What could you do with $63,000?

Kia Ora,

So what are the options if you get that $63,000.

Well you could use it as equity  to buy a business. Thats a business, not a job. True for that amount it is likely to be a job to start with, but buy one where you have the passion & vision to take it further.

You want your life to be getting easier & making a difference by creating jobs for others.

You could invest in real estate using that money again as equity for a cash flow positive property.

Now at present getting a loan for the above two could be difficult. There are an increasing amount of mortgagee sales & you could benefit there. $63,000 wouldn't be enough! Who said?

At the end of 2008 after all my trials & tribulations I had ended up with a freehold commercial property. A hotel room & some cash. only thing due to what I was learning I didn't want a freehold property, but a cash flow positive property.

So I approached the bank about getting a loan against it to either invest in my security company or in another of these properties as values were dropping. No go due to the amount I earned. Also being in debt meant I was taking advantage of the tax laws & so I effectively earned nothing.

What to do? Seen a similar property for sale by mortgagee auction. The property was valued at $192,000 but using what I have learnt when I looked at figures it wasn't worth more than $35,000 & there were issues (which is good).

In the end it didn't sell, but I was contacted to see if I would buy it for $30,000. They wouldn't accept my conditions & I put that cash into Silver.

In the last week there has being about 8 mortgagee sales advertised in that complex & there is at least one a week.

That means if I had the cash I would be in buying. With both the Auckland & Christchurch complexes of this set up there is an issue. Which is good if you could be in a position to buy.  It is conceivable that you could get at least three of these properties for that $63,000 or as things get worse maybe even six. One of the secrets of the rich is to look for a problem then find a solution. It also means you can buy cheaper. It is when you buy that you make your profit & having a plan of how to make it work.

With the issue of no loans I then looked at how I could achieve my goals if no one would loan me the money.

In June of 2009 I went to a Robert Kiyosaki seminar. During that seminar Mike Maloney talked about gold & silver which are part of the commodities market.

So after returning to Christchurch I put that property on the market as though it was cash flow positive it wasn't going to help me.

From there invested more in the commodities market & more in my business to get the cash flow I needed to achieve my goals & dreams.

Now with your $63,000 you could get at present about 14 ounces of gold for $23,000 which could if projections are correct based on history return of US $210,000 & $40,000 in silver which could return between US$2.070 & US$20.70 million on current projections.

They are way out figures but if you study the financial history it has happened before. Don't listen to people who say gold is the highest it has ever being, they are incorrect. It is the highest it has being in the current cycle, but not when adjusted for inflation. It still has another US$1000 plus to just get to even pass that.

Again it is the information from doing your study.

The last asset class is of course paper. Now this is expected to not do so well over the next 10 years & although they may rise, what will the true value be. In saying that there are some that will do very well. Again you have to do your homework,

Shares in some gold companies are expected to rise,but buying ETF's especially if this court case in the US exposes them for not having the assets (gold & silver in partiuclar) could be good for a short time then very very bad. But it will mean a jump in price of real gold & silver.

So $63,000 invested in the right companies could do very well.

You could also invest some of that $63,000 in the most precious thing of all. Your financial education. You might not of done well at school but in the world of investing school smarts doesn't figure strongly. It can help in areas, but if you look at those that have really made it rich, very few if any have a degree. All the people with degrees work for them.

Before people argue Henry Ford had little or no schooling. I believe Thomas Edison was kicked out of school as being a no hoper & not worth educating & even today Sir Richard Branson is dyslexic & struggled at school, as did Robert Kiyosaki.

Bill Gates dropped out of Havard in the first year because someone designed some software, he saw the opportunity, bought the rights to the software off the individual & the rest as they say is history.

You can never say you are too old as Col Sanders lost his job at 66 & went around trying to sell his recipe for chicken to set up his company. Finally he got his finance & again it is history.

It is hard to see the opportunities if you are not educated or are too upset over that latest setback (believe me that is hard to get over), but if you can put that aside & keep going then the light at the end of the tunnel will come.