5 Real Tactics to Make More Money That are Used By the Pros
MO Money, MO Money, MO Money. I don’t get it, what is the big deal about more money? Surely I jest. I could give you LOTS of reasons MO MONEY is a big deal.
I cant remember who said it, but the quote was, “ money doesn’t make all your problems go away but it sure helps when you can drive up to them in a limo” I’ll drink to that!
All right then, how do we do it? First off, if you are working a job, quit. I’m only half kidding. Whenever you are in a situation in which someone else is dictating how much you can be paid you are in a very bad position. But that discussion is for another time.
Before I give you my 5 tips on making more cash, I want to make sure you understand something. Money that STAYS in your pocket and does not have to be paid out is as good as someone writing you a check. This is called “Phantom Income” This is high level stuff now so don’t just dismiss this because it is not as sexy as getting a big check. If you owned $10,000 in taxes but suddenly due to some high level tax strategies you now do not owe that $10,000 would that not be pretty cool? Sounds sexy to me. So with that in mind, here we go.
1. Know Your Tax Exposure
Remember during the Presidential debates when then candidate Trump admitted that he paid very little taxes because he took advantage of LEGAL strategies? Yeah, he caught blowback from many on the other side but truth be told they either do or would do the same thing. So why not you?
Years ago when my real estate investment biz was starting to kick into high gear I had a REALLY great accountant doing my taxes and he was really looking out for me. One day he let me know that he could no longer continue as he thought I was getting too big and out of his league. I thanked him for looking out for me and set out to find my new accountant. I was recommended to a very good CPA in my area and set up a meeting. He told me to bring my last 3 years tax returns for him to review. A few days after our meeting he contacted me to let me know that the guy that was doing my takes was REALLY looking out for me. So much so that the CPA asked me if he was an IRS agent because he did not take advantage of any of the strategies that would have saved me thousands of dollars. Long story short, my new CPA re-did my taxes and got me a big refund.
Pay what you legally have to pay. It costs money to run this Country, but why pay more than you are legally required? We are talking potentially BIG money here so be smart and be sure to have a very skilled tax professional on your team. I’m not talking those chain tax joints; I’m talking a pro. It may cost you some cash but in the long run it is more than worth it.
2. Raise Your Prices
I’m talking to entrepreneurs and business owners here being that is who is mostly following me. If you do not fit into that category, get into something where you can have prices to raise. For those of you who can, do it. When consulting with business owners of ALL types this is one of the easiest things to implement once they get out of their own way. There seems to be a fear attached to charging premium prices but that is a big mistake. Never be the “low price” leader and always have more expensive options for someone to take advantage of, because they will.
This is the new term used but in all actuality this has been around for a long time. If you go back to the book Think and Grow Rich, one of the main success principals followed by the likes of Carnegie, Ford, and Rockefeller was something called the Mastermind Principal. Basically this means surrounding yourself with talented people working in our behalf. You don’t have to be the expert in anything. You simply find someone that fills the void you may have. Today we call it outsourcing but it is really the same thing. This has both huge time and financial benefits as you can outsource tasks that can be done in a timely and cost effective manner. Here is an example I always use if I am doing a real estate investment-training program. Smart real estate investors spend their time looking at deals. That’s it. Looking at deals and cashing checks. However there is much more that goes into a real estate investment deal. Who finds the property, who does the work on the property, who manages or sells the property etc. All of that work can and SHOULD be outsourced. An investor’s time is better spent looking at deals because that is where the money is. To read about this in more detail you can check out my book, The Consumers Guide to Investment Real Estate. So no matter the business, this holds true. Focus on what brings you the most bang for the buck and the rest you outsource. Trying to do it all, which so many novice entrepreneurs do is a fatal mistake. Outsourcing will makeyour business more efficient and cost effective which allows you to grow the business as you are only focusing on what you are best at.
4. Have more Baskets
In Send in The Wolves, we talk about the danger of 1 and that means 1 anything. Like the song says, 1 is the loneliest number. In horse terms, “They all go lame”. In this case I am talking about having just one source of income. Andrew Carnegie used to say, “put all your eggs in one basket and watch that basket very closely” Carnegie was an entrepreneurial GOD but I have to say that I don’t agree with that statement. Whenever you put yourself in a position of having only one of anything you are on the fast track to extinction. When I say make more baskets I mean create some product or service that will generate income when your primary source dries up. Yes, I said WHEN. One trick ponies are cute while they perform but after that, it’s off to the glue factory. Don’t end up in the glue factory. Figure out what you can offer in addition to what you are already doing that will become a revenue generator. You may even find that your 2nd or 3rd sources replace the first. Using myself as an example, for years I was a full time real estate investor and real estate investment coach. That was my source of income. What I found however was that many of the people that were coming into my training programs were business owners. Now business is business and we all deal with the same crap. Mine was no different and I found myself helping my real estate investment clients with their business problems. Whether it was marketing, sales, employees etc., their problems were things I had dealt with in the past and was able to help. Now, that has become number 1 and the real estate investment is taking a back seat.
So, now I have more baskets in case 1 doesn’t work. You need to do the same. Diamonds may be forever but business is not. Do not think you are immune to this. To prove my point I only have to reference people like President Trump, Richard Branson, and Jeff Bezos of Amazon etc. They all have MANY baskets. Frankly, I think AMAZON is looking to take over the world. More baskets work. Go get yourself some.
5. Become More Attractive.
Now before you call me a shallow pig let me explain myself. When I say become more attractive I am not necessarily talking about looks, although that is important whether you want to admit it or not. I’m referring be becoming someone that the marketplace wants to do business with. The late great Jim Rohn always spoke of becoming more attractive to the marketplace if you want more money. He would also say, “don’t wish for things to be easier, wish you were better” So how to we become “more attractive”? Well there are many ways but here is one that if done correctly will knock it out of the park for you.
WRITE A BOOK!
Yes, that’s right, become an author. Now I don’t mean YOU have to write the book but YOU need to have a book. Why is this so important and powerful? In business, perception is everything. People will buy and or do business with you according to how they perceive you, so what you need to do is position yourself in a way that you are perceived to be BETTER than your competition. Here is what I mean. Lets say you are a cosmetic dentist; it is safe to assume that in that field you are going to have lots of competition. So why then would someone come to you as opposed to your competition? I mean the pricing is all fairly similar. A crown is a crown is a crown, so what is the move? Think this through for yourself. If you are in need of a cosmetic dentist, are you going to go to Dr. So and So or are you going to go to Dr. Rock Star who wrote the book, The Consumers Guide to Cosmetic Dentistry? If your like 9 out of 10 people you are going to go to the guy that wrote the book because he is the “perceived expert” because HE WROTE THE BOOK. Not only will this bring a tsunami of customers it will eliminate price objections and allow you to charge more than your competitors. This is what I mean by becoming attractive. You want to be positioned so people are drawn to you. For those of you who love the idea but are scared to death thinking you cant write a book, no worries. Writing a book is easily; see #3 “OUTSOURCED” You can get the fame and have someone else do all the work. A classic example of this from way back was Dominos Pizza. We are talking pizza here and the competition was fierce. What did young college student Tom Monaghan do to compete against the likes of Pizza Hut? He came up with what is known as a USP which is Unique Selling Proposition which was “hot pizza in 30 min or less or its free” THAT, was attractive to the marketplace and now Dominos is a mega company.
So in a nutshell, you need to be different and attractive and when you are, the bank vaults open up.