Ever since quitting my corporate non-profit job back in 2008, I have been self employed for the last 10 years using the power of the internet and creating passive income generating internet websites.
It’s just one of the many ways you can ditch your corporate job and become self employed.
I recently received a question from a loyal reader who is an army veteran and managed to save $150,000 over the past years due to success in the stock market.
If you have saved up a nice chunk of cash and are looking for a potential business opportunity, then you want to read the following suggestions in this article before you get started.
1. Being Self-Employed Requires A lot of Responsibility
Many people think they can make the transition from working a job to starting their own business, but it’s not as easy as you think. You need to change your mindset first because 80% of businesses fail within the first 2 years.
What I suggest is getting educated first in whatever field you are considering before you invest a substantial amount of capital.
- Go back to College/University and earn your degree in a specialized field
- Take an online course that provides insight of your desired field
- Sign up for a live seminar and network with other successful self employed business owners
- Reach out to a mentor who is already successful and simply learn from them.
Education is the most important thing at first so be sure to soak up as much information as possible.
2. Invest at least 10% of Your Funds in Gold
One of the reasons many entrepreneurs go broke is because they are too heavily invested in paper assets (stocks, cash, bonds). These assets come and go quickly, especially in a business that requires new capital upfront.
Always store away some of your savings in precious metals to give yourself an emergency stash in case something goes wrong.
Gold and Silver have been money for over 5,000 years and never go to zero.
3. Consider Starting An Online Business With Little Capital Upfront
One of the wonderful things about online businesses is that they require very little capital upfront so the risk level is extremely low.
You can purchase a domain name for $15 and get a WordPress theme for around $50 to $75. Invest a couple hundred dollars in content and you have an online business that can generate anywhere from $100 to $100k+ month from anywhere in the world.
There are many different types of online businesses including:
- Service Businesses
- Ecommerce Stores
- T-shirt Shops
- Travel Agency
Jeff Bezos, the richest man in the world, founded the world’s largest ecommerce store, Amazon.com. This proves that the internet allows you to reach a substantial larger target market and earn an income 24/7/365.
It’s really simple to get started online. All you need is a domain name and web hosting.
Here’s a list of resources to help you get started”
- Domain Names – I purchase all my domain names through Godaddy. It costs around $15 per year to register a domain. I prefer using dot coms.
- Web Hosting – Siteground is my favorite web host and I’ve been using them for years.
- Content Management System – I use WordPress for all my websites. It’s free and easy to use.
4. Invest in Real Estate and Earn Income Using Booking Sites Like AirBNB
One of the smartest long term investments is purchasing income producing real estate like condos and apartments in popular locations around the world. The earth only gets more valuable over time as global populations increase and the demand of housing surges.
If you can’t find any decent deals in developed countries, then try emerging markets like Latin America, Africa and Southeast Asia where you can purchase condos for as little as $10,000 then rent them out on AirBNB to generate passive income.
As more people move towards the city, I expect rental rate to double or even triple within the next 10 years in cities like Rio de Janeiro, Manila, Bangkok, and Nairobi. These means your rental properties will continue to earn money while you still own the actual unit.
You can either raise your rents or flip the condo/apartment for a profit.
5. Launch an Online Course That Teaches an In-demand Skill
Many entrepreneurs are making a fortune launching online courses in a wide variety of niches to match the growing demand for online education.
If you have experience in any area like business, travel, cooking, finance, and any widely searched topic, you can launch an online course and make a nice profit.
Teachable is an easy way to launch an online course for just $99 and start accepting credit cards on your website. You can either sell your courses directly on Teachable or accept payments on your website. Either way, online education is making BIG BUCKS and I expect this demand to grow much more in the future.
Wrapping Things Up
If you are sitting on a substantial amount of money, then you really need to think about capital preservation first before you start investing large sums of money.
Many professional athletes and celebrities end up going broke years after their careers are over because they invest in too many risky business opportunities that they don’t understand.
Remember: Your goal is to become self employed and create an income generating business. If you have a big idea that requires a big cash investment, then you should consider borrowing money or bringing in 3rd party investors to support your idea.