you think education is expensive, try ignorance.  Be prepared to spend some money on training and education.  It is money well spent, and it can change your life!  Just be cautious, and follow the Three Axioms Of Risk Taking discussed above.

So, in closing, why not kick this tire?  Click on the video link below.  It’s FREE, with absolutely no risk!  See if you find this internet marketing concept attractive.

Click Here For a Free Video Demo