Inspiration

How to become a money factory

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If you are anything like me you may have found your purpose by accident. I always knew I wanted to earn my own independent income, especially for my retirement, but never imagined it would be by investing in small factories and warehouses!

I started investing in real estate when I was barely out of my teens, because it was obvious to me that we were populating the earth at a crazy rate, but the earth itself was finite. I wanted to own my own piece of earth, so I started by purchasing residential real estate. What I learned was residential investment could earn capital growth,but you can’t eat capital growth. This means you have to sell to realise the gain, then you have to re-invest the gain.

I decided to make a plan to earn income from real estate. I soon found that the tenant doesn’t always respect your property and the repairs and outgoings required, soon eat into the rental income you earn.  A chance encounter led me to discover industrial real estate, where the law favours the investor and the tenant pays the outgoings.

You have to have a plan

If you’ve seen the film In Pursuit of Happyness you will be familiar with the name Chris Gardner, an amazingly successful investor who early on found himself in a homeless shelter with his three year old son.

Chris says understand this: “the calvary is not coming – it’s up to you”  and“your plan should be clear, concise, consistent, compelling and committed”

My plan

I made a plan to retire before I was 60 on $10,000 per month. As there are 12 months in the year, a quick calculation shows I would need to earn passive income of $120,000 per year. Back in 2002 when I made my plan, a small factory costing $250,000 to purchase, would return me $2,000 per month in rent.In other words, one factory took care of a fifth of my goal, so I would need to own five small factories.Here’s what I learned on my journey.

Discipline

It takes discipline to budget and save for the first deposit.

Courage

It takes courage to hold your course and stick to your plan when those around you are partying, taking holidays, buying expensive clothes and otherwise living the good life.

Sacrifice

I learned to sacrifice many things I enjoyed while I saved for the first deposit. This meant giving up my weekends to work a second job.

Seek advice

I learned to not listen to free advice, because it’s worth what you paid for it – nothing! I sought advisors who had done what I wanted to do, and paid for them to mentor me.

Determination

Never, never, never give up!

I learned to put myself in front of encouraging and motivating people.

I learned my health determined my energy, which determined my motivation.

I learned lots of small steps, consistently applied, lead to success.

Choose the right partner!

This one is critical. If your partner will not do all of the above, either your plan won’t work or your relationship won’t work.

Anyone can do it – few choose to

I learned that successful people are not smarter, better, different, blessed, or other wise born with an advantage over others. Any one can be successful, but few choose to do the work required.

If you are starting out on your journey or persevering with your plan, hat’s off to you! You can do it, be brave, stay strong and ‘have a go’!

The Money Factory - How Any Woman Can Make An Extra $30,000 to $100,000 Passive Income

I was dismayed to discover women retire on an average of only $138,000 – roughly half the amount men have for their retirement. My new book The Money Factory – How Any Woman Can Make An Extra $30,000 to $100,000 Passive Income, is a straightforward step-by-step guide to encourage investors – particularly women – to explore the industrial real estate investment sector traditionally seen as a male domain. Download a free copy at http://www.moneyfactoryinvesting.com/free-book/

About Lillie Cawthorn

Lillie Cawthorn was dismayed to discover women retire on an average of only $138,000 - roughly half the amount men have for their retirement. Her new bookThe Money Factory - How Any Woman Can Make An Extra $30,000 to $100,000 Passive Income, is a straightforward step-by-step guide to encourage investors - particularly women - to explore the industrial real estate investment sector traditionally seen as a male domain. To increase her support in financial education for women, Lillie became a keynote speaker on the subject and conducts workshops to teach women why they need to take back their financial power.Lillie holds seminars in Balmain on Saturday mornings and Wednesday evenings with her Aspire To Invest - 7 Power Tips For Investing in Industrial Real Estate workshop. http://www.moneyfactoryinvesting.com/

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