A Real Rich Dad, Poor Dad Story

A Real Rich Dad, Poor Dad Story

One of the fascinating things about Robert Kiyosaki’s Rich Dad, Poor Dad was the idea that the wealthy teach their kids different things than the poor or middle class.

I’ve had the opportunity to see this up close with my investing partner, Kevin Edwards.  His father, Dick Edwards was one of the founding partners of Hawkins-Edwards, a commercial brokerage firm based out of Spokane.  Dick had been a broker for several years before starting the firm with Paul Hawkins.

Kevin is 34 years old, fourteen years younger than me yet he’s my investing mentor.  When we bought our first property together, Kevin was 26 years old.  I had just passed my 40th birthday and was looking at this young guy putting together deals in a way that totally impressed me.  He had the confidence and knowledge, not me.  What I brought to the table was a property manager skill set.  My broker skills were still in the formation stage.

I rode his coattails on our first few deals until I finally stepped up to bringing ideas and properties to the table.

I had never asked Kevin about how he got to be the guy who so confidently led me into real estate investing.

Until today.

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If You Run Your Business Like a Hobby, Expect a Punch in the Face

If You Run Your Business Like a Hobby, Expect a Punch in the Face

Have you heard people espouse the idea that you can be successful if you turn your hobby into a business?  Or how about the concept that your chances of success are greater if you can turn your passion into a business idea?

It’s a wonderful belief and I one that I fully support.  However, there’s something they’re not telling you.  It’s not that there will be hard work and risk involved.  We all know that.

What I’m about to tell you is a little-known truth that is hardly ever shared and it will hold the key to your success if you want to convert your hobby or passion into a business.

Here’s the simple truth …

When you turn your passion into a business, your only path to success is if you make the business your passion.  If your hobby remains the priority, the business is guaranteed to fail.

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Are You Living Now?

Are You Living Now?

My girlfriend gave me The Power of Now: a Guide to Spiritual Enlightenment by Eckhart Tolle a couple years ago.  At the time, I’d just read my first book on Stoicism and was intrigued by the idea of a philosophy that would help me find tranquility in life.  She’d read a review of Tolle’s book and thought it might be something I’d find interesting.

When I first picked up The Power of Now, I struggled with the author’s introduction and put it down.    It eventually made its way onto my bookshelf where it sat for the past two years until I rediscovered it.

Then on a beautiful sunny day a few weeks ago, I needed something to read and I didn’t feel like going to the library.  I went to my bookcase, saw The Power of Now and grabbed it.

I again struggled through the introduction, but pushed forward into the first chapter.  Then it happened.  Suddenly things started making sense.  Not all of it.  It’s still a very deep and challenging book, especially for a guy like me who isn’t spiritually inclined.  What I found though was a surprising sense of joy that came from several of the principals Tolle wrote about. 

While talking with a friend at work about the new book I was reading (I’ve become very discreet in who I share info with since the lessons learned the hard way with The 4 Hour Workweek), I mentioned this book.  He said he’d read it along with his wife.  We then discussed the book at length.  It surprised me that someone I knew had already read it.

Then I listened to a Money Peach podcast (#44) wherein Chris Peach interviewed entrepreneur Todd White.  Throughout the interview, I kept thinking that White sounded like he was espousing some of Tolle’s ideas.  I thought maybe I had tainted my view on life with the book I was reading.  Peach’s final question of the interview was “If you have somebody looking to get started in business as an entrepreneur, what would you recommend?”  White said, “It’s the same book for everybody.  It’s The Power of Now by Eckhart Tolle.” 

I was amazed to say the least.  A very successful entrepreneur was recommending the book just after my friend had said he and his wife had read it.  I shouldn’t let the opinions of others change how I think, but knowing someone had already read this book and loved it, felt like some encouragement for what I was feeling.

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How Driving for Dollars Can Improve Your Wallet and Your Soul

How Driving for Dollars Can Improve Your Wallet and Your Soul

How do you get to work?

If you’re like me, you are one of the multitude who needs to get to an office via car.  I’ve taken steps to work remotely a couple days a week so those necessary trips have been reduced.

However, I’m a commercial real estate broker which requires extra driving for tours or meetings with potential clients.  Some days I’ll leave the office, drive into an area and park my car.  Then I’ll talk with the various business owners about how their businesses are doing, if they’d like to expand into a new location or relocate their existing site.  This exercise is called canvassing

I’m sure you do a fair amount of driving beyond your job as well.

Like us, you probably make frequent trips to the grocery store, the hardware store or any number of other stops. 

This isn’t an anti-car rant a la Mr. Money Mustache.  While I’m not overly excited by cars any longer, they serve a purpose.  Many of us need to get from point A to point B for business to get conducted.  I’m not going to do it on a bike.   My clients wouldn’t take too well to sitting on the handlebars of my mountain bike while we tour sites.

While it’s great to combine trips for more efficiency, saving both time and dollars, that’s not what this post is about.  It may even fly in the face of most personal finance concepts.

Here’s my advice:

Take your time getting to where you want to go.

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A Refinance That Cleaned Our Clocks

A Refinance That Cleaned Our Clocks

In 2012, as the market struggled to improve, interest rates continued to fall.  They were in the mid 4% range at this time.

I was keenly aware of this, especially since we were paying 6.5% interest on a seller-financed contract for a little office property that housed a janitorial firm.

I’d run the numbers on the property and realized we had a great opportunity.

Based upon the rent the tenant was currently paying and stabilizing cap rates, our property was now worth substantially more than we paid for it.

I’d read about refinancing a property and pulling cash out to purchase another property.  This seemed like a perfect opportunity to make that happen.

I took the idea to my investing partner, Kevin.  “What do you think?”

“It sounds like a great idea.  Let’s do it."

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