So... my mind has shifted from using my business to getting passive income to using my business to make capital, wherewith I can generate personal passive income.
The cadence of product relevance in the software world is so short, we need to capitalize on quick growth, high risk, high return software endeavors.
Low risk software is a crowded space.
Tuesday 28 July 2015
Tuesday 13 August 2013
Start thy purse to fattening
Arkad instructs the men to begin by continuing to work hard at their current occupations, but for every ten coins placed in their purse to take out for use but nine. "Deride not what I say because of its simplicity," Arkad says, "Truth is always simple."
Arkad ~ The Richest Man in Babylon
Arkad ~ The Richest Man in Babylon
Male Logic
Woman:
Do you drink beer?
Man: Yes
Woman:
How many beers a day?
Man:
Usually about 3
Woman:
How much do you pay per beer?
Man: $5.00 which includes a tip
(This is where it gets scary !)
Woman:
And how long have you been drinking?
Man:
About 20 years, I suppose
Woman:
So a beer costs $5 and you have 3 beers a day which puts your spending each month at $450. In one year, it would be approximately $5400 …correct?
Man:
Correct
Woman:
If in 1 year you spend $5400, not accounting for inflation, the past
20 years puts your spending at $108,000, correct?
Man:
Correct
Woman:
Do you know that if you didn't drink so much beer, that money could have been put in a step-up interest savings account and after accounting for compound interest for the past 20 years, you could have now bought a Ferrari?
Man:
Do you drink beer?
Woman:
No
Man:
Where's your Ferrari?
Do you drink beer?
Man: Yes
Woman:
How many beers a day?
Man:
Usually about 3
Woman:
How much do you pay per beer?
Man: $5.00 which includes a tip
(This is where it gets scary !)
Woman:
And how long have you been drinking?
Man:
About 20 years, I suppose
Woman:
So a beer costs $5 and you have 3 beers a day which puts your spending each month at $450. In one year, it would be approximately $5400 …correct?
Man:
Correct
Woman:
If in 1 year you spend $5400, not accounting for inflation, the past
20 years puts your spending at $108,000, correct?
Man:
Correct
Woman:
Do you know that if you didn't drink so much beer, that money could have been put in a step-up interest savings account and after accounting for compound interest for the past 20 years, you could have now bought a Ferrari?
Man:
Do you drink beer?
Woman:
No
Man:
Where's your Ferrari?
Beginnings: Conceptual Advice Blog vs Actual Progress Blog
I can't give you advice since I have no idea what I am doing. Therefore, we revert to actual progress.
My profile
Net worth of cash and assets: $10,000.00
Passive Liabilities: $ 450.00
Passive Income: $ 0.00
Passive Balance: -$ 450.00
Definitions:
A passive income is an income that is limited to a Return on Investment. This is an income that is reliable on a month to month basis.
A passive liability is the opposite of a passive income. Expense which goes out every month which I can count on.
Passive Balance is the difference between passive income and passive liability and will indicate the financial independence/dependence on my active salary.
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