Did you know that less than one percent of the people currently living on this planet account for almost twenty-five percent of ALL the wealth? These powerful people certainly don’t want you to know this...they want you to stay as mindless drones whose sole objective is to keep THEM wealthy. What is the secret this small fraction of the population knows that the rest do not?
If you haven't seen the movie "The Secret", I implore you to watch it! The Secret is the most powerful law in the universe! If you have already seen it, watch it again. To watch "The Secret" online, copy and paste this url into your browser; http://www.thesecret.tv/home.html
Or you can watch "The Secret" On Demand via cable and satellite for audiences in the United States and Canada.
This small minority of people who are currently pulling the strings on world politics and world economics have mastered The Secret. These are the same people who want The Secret banned like it was once banned hundreds of years ago. Now The Secret has been un-earthed for all to discover its tremendous power once again!
There also have been great leaders who have mastered The Secret and made positive contributions to all of humanity. Leaders like Albert Einstein, Abe Lincoln, and Mother Teresa to name a few.
We are now living in an exciting new age of technology where humanity can do incredible things. The brick and mortar corporations who once ruled our economy unequivocally over the little guy are slowly losing their death grip due to the astonishing power of the internet!
So what is this secret you ask? In a sentence; "The Secret Is The Law Of Attraction". Simply stated, you get what you wish for...or your thoughts dictate what you get in life. Your health is dictated by your thoughts as well as your wealth.
Think of your thoughts as little tiny magnets...the intensity of these tiny magnets or thoughts are in direct proportion to the emotions you attach to it. The stronger the magnet, the stronger the attraction. This explains why a lot of people don't get what they wish for. They have not attached a strong enough emotion to their dream. Or they feel they don’t deserve their dream so they don’t bother pursuing it.
Let me give you an example of how the law of attraction works in a negative way. Think of the days when you got started off the wrong foot, then said to yourself "this is gonna be a long and terrible day". What happened? A long and terrible day...you got what you wished for! The degree of how terrible your day turned out was proportional to the intensity of the negative emotion you attached to the thought, right?
So how do these little "magnets" or thoughts attract what we want or don't want in our lives you ask? Well, and this is based on quantum physics that scientists have just learned in the last 10 or 15 years. There is an invisible universal mind if you will that contains all the dreams and thoughts of everyone who has ever lived or will live...past...present...future. This is quite the paradox you may think, how can this be?
The "time" element in this universal mind has been negated or altered. Quantum physics has recently shown us that a single electron can occupy two different spaces in an electro-magnetic field at the same exact point in time, once thought impossible. This goes against the laws of physics unless time has been negated or altered some how, the only possible explanation. So you may be able to connect with the dreams of someone who hasn't been born yet. Are you getting excited yet?
The Universal Mind is a sort of collective consciousness. The place where dreams are born. These dreams are invisible and waiting to take physical form.
How do you convert your dreams from the universal mind to the physical realm? By constantly thinking about your dreams with strong emotions and just as importantly - taking action! I am NOT talking about wishful thinking here...you must take action on your dreams!
It helps to have pictures of your dreams and look at them every day. Write your dreams down. Formulate a plan that is specific and with deadlines that will bring your dreams to fruition...and stay the course! “Don’t die with your dreams still inside you” as Dr. Wayne Dyer likes to say.
That is why I firmly believe you should pursue ventures you have a passion for...then you will find it easier to attach strong positive emotions to your thoughts and dreams.
This is the most powerful law in the universe, use it wisely my liege...
Good Luck and Stay the Course!
Saturday, December 29, 2007
India - The Real Estate Player
In the new millennia of real estate India has emerged as strong, swift and bold player. Industry expert’s believe that the Indian real estate has huge demand potential in almost every sector, be it commercial, residential or retail.
"India is the most exciting real estate market in Asia," says Michael Smith, head of Asian real estate investment banking at Goldman Sachs. "It's one of the last major countries in Asia with an improving market."
The Real Estate explosion
This spurt of growth in the Indian real estate is in large part due to the by the burgeoning outsourcing and information technology (IT) industry. By 2010, the IT sector alone is expected to require 150 million sq.ft. Of space across major cities .New companies means new offices, houses, shops in short commercial, residential and retail space.
This growth is facilitated by favorable demographics, increasing purchasing power, existence of customer-friendly banks and housing finance companies, professionalism in real estate and reforms initiated by the Government to attract global investors. People have more purchasing power and exposure to organized retail formats has redefined the consumption pattern. Even small towns want to emulate the culture of their big city cousins. As a result, retail projects have been mushrooming across even B-grade cities.
