 |
How Men And Women Of 35 Can Retire In 5 - 10 Years
Author: Hannah Du Plessis  | Posted: 05-02-2007 | Comments: 0 | Views: 49 | Rating: (55)  (?) 
 I have just done a search on Google, and typed in "Retire in 5 years." Here are the results:
1. A Real Estate company in Australia says - invest with us
2. A Website entitled: "Seven tips for successful saving and investing."
3. Six keys to an Early Retirement by Microsoft Money
4. A website by the US Office of Personnel Management discussing Retirement
5. MLM Secrets - How to retire in 5 years or less
6. A website called "Free Financial Advice" with lots of table calculations
7. Three Real Estate Investment websites
8. And a "Friendster" ad that made it onto Google's Top Ten list
What do you think?
I'll tell you what I think: Most people have way too much debt to start saving. And it is way too tempting to walk into a store with a credit card and not buy anything when everything is shouting: "Buy Me!" Besides that, Real Estate supposes that you have some money to invest, and most people can just make it on their salaries and have nothing left over for saving and investing. I know from my years as a single parent on a teacher's salary: You just have some money saved, then this one needs shoes, or that one needs braces, or the car needs a service, or the washing machine breaks down. You never seem to be able to get ahead.
Now if you look at statistics: The Australian Bureau of Statistics (ABS) shows that 96% of the population at the age of 65 end up dead, dead broke or on a pension or need their family to support them to survive. These are the same people who are following the "success" formula of going to school, get a good education, work hard and hope to retire to the good life.
Only 3% of the population become what we call financially independent, which means that at age 65 they are able to stop working, but continue to live in a basic manner. It doesn't mean they're rich. It just means they have enough money to support themselves, usually less than $35,000 p.a.
1% of the population at age 65 will become what we call "rich". The ABS classifies "rich" as having a net worth in excess of $1 million dollars. There are nearly 200,000 millionaires in Australia, but even then, do these people necessarily have the lifestyle associated with a "millionaire"? Many of these millionaires have earned the title because their property is worth a million dollars. These are the millionaires that still lack time and money and unfortunately for them TIME + MONEY = LIFESTYLE and they fail to have both. It's clear that this so-called "success" formula most of us have been taught isn't working. Should we look at this as evidence it is highly unlikely that we're going to succeed and say, "What's the point of really trying? The people making it must be really, really lucky".
While it is true that no investment is as good as property investment, it is also true that few people have the money, the knowledge or the time to pursue it as a way to get out of the rat race. What then is the solution?
Some people look at business as a solution, and because very few people have the resources to start their own business and build it up to a point where it works for them rather than the other way around, most people look at franchising as a solution.
Let us weigh the pros and cons for starting your own business versus buying a franchise:
In starting your own business you need an original idea, seed capital to research the idea, start-up capital to get started, venture capital for projects. You need a business plan, showing that you researched the market thoroughly, looking at your competition, your competitive advantage and your risks and threats to ensure that you won't end up like 95% of new businesses who fail in their first year. Those are the cons. The pros are that when your business starts growing and expanding, and you are looking at branches or franchising, it gets to a point where it doesn't need you anymore, and runs itself. You have leveraged your income.
Compare that to buying a franchise: A franchise is safer to get into because it has proven products, packaging, delivery and training systems that increases the likelihood of success. However, it has the following disadvantages:
1. Its high cost to purchase: ranging from $40,000 to $500,000
2. the franchise fee which ranges from $2,500 - $100,000 annually or more
3. Ongoing percentage of revenue: between 5 - 7 percent
4. Time limited contract
5. Territorial limit
6. You have a better chance to leverage your income, but most franchisees have just bought themselves a job with lots of money to pay off on top of it
There is a new business model that is growing in popularity and seriously challenging the franchise model: It is called Network Marketing (Not to be confused with illegal Pyramid Schemes)
These are the advantages:
1. Low start up costs (from $45 - a few hundred)
2. Excellent high quality products
3. An established company
4. A proven system
5. No large investments required
6. No stock or delivery problems
7. No legal or accounting problems
8. Fair remuneration and promotion
9. No experience needed to get started
10. You get help from your team members
11. No territorial limits
12. You can keep working at your job until you have built up an income
13. You can leverage your income off the efforts of others up to a certain level deep
The disadvantages:
1. You have to have the discipline to work at it, and the patience and tenacity to learn how to sell and how to work the system.
