Now that we have taken on creating Activity Income for your business, it's time to talk about Passive Income and the dream of "making money in your sleep" you hear so many entrepreneurs talking about.
Learning how to create Passive Income is the key to running a sustainable business. The goal is to have your Passive Income equal more than your Activity Income - when you get to that point, that is the true definition of financial freedom.
In the realm of Velocity Banking, your Passive Income is saving and investing. So when I refer to saving, I am mean establishing a tax-free asset. When I save money, I intend not to risk that money - the sole intention is to have an emergency backup. When I refer to investing your money, I mean literally putting your money to work for you - you don't have to do anything with it, and it is "making" more of itself.
So if I'm saving money, I cannot put that money at risk. I need to have that money stored somewhere safe where it'll grow - minimize or...
To have a prosperous Kingdom, you need to have the right tools. We need tools to help us build, maintain, and grow our Kingdom. I'm going to show you the tools that I currently have, and then the tools that I'm looking to acquire as my business and Kingdom grow. This is part four in our Establishing Your Kingdom series, and it's been wonderful seeing the action people in the community have taken over the last month.
To start, you must know your finances. You need to know where every dollar goes. "How do I know where every dollar goes?" You look at your accounts. Open up your financial statement, check your balances, check your bank accounts, look. Make sure we know our 4 major numbers:
Now, I'll hop off my soapbox and get into my list of tools I continue to use for my business that will help you and your business stay organized and move forward no matter where you are in your journey as an entrepreneur, startup business owner, mompreneur, or...
We've been going over some vital lessons on how to establish your Kingdom, how to protect it, how to create activity income, passive income, and most recently acquiring tools for your Kingdom. Now, we're going to start stepping into funding your Kingdom using the Velocity Banking concept to your advantage.
Even after you're completely debt-free, you can continue to utilize Velocity Banking strategies to maximize your business productivity. Velocity Banking's primary use is actually to make money and invest money. That's what real estate investors and business owners are doing with their funds when they practice Velocity Banking.
I want to give you an example of how I fund my own Kingdom, so I can be a cheerful giver and help people while building my business -with cash flow, great credit, and the bonus of feeling secure in my finances.
Watch the video below for a look at the numbers:
Like I mentioned in the video above - the end goal is to...
I went to a training this spring where we really focused on the concept of the gratitude mindset. This really flipped my views on what my next steps in my business would be, so I wanted to share the most significant pieces of gratitude mindset and how you can apply gratitude mindset to your life, every day.
What is Gratitude Mindset, you say? Well, it's the action of seeing the upsides instead of the downsides to the situations around us. Or if you like metaphors, we will be working to see the glass as half full instead of half empty.
Many people look at their circumstances and see that they don't have enough money to achieve their dreams, or their partner may not be living up to the expectations we have set, maybe you think after a while that your home isn't nice enough or your car isn't new enough. We don't usually stop to consider what a blessing it is that we even have money in the bank, a job, partner, and roof over our heads.
It's become commonplace, and even comedy to...
Today we are going to be talking about how to launch a business for your Kingdom, and how to choose an entity type for that business. So first things first, what are the different options?
Sole proprietorship: A sole proprietorship could be right for you if you want to run a small-ish operation, with a few employees or contractors. For this type of business, you need to be comfortable making 100% of the business decisions.
+ there is no legal paperwork involved (apart from local licenses/permits)
- It can be hard to get financing since banks and investors see a sole proprietorship as a risky business entity.
Partnerships: If you or your industry thrive better in a creative and collaborative environment, a partnership might be the right type of business for you. Popular examples of partnerships include law firms, bars and restaurants, creative agencies, and family businesses.
+/- Partners equally share all costs, debts, and losses (except in limited partnerships)