This new way of life has quite drastically changed the face of India’s real estate, may it be the city centers the urban areas or the new yuppie towns. Small shops, old fashioned bungalows and office blocks have all changed into luxurious apartments, with club-houses, pools and sprawling greens. Instead of small shops we have humongous sprawling malls and office complexes.
The Global Effect
When Farallon Capital Management, a U.S. hedge fund, and its joint-venture partner, Indiabulls, snapped up an 11-acre property in central Mumbai in March 2005 for $54.5 million an acre, the purchase was called an act of idiocy by local developers. A few months later, when the same joint venture offered $95.5 million an acre for a nearby property, this was the second-lowest bid.
The first dynamic impact that announced a global change in the Indian real estate sector came when the Government introduced new policies in February 2005. It allowed 100 per cent foreign investments in construction projects with fast-track approvals. But the fatal attraction for foreign investors was the potential investment returns of 25 per cent or more in Indian projects that were nearly impossible to achieve in the US and European markets today.
Industry sources more than 90 foreign investors are already in the country tapping into the real estate investment avenues in India. Dozens of US funds are being raised for investments in Indian realty. Those raising the funds include Blackstone Group (US$ 1 billion) Goldman Sachs (US$ 1 billion), Citigroup Property Investors (US$ 125 million), Morgan Stanley (US$ 70 million) and GE Commercial Finance Real Estate (US$ 63 million) JP Morgan, Warburg Pincus, Merrill Lynch, Lehman Brothers, Warren Buffett’s Berkshire Hathaway, Colony Capital and Starwood Capital, and believe it or not this is just the tip of the ice-berg.
Morgan Stanley closed a deal worth about US$ 150 million with Oberoi Constructions in Mumbai. The Nakheel Group in Dubai entered into a US$ 10 billion deal with DLF for residential projects in Tier I and II cities. This was followed by three financial institutions -- Khaleej Finance and Investment (KFI) from Bahrain, Kuwait Investment Company (KIC) and Kuwait Finance House (KFH) -- from the Middle East promoting a US$ 200 million fund for investing in India.
Players At Home
Investors back home have also sat and started taking active participation in the real estate segment. Indian financial institutions are competing with each other. Prominent companies promoting real estate funds in India are HDFC Property Fund, DHFL Venture Capital Fund, Kotak Mahindra Realty Fund, Kshitij Venture Capital Fund and ICICI’s real estate fund, India Advantage Fund.
The Tata group has also joined hands with private equity firm, Xander, to raise US$ 1 billion for an institutional retail real estate fund. DLF has raised US$ 2.24 billion in the country's largest initial public offering and has also entered into a joint venture agreement with Indian pharmaceutical major Ranbaxy group company Fortis Healthcare to set up hospitals across the country with investments of about US$ 1.5 billion.
Conclusion
But with the boom comes the crunch, property prices in India are rising fast, real fast and not just in the biggest cities. As the tech boom spreads across the country, and as more Indians buy homes, and as the economy grows at faster than 8% a year, real estate is attracting more investors, many of them from abroad.
It is really no longer going to be cheap or easy to be a player in the Indian Real Estate Game.
"India is the most exciting real estate market in Asia," says Michael Smith, head of Asian real estate investment banking at Goldman Sachs. "It's one of the last major countries in Asia with an improving market."
The Real Estate explosion
This spurt of growth in the Indian real estate is in large part due to the by the burgeoning outsourcing and information technology (IT) industry. By 2010, the IT sector alone is expected to require 150 million sq.ft. Of space across major cities .New companies means new offices, houses, shops in short commercial, residential and retail space.
This growth is facilitated by favorable demographics, increasing purchasing power, existence of customer-friendly banks and housing finance companies, professionalism in real estate and reforms initiated by the Government to attract global investors. People have more purchasing power and exposure to organized retail formats has redefined the consumption pattern. Even small towns want to emulate the culture of their big city cousins. As a result, retail projects have been mushrooming across even B-grade cities.
This new way of life has quite drastically changed the face of India’s real estate, may it be the city centers the urban areas or the new yuppie towns. Small shops, old fashioned bungalows and office blocks have all changed into luxurious apartments, with club-houses, pools and sprawling greens. Instead of small shops we have humongous sprawling malls and office complexes.
The Global Effect
When Farallon Capital Management, a U.S. hedge fund, and its joint-venture partner, Indiabulls, snapped up an 11-acre property in central Mumbai in March 2005 for $54.5 million an acre, the purchase was called an act of idiocy by local developers. A few months later, when the same joint venture offered $95.5 million an acre for a nearby property, this was the second-lowest bid.