Using this business model and working at it persistently, and resolving not to quit, you can build up your income slowly between 5 - 10 years while working at your job into a comfortable income that you only have to work at for about 2 - 4 hours per day. You can even have money to invest in Real Estate, saving schemes and shares. And most importantly, you will have a business that runs whether you work it or not, giving you time for the lifestyle you want.
Rate this Article:
Current: 0 / 5 stars - 0 vote(s).
Article Source: http://www.articlesbase.com/business-articles/how-men-and-women-of-35-can-retire-in-5-10-years-100883.html
|
Submitting articles has become one of the most popular means of generating quality backlinks and targeted traffic to your website. Join us today - It's Free! |
|
Related Articles
Entrepreneurship: The Super Career Of The 21st Century
By: Hannah Du Plessis | 05/02/2007 | Business
Your job no longer comes with a guarantee.
Yes, that is right, you might have been taught that if you work hard, study for a professional occupation, and score high grades, your future is set. Nothing can harm you. You get a job with your beautiful education and a good salary,...
What it Takes to Be a Winner
By: Doug Ragan | 08/02/2007 | Motivational
This article discusses the difference between a winner and a loser, and show how the minds of each differ, and how you can use that to become what you want.
Just Three Degrees!
By: Robin J. Elliott | 30/01/2008 | Business
Here’s how little things make a big difference, in life as well as business.
Sponsorship – a Wonderful Joint Venture
By: Robin J. Elliott | 30/01/2008 | Business Ideas
One of the best Joint Ventures available is Sponsorship. But it takes an understanding of the psychology and dynamics of this win/win scenario to make it work optimally in the interests of both parties.
Real Leverage
By: Robin J. Elliott | 30/01/2008 | Business
Most salespeople are too desperate to think beyond the immediate gratification of a sale. That is why they will never be anything but a salesperson. Here’s how to break through the glass ceiling.
Strategic Alliances Boost Sales
By: Robin J. Elliott | 31/10/2006 | Sales
Closing more sales. This is a popular topic. We've come along way since the "hard sell" and the manipulative closing techniques and tricks that used to work so well, so long ago...
Ten Tips to Master your Time Management
By: Kirsty Dunphey | 25/01/2007 | Strategic Planning
Value yourself and your time - follow these ten tips to master your time management skills and create more time for the better things in life.
The Twelve Power Secrets for Network Marketing Success
By: Rod Nichols | 24/06/2008 | Business Opportunities
Want to know the closely guarded secrets of the top income earners? Best selling author, Rod Nichols has done just that. Now you too can know the 12 power secrets for network marketing success!
Got a Question? Ask.
Ask the community a question about this article:
Frequently Asked Questions
Robertsons Spices (Unilever)
By: Stance | 09-07-2008
I would like to know what the annual sales volume is for Robertsons Spices (part of the Unilever group) in South Africa?
Securing $140,000,000 loan
By: gj1990 | 09-07-2008
i want to ask how can I raise $140,000,000 for a project. we have all details including business plans etc... ?? pls provide leads to legimate financial organisations who can finance this project . this project is in dubai,UAE
Builder inventory
By: JMcB | 09-07-2008
What are Banks going to do with unfinished builder homes after foreclosuer. If not sold at auction, will they hire other builders to complete them?
Hurricane Katrina related grants for businesses
By: Jamie | 09-07-2008
I am doing a school project in which I must choose a location and create the overall start-up plan for a bar/restaurant. I have chosen a location in New Orleans. I would appreciate any help or input someone mught be able to give regarding special options for financing or grants in Hurricane Katrina areas such as New Orleans. The place that I have chosen as my hypothetical site has everything included; all I would have to do is to devise a menu. I know that loans are generally not given for restaurant or bar businesses. Thanks for any help you can give.
I have a mortgage loan with Indymac bank. If they ...
By: loan | 09-07-2008
I have a mortgage loan with Indymac bank. If they do collapse, what will happen to my loan?
