As a gift for all the new followers…
I’d like to show you how to procure for yourself all the spoils of wealth — without actually having to “pay” for them.
No RT necessarily…
This one’s just to add value to the fam 💪
🧵
I’d like to show you how to procure for yourself all the spoils of wealth — without actually having to “pay” for them.
No RT necessarily…
This one’s just to add value to the fam 💪
🧵
First- what do I mean by spoils?
Simple: whatever you want..
I have watches. Cars. Vacations. Pieces of planes. Properties (some vaca some not). Etc…
Years ago I learned a secret that allowed me to get ACCESS to these things without having to pay my money for them.
Simple: whatever you want..
I have watches. Cars. Vacations. Pieces of planes. Properties (some vaca some not). Etc…
Years ago I learned a secret that allowed me to get ACCESS to these things without having to pay my money for them.
🏆 ARBITRAGE: the simultaneous “buying” and “selling” of something, offsetting the “cost” of something ELSE.
Here’s how it works… pick the thing you want.
Let’s say a new timepiece. Let’s call it ~$40k.
Here’s how I would get it…
Here’s how it works… pick the thing you want.
Let’s say a new timepiece. Let’s call it ~$40k.
Here’s how I would get it…
🏆 DON’T BUY DIRECTLY…
I’m not going to spend $40k on something (in most cases).
Things usually don’t hold their value (especially things that are ‘experience’ based) 1:1 so I will try to find out how to put the $$ into something that WILL hold value & pay for the thing.
I’m not going to spend $40k on something (in most cases).
Things usually don’t hold their value (especially things that are ‘experience’ based) 1:1 so I will try to find out how to put the $$ into something that WILL hold value & pay for the thing.
🏆 CREATE DEBT…
But structure it correctly. Don’t pay exorbitantly for the debt service and try to only deploy debt if you could pay for the thing WITHOUT the debt. In this case, I would find a 24mo (ish), 0 APR loan.
AMEX does them all the time.
But structure it correctly. Don’t pay exorbitantly for the debt service and try to only deploy debt if you could pay for the thing WITHOUT the debt. In this case, I would find a 24mo (ish), 0 APR loan.
AMEX does them all the time.
🏆 SERVICE DEBT INDIRECTLY…
We need $40k, right? Serviced over 24 months with no interest = $1667 monthly or, $20k/yr. Apply a 10% return on capital and you need $200k in a return vehicle ($20,000 divided by .1)
These are relatively easy to find.. so here’s the play:
We need $40k, right? Serviced over 24 months with no interest = $1667 monthly or, $20k/yr. Apply a 10% return on capital and you need $200k in a return vehicle ($20,000 divided by .1)
These are relatively easy to find.. so here’s the play:
🏆 $200k into capital vehicle…
Non-variable 10% return
24 mo loan pays $40k for timepiece..
Return vehicle pays $1667/mo and covers your debt service.
END OF 2 YEARS here’s what you’ve got:
Non-variable 10% return
24 mo loan pays $40k for timepiece..
Return vehicle pays $1667/mo and covers your debt service.
END OF 2 YEARS here’s what you’ve got:
✅ $40k timepiece paid for completely
✅ $200k capital returned to you from investment vehicle
How much did you pay for the timepiece?
$0. The return vehicle paid for it and then you got the capital back.
✅ $200k capital returned to you from investment vehicle
How much did you pay for the timepiece?
$0. The return vehicle paid for it and then you got the capital back.
LESSON: Don’t pay for things directly…
Protect capital & leverage at all costs and use the investment streams coming off of them to pay the cost for all the fun stuff.
I haven’t paid for much of anything “fun” in the last 3 years. My debt & capital allocation paid for them.
Protect capital & leverage at all costs and use the investment streams coming off of them to pay the cost for all the fun stuff.
I haven’t paid for much of anything “fun” in the last 3 years. My debt & capital allocation paid for them.
As soon as I figured this out, 100% of capital went into investment vehicles and the returns paid the notes/bills on whatever I wanted…
And when the things were paid for — I pulled my capital back out.
It’s Rich Dad Poor Dad on steroids.
YOU’RE WELCOME 👑
Love you guys
And when the things were paid for — I pulled my capital back out.
It’s Rich Dad Poor Dad on steroids.
YOU’RE WELCOME 👑
Love you guys
• • •
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