Multiple Streams of income 3: The Power of Leverage in Wealth Creation

Do you want to have multiple streams of income flowing into you and to have Financial Freedom? If yes, then I would want to know; how do you intend on achieving this? Is it by getting a part time job and increasing your work hours?
In this post I'm going to share with you how you can have Financial freedom by using the powerful tool of Leverage.

Adding a part time job to your weekly schedule will only give you more bosses and keep you away from your family longer than it has already been. But I thought we were trying to obtain time freedom as well? If you add another job to your list, you will still be an employee or a self-employed person. But remember our previous lesson in this training, You cannot be financially Freedom by being an employee or a self-employed person. You have to start thinking like Business owners and Investors.

What if I were to show you a way you could reduce your work hour and increase your income thereby? Would you be ready to invest that little time into building a financial empire for yourself? Sure you would.

Meaning and Examples of Leverage

The word leverage was first used to descry e “lever age” which is the mechanical effort that a lever has on a load. But today, the word is used in the business world to refer to the idea of using an already existing system (lever) to achieve a desired result (load).
Therefore, talking about achieving financial freedom, it is way easier to use an already existing system to get this goal. Even if you want to build your own company, the most effective way is to leverage with other people, companies and systems. This will get you to your destination at rocket speed. With leverage, you can build a company of any size with little or no money of yours.

Examples of Leverage

Airbnb: Through Airbnb, you can make yur random hotel booking for over 550,000 hotel rooms from over 30,000 cities of over 192 countries in the world. Yet, the truth is that, the Airbnb, as the largest hotel booking firm in the world, does not have a single hotel room belonging to itself.

Uber: Same goes for Uber which is the largest car rental company of the world. But this company still does not have any car belonging to itself.
How is that even possible? It is the power of leverage (in other word, sharing economy). The secrete is that, it is team work that makes the dream work.

How to Build Your Own Company with Levarage (No Cash? No Worries!)

Like Airbnb and Uber, you can setup that dream company of yours with little or no money. How?
Lets say you wanted to build a restaurant company which will have 500 serving points and sells 50 different kinds of dishes. Lets also you want the resturant to run 24/7.

Assuming that you had done all the feasibility studies and have drawn out your market plan.
Based on your study, you discovered that to build the restaurant and get it ready for operation would cost $1,000,000 and you had only $100,000 or at worse case, lets say you had nothing to start with. Well, No Cash? No Worries!

The truth is that you can’t build a company without money, so if its not going to be your money, it has to be someone else’s money and we have to get a way to get someone put his money down for us.  Please follow me as we solve this problem step by step.

• Step #1: First lets divide the project into ten sections. Each sections of the restaurant will produce 5 kinds of dishes and also run 24/7. This also means that our budget will now be 50  serving points and $100,000 per section, assuming all section cost equally. Now that we have done our break down analysis, let’s move on to the next stage.
• Step #2: Try and get the names and contacts of 20 real time investors (people, organizations or companies) in your city. Our aim is to get ten of them to agree to do business with us. You must know that you are trying to help them with an investment opportunity which they will benefit from ( i.e they must be convinced that your business idea will profit them in some sort of way.
• Step #3: now arrange for and meet them with your business idea and plan. And I bet you, if your business plan is good enough, you won’t find it difficult to get these ten investors. Therefore you have to properly structure the business plan and also plan your presentation properly before going to meet any of them. You also need to have a good bargain with them. What I mean is, how is the profit going to be shared between you and them? And since each of them will be managing their sections (just the way it is done in shopping mall), you should try and strike a balance so that you don’t end up regretting nor end up losing your prospects. Done? Lets continue.
• Step #4: Assuming we’ve gotten all our prospects ready, next thing we want to do is to follow up and see to it that the restaurant is built and all the necessary contracts are signed. And that the restaurant is set in operation. 
• Step #5: Now you can sit at home or be at the beach while your idea is paying you for the rest of your life. But please ensure to keep tract with the company’s inventory so that you don’t lose out.

Besides, you can always open other branches in some other parts of your country once business begins to grow. And you will soon start having millions or even billions of dollars hitting your bank account every single day.
This is what Uber, Airbnb most shopping malls and othe major companies are doing. It is the principle of leverage. And more importantly, it is a stream of residual income, you set it up once, and it continues to pay you for the rest of your life.

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