How do I defrost a Kenmore bottom freezer and refrigerator?
By: dorothy rastelli | 09-07-2008
We recently moved into an apartment and don't have a manual for any appliances. A bottle of a dark-colored natural vinegar was put in the refrigerator while in a plastic shopping bag. It tipped over and was slowly leaking for about a week before I discovered it. I tried washing the fridge out with baking soda and now have charcoal briquets in it. There is still a vinegary smell, even with all the food taken out and the shelves thoroughly cleaned. I would like to open the fridge door for awhile while the freezer stays cold. Would this be possible? If so, could I then reverse the freezer door staying open while the fridge is left cold? Thank you for your help.
Q&A Powered by: 
Latest Business Articles
Build a Home Based Internet Business
By: Carl Goodnight | 19/07/2008
This article describes the steps necessary to build a successful home based business or internet business. Some of the pleasures of working from home are: freedom to pick the hours you work, no commute. You can promote your product or service to the world and, if you hit it right, will be able to make more money than you ever dreamed possible.
The Basics of Creating a Filing System That You Can Benefit From Starting Today
By: Tracey Lawton | 19/07/2008
In my brand-new article, I'm going to share with you 7 easy steps for getting your filing system in place. The summertime is generally a quieter time with a more slower pace of business, so use this time to get one of your core office systems in place.
The 9 Things You Will Want to Include in Your Email Newsletters
By: Katrina Sawa | 19/07/2008
You probably get numerous newsletters across your desk each month. How many of those do you really read? I am sure that you scan certain newsletters for valuable information, while you just toss others. Then, of course, there those like mine (chuckle), which you read every last word of.
CEO Tips for Getting Staff to Understand You
By: Pamela Scott | 19/07/2008
This article is directed to the CEO, but it can help anyone in a management position communicate more clearly with staff.
Protect Your Internet Home Business
By: John McRae | 18/07/2008
Running an internet home business or any small business for that matter involves some degree of risk. The business could fail and if you are not protected creditors will be coming after you. There is also the very real possibility that your business could be a success and give you the financial freedom every person dreams of. With that new found freedom brings another creditor, the IRS.
How to Promote an Office Cleaning Business
By: Brent Wale | 18/07/2008
If you are either thinking about start your own janitorial/ office cleaning business, or if you already own and operate a cleaning business..Here are some tips on how to promote and market your cleaning company.
How to Establish yourself as an Expert
By: Katrina Sawa | 18/07/2008
Establishing yourself as an Expert in your field is a great way to get added exposure, publicity and credibility for you and your business which will ultimately bring you more sales and more money!!
Are Your Prices High Enough?
By: Stephen Oliver | 18/07/2008
Conventional wisdom dictates that you should discount to get the business at any cost. This article suggests that you in fact should be raising your prices instead and focussing on your most valuable customers instead.
More from Hannah Du Plessis
Entrepreneurship: The Super Career Of The 21st Century
By: Hannah Du Plessis | 05/02/2007 | Business
Your job no longer comes with a guarantee.
Yes, that is right, you might have been taught that if you work hard, study for a professional occupation, and score high grades, your future is set. Nothing can harm you. You get a job with your beautiful education and a good salary,...
10 Ways To Drive Targeted Traffic To Your Website
By: Hannah Du Plessis | 05/02/2007 | Marketing
Okay ... so you've built your website, now what?
There are several ways to drive high-quality traffic to your website without you having to spend anything. Here are 10 strategies you can use:
1. Optimize your site for the search engines.
You'd have to be a fulltime search engine optimization...
How To Use Traffic Exchanges Effectively
By: Hannah Du Plessis | 06/12/2006 | Communication
Traffic Exchanges: Love them or hate them. Why would you use them? Well, it is mostly effective if you have a website that you want to rank higher in the Search Engines and a perfect place to get more hits is at a Traffic Exchange.
How To Use The Power Of Networking And Leverage Like The Big Businesses Do
By: Hannah Du Plessis | 30/11/2006 | Business
How do you earn your money? Are you:
1. working for someone
2. a professional or self-employed (exchange your expertise for someone's money) = small business owner
3. a business owner
4.
|
|
Business 
