Tag Archives: 401K

9 Steps to Financial Prosperity

 

1. Make up in your mind that you want to control your own destiny:        Complaining and placing blame regarding your current situation doesn’t change anything. Any sort of physical discomfort causes a physical reaction. The same is true with mental discomfort. When you’re not happy and don’t feel good about where your life is going, realize you can change it. Just make up your mind.
2. Peacefully reflect on what types of things really interest you:
Quiet, peaceful thought allows you to hear yourself without the interference of the outside world. Find that quiet place, relax and allow yourself to hear what makes you happy, what you really like and are interested in. Make a list of these items. There is opportunity to profit in everything that gives you pleasure but you must first find out what that is.
3. Identify what your true and natural skill set is:
We all have gifts. Some of those gifts we were born with, others we have developed over time. What are they? You may be creative, analytical, mechanical or even charismatic. Whatever your talents are, identify them and list them.

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Top 10 Things to Consider When Shopping for a Franchise

If you’re an investor looking to put some cash to work outside the stock market, investing in a franchise business is a very popular option that is worth looking into. As tempting as it may be to just type the word, “Franchise” in your favorite search engine to “See what’s out there,” you’re going to need to understand several things first. JPayton Consulting assist entrepreneurs and investors nationwide put their ideas into action. Click Here to learn more.tree-of-wisdom

  1. How Franchises Work

It’s been called the greatest business model ever invented, and has enabled hundreds of thousands of people that never owned a business before to do just that; become owners of their own business.

The premise is simple; someone comes up with an idea for a product or service, implements it, and starts a business. The business turns out to be easily replicated there for the opportunity for expansion is simplified. This person doesn’t really want to just use all of their own money to grow the business, so the decision to seek out investors is a smart choice.

It’s just that the investors in this case are not only going to buy into the business; they’re going to run it too. As franchisees. That’s right; the person who came up with the business idea is now going to be the franchisor, and will be using other people’s money, i.e., franchisees, to grow the business.

  1. My Personal Risk Tolerance

Investing in a business (franchise or non-franchise) is risky. There’s no way to completely mitigate your risk, but there are ways to lower it. Are you prepared to risk your own money in a business venture?

One thing you can do to make sure that you’re really ready to write a check to a franchise company is this: Look back at some of the major decisions involving money that you’ve made over the years. How were you able to handle the “risk” part of those decisions? Did you analyze things for weeks, maybe even months on end? Or, did you do some research, and make your decision relatively quickly?

Bottom line, calculate your risk and be comfortable with it.

  1. The Franchisor’s Rules

Franchising is not free from accountability to the franchisor,  it can’t be. Can you imagine going into your local McDonald’s for a Big Mac only to find out that the franchisee decided to discontinue it?

Before you commit to becoming the owner of a franchise business, make sure that you understand the rules. All franchises have them, and need them. Rules maintain the consistency of the products, the services, and the brand.

  1. Your Personality Type

Before you become a franchise owner, do a self-check. Telling yourself that you’ll follow the rules in a franchise business, then actually following them once you become a franchisee are totally different things.

Some self-reflection is definitely warranted here. For example, in a corporate setting, there are always rules to follow. How did the rule-following work out for you? Were you generally comfortable with them, or did you have a problem following them? Did you feel that the rules that were in place didn’t apply to you? Dig deep here; either you’re a rule-follower, or you’re not.

If you don’t generally follow the rules, don’t buy a franchise. It probably won’t work.

  1. Your Finances

If you don’t know where you stand financially, you’ll waste an awful lot of time learning about and getting excited about franchise opportunities that may not even fit your budget.

Do a simple net worth statement before you start your franchise search. Add up your assets. Then add up your liabilities. The difference between the two is your net worth. You’ll need this information for the franchisors. (Most franchises have a minimum net worth requirement)

  1. Who Am I

Searching endlessly online for that perfect franchise may sound like the right way to find one, but it’s not. Trying to figure out what’s what without customizing your search can be a massive waste of time.

Instead, grab a legal pad and write down your top professional skills. In addition, write down some of the traits that tend to define you. Are you outgoing, or are you introverted? Are you highly competitive? Are you good with details, or are you a big-picture person?

  1. How to Find Possible Matches

Now that you’re armed with your top skills and some of your more dominant personal traits, it’s time to start your search for a franchise. Go to your favorite online search engine and type in “franchise opportunities,” or “franchises for sale,” and start digging in. You’ll see specific franchises come up, as well as a number of franchise directory type websites.

Here’s the trick; only request information from those that seem to be a fit for what you wrote down on your legal pad. See No. 6. And don’t forget to make sure that your net worth meets the minimum requirements.

  1. How to do proper research

Once you’ve found some franchises that could turn out to be a match, it’s time for you to do your research. You’ll find that some of your questions can be easily answered by your franchise development representative, while others can’t.

For instance, unless franchisee sales and earnings figures are clearly disclosed on the Franchise Disclosure Document, (which you’ll receive from the franchisor) your franchise representative cannot answer any earnings-related questions. But don’t worry; all you have to do is ask the current franchisees. In most cases, that’s where most of your answers about the business will be coming from anyway.

