Follow the breadcrumbs

Have you heard of these catch phrases “No need to recreate the wheel” or “Just follow the blueprint”?

What do they have in common? If you are thinking reproduce the system then you are on target for the investor business.

If you remember in my previous post where I mentioned going to the Maximizing Success Seminar and that the common theme was “Get A Mentor”. I said I was going to take action and consider mentorship programs in order to propel my business. Well, I did it. I’m getting a mentor. We start next week.

I will continue to blog of my endeavors and give you a little in on what goes on behind close doors. I suggest you “Take Action Now” and implement your goals.

Don’t forget to befriend me on your social media sites via:

http://www.facebook.com/InvestorDiva

http://twitter.com/InvestorDiva

http://www.linkedin.com/companies/rci-group-llc

I wish you much blessing and greatness in your endeavors!

Suggestions for your tax refund

Recently I have been taking a financial class on how to better be a steward of your money. It is offered around the country via many different organizations. It is a 10 week course and it requires you to read a book, do weekly homework and memorized weekly scriptures that are directly affecting your finances.

The company is called Crown financial and you can find out more via http://www.crown.org/.

They have what is called a crown money map who has specific step of where you need to be in order to be heading on the road to being debt free (if that is your goal)

So I got some ideas from the class and other areas that will help you decide of constructive way to apply your refund no matter how big or small.

1. if you do not have one already create a $1000 emergency fund

2. Pay down credit card debt

OK, so this doesn't sound as appealing as a new flat-screen TV. But if you can knock out -- or knock down -- the balance of even one high-interest credit card, you're making money. Think of all the interest you won't be paying.

3. Open an IRA

Or, if you already have one, use your refund toward your annual contribution. Been putting this move off until you had "a little extra money?" Today's your lucky day. amount "will compound nicely," says Chris Farrell, author of "Right on the Money."

I personally have a self directed ira. View the following links http://www.trustetc.com/case-studies/

3. Take stock

Historically, stocks have produced nice returns, and even a few hundred dollars can get your nest egg off to a nice start.

"The biggest mistake people make is thinking (what they have) is too small an amount to invest," says Ric Edelman, author of "Ordinary People, Extraordinary Wealth." "Rich people start off as poor people. The difference is they take the nickels and dimes and they invest it -- they didn't spend it all at the mall," he says.

Also, I believe in making money with multiple streams of income. A little can get you started. I have an account in ING Direct they are have a fabulous offer right now.

4. Service your car

"The No. 1 thing people forget with cars is to maintain them," says Clor. If you've been putting off that oil change and tuneup because you just didn't have the money -- this is the time. And check the tires. Extra bonus: A well-maintained car with properly inflated tires burns less gas and saves you money in the long run.

5. My personal favorite: Invest in Real Estate.

I am now offering a way to combine the advantages of a self directed IRA with of real estate investors like the professionals at RCI Group LLC, to allow you to earn tax-free/tax-deferred returns on your investments. Don’t want to deal with bricks and mortar but looking for a good return? Go to my site.

http://www.rcigroupllc.com/investors.html

I can show how to make your money work for you.

To use or not to use hard money, that is the question.

I was chatting with Ashley Ransom from BiggerPockets.com and she posed a real good question. When should one use hard money?

Things that make you go hmmm…

Well I’m no expert but I can tell you what I learned from a recent hard money REIA meeting discussion board that I attended.

There are a lot of misconceptions about hard money lenders: what they are, what they aren’t, how much they cost, and when you should use them.

Hard money lenders are individuals or small companies that have funds available for investment. They have the advantages of being flexible and able to move quickly. They will rarely make a loan which is above 60- to 70% of the renovated value of the property. So, if the borrower defaults on the loan, the lender can feel quite secure that his or her investment can be recouped.

Use it wisely.

When to use it:

• For short term 6 months or less is recommended but they can go up to 18 months
• When you will have a quick turn around to other source of funding. For example your conventional loan is taking some time to be processed but you must close ASAP
• They only fund good deal so make sure you have your profit built in

Cons or when not to use it:

• It’s costly
• Owner occupied
• If you have less than 20% to invest in the deal yourself
• If they are 2^nd option on the loan

In my REIA I have this wonderful lady to ask questions to her name is Ann Bellamy and you can check out her site via http://www.buynowhardmoney.com/

More information can be found in the following links:

http://www.nuwireinvestor.com/howtos/how-to-use-hard-money-loans-to-finance-real-estate-52042.aspx

http://www.foreclosureuniversity.com/studycenter/freereports/hard_money_lenders.php

http://www.articlesbase.com/real-estate-articles/when-to-use-hard-money-lenders-in-real-estate-investing-933457.html

http://www.nuwireinvestor.com/howtos/how-to-use-bridge-financing-to-maximize-your-cash-53271.aspx (this is a really good article)

My advice

Whether you use it or not, you should always have one or two in your rolodex where you have developed a relationship with so that you may do a quick transaction if the opportunity comes through.

