Using Assets To Create More Assets
14 February 2009
In following the teaching of Robert Kiyosaki I needed to create some assets to help me speed up my debt snowball so I can become debt free except for my mortgage. I just have to take care of the rest of my truck loan and i’m close so I was getting antsy. I decided to sell a website that I created in December and I was pleasantly surprised to get $1000 for the website. I priced it at 9 months of revenue so while in the long run I should have kept the site, $1000 takes another 10% off my truck loan. However I decided that since I was playing with the house’s money i’d channel some of that $1000 back into more assets. I took about $400 and will put it into several new projects related to Minnesota Unemployment and unemployment in other states. My estimates show that each site should generate $60-$90 per month. My cost per site is about $60 so if I build 7 sites with my $400 I should have the money back and be generating cash flow within 2-3 months. I can still take $600 and pay down my debt. then I can use the cashflow from these new sites to keep buying and building these assets much like real estate investors do with rental properties.