  1. You’ll need a business plan

Don’t even think of going into your local bank to apply for a small business loan without a formal business plan in your hands. The lender will want to see your projections and hear your story. JPayton Consulting can help you create one.

  1. The Process

The entire franchise discovery and research process will probably take two to three months to complete. Eventually, you’ll have to make a yes or no decision.

You’ll probably be a little nervous. After all, it’s not like your starting a new job. If you buy a franchise, you’re going to have real skin in the game, and it’s a game that you’re expecting to win.

You can win, if you focus on choosing an opportunity that’s really right for you, that you’ve done terrific research on, and that easily fits into your budget. Click Here to begin your search.

Your 401K and the Next Stock Market Crash, Plan Now!

It’s not a matter of if, but when the next significant market decline will occur. Utilizing a retirement vehicle such as a self-directed IRA can help you avoid serious loss. A self-directed IRA is an individual retirement account that gives you complete control over your investment choices. Stock market crash2Unlike other IRAs, you’re not limited to stocks, bonds, or mutual funds. This means you can take advantage of investing in alternative assets – such as a franchise, real estate, limited partnerships, and gold with your self-directed retirement account.

Opening a self-directed retirement account gives you the freedom to invest in almost any type of asset – meaning you have more flexibility in the amount of risk you take on and more potential for a higher rate of return.

The ability to diversify your portfolio by investing in alternative assets such as a franchise, real estate and precious metals can act as a hedge against market fluctuations and volatility.

Put your knowledge and expertise of a particular industry or niche to good use. Make investment decisions based on what you know and understand to grow your retirement savings.

Investing over time in a self-directed IRA that allows for tax-deferred or tax-free growth can significantly affect future wealth positively.

“Private Placements” is a term that refers to investing in privately held entities, such as companies or small businesses.  Banks have recently tightened their purse strings when it comes to lending to these entities, creating a higher demand for development capital from investors.

For those seeking funds, obtaining capital from a self-directed IRA owner can be simpler and faster than the loan process with institutional lenders. For self-directed IRA owners, this type of lending has the potential to bring higher returns than the stock market or CDs.

Providing private loans to businesses is an allowable way to diversify your retirement portfolio. Your self-directed IRA can invest in:

  • LLCs
  • C corporations
  • Private stock
  • Partnerships
  • Private placement memorandums
  • Businesses
  • Land trusts
  • Secured and unsecured notes
  • And more

To learn more about the different ways your IRA can invest in private placements, or to make a private placement investment, please Contact Us today.

Stop Your 401K from Bleeding on Wall St. Every Time the Stock Market Goes Down, Here’s How!

Time is said by many to be our greatest asset. We never have enough of it and when it’s gone, we can’t get it back. During our work lives we monetize our time in the form ofblood-money4 wages vs hours and we evaluate the opportunity cost of spending our time doing something more or less financially lucrative. These thoughts can be summarized with the age long expression “time is money”. JPayton Consulting works with people all over the country and offers many solutions to help our clients maximize their time and money resources. Contact Us for more information.

Most Americans spend many years working hard to support their families and to provide a comfortable lifestyle for their loved ones and themselves. Simultaneously, they set aside a portion of those earnings to provide an income after retirement. Pension plans, IRA’s and 401K’s are the primary investment vehicles that are employed. Those funds are spread out amongst various sub accounts within those vehicles for the sake of diversification. One important question to consider is, what do pension plans, IRA’s and 401K’s ALL have in common? The answer is, they are all heavily invested in the stock market. Stocks have subjected investors to several headline-grabbing declines over the past few years. When the entire stock market takes a dramatic drop, so does the value of your retirement account. You were never diversified at all.

For baby boomers, the major stock market “corrections” over the last 30 years have wiped out years of positive portfolio gains leaving investors to spend the next few years recovering what they lost. At the depths of the financial crisis in 2008, the average 401k balance plummeted by 25%. With this cycle repeating itself every few years, investors find themselves right back where they started. It is said that “the definition of insanity is doing the same thing over and over and expecting different results”. If that definition is true, someone approaching their golden years and continuing to invest their retirement funds in the stock market would classify as insane.

One proven option to escape the insanity of relying on the stock market to grow and preserve your retirement assets is to redirect those funds to the purchase of a franchise. A franchise allows you to go into business for yourself but not by yourself. All of the necessary systems, monitors and controls to run a successful business have already been developed and implemented therefore leaving the new franchisee with the sole responsibility of operations. Essentially a new franchisee has purchased a business in a box.

Selecting the type of franchise that is the best fit for a particular owner is very important. Franchises cover all industries and market segments and offer multiple operating structures. They can be owner operated, semi absentee operated or fully absentee operated. When researching these options working with a professional franchise consultant can eliminate a lot of the guesswork and be the source of valuable information and resources that will contribute to your success. Firms like JPayton Consulting have many years of experience working with a large portfolio of franchisors therefore providing viable options and easing the process for potential franchisees. Contact Us for a free, no obligation consultation on how we can help you protect your assets.