My bankrupt businesses

While reading the book “Business Wealth without Risk” by Jay Abraham and Roland Frasier, they make this argument:  

 

That most businesses will fail.  

 

And that you might not be cut out to be an entrepreneur but rather an “ACQUIREprenuer”.  

 

I think that’s pretty accurate thinking.  

 

Given that 99.9% of LLC’s/Corps formed over 20 years ago don’t exist today. It’s not necessarily they “failed” but got bought out, moved on, or took their cash somewhere else.  

 

But I can recall my business/investing failures:  

 

  • Invested in a failing debt-collecting business 

  • Bought some crypto on a trading platform that went belly up.  

 

Both those businesses went bankrupt.  

 

AND… both (as I recall) had no profits.  

 

I don’t know what the “key” to making it all work is (and I hope the great Jay Abraham will unravel that in this book)…  

 

But it does seem common sense to me that the A KEY is making money from the beginning.  

 

Maybe I’m wrong.  

 

Maybe it’s okay to dump lots of money into something with no way of making a profit yet.  

 

I’ve worked for a company (as their copywriter) where they were on the verge of bankruptcy…  

 

But they made a couple of changes internally, cutting costs, increasing margins… And VIO LA, they’re profitable.  

 

I’m not saying any of that is easy…  

 

But as I look at publicly traded companies (I do invest and trade — I’ll reserve that explanation for another time), the MAJORITY of them go year after year not profiting.  

 

So what’s the lesson here from your unruly host?  

 

  1. Take month-per-month profitability seriously.

     

  2. In the REI business, deals are fueled by offers made. So have a “quota” of offers made. And if you don’t make it, have a plan to make it (what I call a “cash grab” system, where you quickly fuel your pipeline with leads for the month).

     

  3. “Invest” in what you understand. If you don’t understand it, know that it’s purely speculation and that’s okay if you can handle it emotionally in case it’s a wrong decision 

 

I’m reading this book, “Business Wealth without Risk”, because maybe it’ll open my eyes to how the great Jay makes businesses profitable (which my guess is it’s actually very simple (not easy, but simple).  

 

And maybe 10 years from now when I’m bored, I’ll need to pick up some sort of hobby 😜 

 

Here’s that book if you’re interested.