How is it that some people can make vast sums of money so quickly? I'm not talking about a "pie in the sky" record hit song or a #1 best selling book. That's about as likely as hitting the lotto. They make big money and there's a thing they do, anyone can do, to get exactly the same results. When we take a job and look at the pay slip we may be a little disappointed. It would hardly be classed as big money. Even top paying jobs are not endowed with big money paychecks. These hourly rates are just a drip feed to keep you living with a roof over your head. Nonetheless, there are individuals out there in the World making BIG Money, real big money. Of course the question would be how. The reason I bring all this up is because I believe I know and I can tell you exactly how. When I think of big money, I don't know about you, but my picture is several million per year. The more the better, but I would officially class $2 million or more per year as "big money" Now that we have put a numerical figure on it you can possibly envisage Real Estate Transactions or Successful businesses and corporations. Maybe, but there's something more fundamental that all these BIG Money Makers do that is much harder to observe clearly. The activity they may get involved in to make big money each year is the outward appearance of this "thing" they do. That's why its not so transparent unless you know what it is. These outward appearances divert our attention to the real "structure" they use that fundamentally makes it possible to successfully perform these outward activities. What I am talking about is what is in their mind, their strategy. Its this small pinnacle of structure that is responsible for the remaining hierarchy and structure that flows from it. OK, I think I have described to you fairly clearly what I'm talking about, now let me tell you what it is. Most people buy good things. They are brought up to spend their money wisely on good, not broken, perfect things. The more perfect and problem free the better. To get your money's worth you are brainwashed to believe that an object of purchase should be imperfection free and by this measure we can gauge the value we received for our money. Its absolutely and completely the exact opposite of what millionaires think and how they see things. 100% in reverse. I make my money by buying problems and selling solutions. Not just any problems because I understand there are some investment objects, some problems that cannot be fixed easily and cheaply to present a perfect product for re-sale. In these cases I take a pass. I don't buy other people's problems, I buy my problems. The problems I am familiar with and capable and competent of fixing. When you buy solutions (perfect products) you pay full maximum retail price. Fine if you are buying food or certain things, however in terms of business and making big money I search for a certain type of imperfection. This is where the spare intrinsic value resides and this is where the millions are. Problem: Owner of 1 acre lot of land cannot afford to cover the costs of sub-division so must sell as it is because his wedding day is looming and he needs the money. Will accept 25% less then value for quick sale. Solution: I can provide the funds because I have them. I have no urgency issues, therefore I can have all the necessary permits taken care of and extract the spare value left in the deal buy splitting the block and selling each part off. Problem: Couple are looking for a bigger house, want to sell existing home. Couple feel low resistance to low offers because the house is unpainted and peeling. Some bits are hanging off the roof but nothing too serious and the house foundations are solid. Solution: Give couple the amount they are asking and make cosmetic changes to the house. Revalue at 150% and resell for profit. Problem: 12 storey downtown building has a "to condemn order" on it. Up for sale at land value only. Solution: After inspecting the property and checking my existing knowledge on the building code, the discovery is made that the only reason building is tagged is because it requires new fire doors on all divisions. Not cheap, but not a real problem either. Vendors Attorney fails to explain this to the couple as he is very busy and not really that interested. The purchase is made and the violation rectified. I always buy problems and sell solutions. Martin Thomas (c) |