Maximizing your Success weekend

This past weekend I had the opportunity to meet Robert Allen and most of his master mind team. It was 16 hours of drilling information that will help you build up wealth in many ways and strategic ways to hold on to it as you increase or tweak your efforts for maximum return.

The theme was Take Action NOW!

What I learned from Robert Allen and his team is that there is a strategic formula of success and most time one need not to recreate the wheel. Now I know what you must be thinking you have to buy one more piece of software or more book and you are right they were plenty of that but you must learned to focus. Once you have figured out that this is the piece that I need now to propel my business then go after it. And most importantly it’s taking action NOW!

One thing that I will take action is deciding on a mentor. As I look around that room and listened to my pears and the speakers what was common amongst them was they had a mentor of some sort helping them throughout different areas of their business. And although I consider myself successful, enthusiastic and motivated I feel that I lack the focus and the experience which I believe is keeping from really obtaining the deals and reaching my short term goal.

So I’m acting now in interviewing my potential mentors and deciding to make my decision by the end of this week.

I love that theme as that is my personal theme for the year 2010.

Check out http://www.maximizingsuccess.com/ for a more in-depth review of this past weekend.

Choosing good, healthy and income producing partners.

I have been to the Rich Dad Poor Dad classes administered by Wealth Academy, now Tigrent Learning, and you know each time they stated this cliché: You are in business for yourself not by yourself.

Supposedly in this business you don’t have competitors but colleagues. When I first decided to do this seriously I found the new knowledge overwhelming. There is a whole new jargon and terminology to learn. There are all new set of laws and regulations and my thinking had to jump at a totally different level.

Finding like minded folks has been a blessing. I found that my Rich Dad classmates and colleagues have been very supportive and encouraging. They open their home for an evening of CASH FLOW. They let me send them emails and we openly share stories good, bad or ugly.

I have been wanted to work with someone that is on the same level mentally. I have a few colleagues we mutually adopted each other and things are moving forward slowly but surely. I don’t let my partnership substitute for my own personal work and I constantly have to give myself an uplifting dose of stick-to-itiveness.

There are a few things that I have learned in my past life with partners that I want to learn from before making any partnerships permanent.

• Don’t make excuses for them.
• If things don’t work out move forward quickly but keep a good rapport.
• Have your agreement in writing. It keeps everybody honest
• Have a define work schedule and split of responsibilities
• Make define schedule and stick to it like it’s your JOB
• Make milestones for yourself and celebrate the accomplishment but if you don’t reach them we should have constructive criticism to make the project work.
• Have Goals and constantly review them

There’s more but I found that those listed above have been paramount. If you already have a partner make sure that you have similar goals and that there is a high level of respect and open communication at all times.

RealtyJoin.com

Last November I attended the Andy Heller seminar in New Hampshire. His topic was on how to make money using REO’s. In my short career in Real Estate investing his A to Z method made the most sense to me.

He said a lot of things that was systematic, do able and to be honest easy. As you may or may not know when you go to one of those seminars there’s always a product to be purchased and it’s usually not cheap. I would recommend the resources of course but if you have a chance to go to his seminar you should really listen to him. Just on that one day seminar I got A LOT of good pointers. Andy keeps it “real” he has a lot of fun and will answer all your questions.

Here is a freebie from him. Go to “RealtyJoin.com” it’s free and it suppose to be the Craigslist of Realty.

Below is a picture that was taken on that day.

I think I want to concentrate on REO’s. It’s seem much better than knocking on peoples doors.

Tips for starting your own business!

Here's some advice when you start your own company.

I went to the bank and turned my checking account into a business account. I have owned businesses before in another state so I thought it was going to be a simple DBA account with simple paper work. Not in the state of Massachusetts. It seems that in the state of MA one must be registered with the city to have a business checking account.

So I hurried to city hall and I had to fill out a simple document and pay $40.00. The good thing is that it the clerk did it right there on the spot and this document is valid for 4 years as long as the address is valid.

I had to divulge where my source of income was going to come from. Give an approximate income for the 1st year of business. This and more information was collected from me to make sure I was not collecting money for terrorist activities or the mob.

Please do your homework before leaving the house. In class the instructors stress proper legal counsel, incorporation to protect your “ASSets” and tax advice from a license professional. Take it from someone that has encountered legal issues in the past. The hundreds of dollars that you are spending now may be the ones that saves you thousands or even millions in the future.