The first dynamic impact that announced a global change in the Indian real estate sector came when the Government introduced new policies in February 2005. It allowed 100 per cent foreign investments in construction projects with fast-track approvals. But the fatal attraction for foreign investors was the potential investment returns of 25 per cent or more in Indian projects that were nearly impossible to achieve in the US and European markets today.
Industry sources more than 90 foreign investors are already in the country tapping into the real estate investment avenues in India. Dozens of US funds are being raised for investments in Indian realty. Those raising the funds include Blackstone Group (US$ 1 billion) Goldman Sachs (US$ 1 billion), Citigroup Property Investors (US$ 125 million), Morgan Stanley (US$ 70 million) and GE Commercial Finance Real Estate (US$ 63 million) JP Morgan, Warburg Pincus, Merrill Lynch, Lehman Brothers, Warren Buffett’s Berkshire Hathaway, Colony Capital and Starwood Capital, and believe it or not this is just the tip of the ice-berg.
Morgan Stanley closed a deal worth about US$ 150 million with Oberoi Constructions in Mumbai. The Nakheel Group in Dubai entered into a US$ 10 billion deal with DLF for residential projects in Tier I and II cities. This was followed by three financial institutions -- Khaleej Finance and Investment (KFI) from Bahrain, Kuwait Investment Company (KIC) and Kuwait Finance House (KFH) -- from the Middle East promoting a US$ 200 million fund for investing in India.
Players At Home
Investors back home have also sat and started taking active participation in the real estate segment. Indian financial institutions are competing with each other. Prominent companies promoting real estate funds in India are HDFC Property Fund, DHFL Venture Capital Fund, Kotak Mahindra Realty Fund, Kshitij Venture Capital Fund and ICICI’s real estate fund, India Advantage Fund.
The Tata group has also joined hands with private equity firm, Xander, to raise US$ 1 billion for an institutional retail real estate fund. DLF has raised US$ 2.24 billion in the country's largest initial public offering and has also entered into a joint venture agreement with Indian pharmaceutical major Ranbaxy group company Fortis Healthcare to set up hospitals across the country with investments of about US$ 1.5 billion.
Conclusion
But with the boom comes the crunch, property prices in India are rising fast, real fast and not just in the biggest cities. As the tech boom spreads across the country, and as more Indians buy homes, and as the economy grows at faster than 8% a year, real estate is attracting more investors, many of them from abroad.
It is really no longer going to be cheap or easy to be a player in the Indian Real Estate Game.
What's REALLY Holding You Back?
What's REALLY Holding You Back?
by: Laurie Hayes
This may or may not surprise you, but I have learned that regardless of age, it usually isn't lack of skill, time or money that gets in the way of starting or growing your business.
Most of the entrepreneurs I work with are between 40 to 65 years young, and when they hit a wall or spin their wheels, it's rarely associated to lack of ability, desire, physical or monetary means.
Physically, they have what it takes, but mentally -- there's a lifetime of baggage blocking access to real progress.
Many have raised children, have been supervisors at work, devoted and hardworking employees, and creative geniuses, and despite their lifetime of accomplishments, something seems to come up when they begin the journey from employee to entrepreneur.
Some of it is tied to the transition into the business world, but much of it also comes from reaching a certain point in life where you can start putting your needs ahead of others. You have raised your children, supported your spouse in his or her career, served as a loyal employee to your boss and now, it's time to focus on following your dream.
The problem is the dream is clouded by old programming.
How many times in the past did you do or say things you didn't want to simply to please your parents, teachers, spouse, church leaders or children?
Did you take courses you didn't want to take or jobs you hated because someone told you it was best for you? Did you marry someone you shouldn't have because you were told it was the "right" thing to do?
How many times were you told you had dumb ideas, weren't smart, pretty or strong enough?
How many times were you told not to bother pursuing a professional sport, music or writing because you'd never make it -- only the exceptional few did?
If you're struggling to get clear on what you want or if you're not taking the right actions even though you know what must be done, look inside yourself and try to uncover what's really holding you back.
How much of other people's "stuff" are you allowing to influence how big you dream and the actions you do or do not take?
I recall a colleague of mine who today is a millionaire, but when he started his business he struggled to succeed. He had done well in corporate, but when he started to promote his new business, he couldn't attract clients.
It was only after he locked himself in his office for a full day and began looking at his marketing materials that he realized he had designed everything to appease his father and gain his approval. He wasn't communicating to his target audience at all.
He re-wrote his material, changed the way he promoted himself, and within months attracted numerous clients.
Another client realized in her late 50's that because she was allowing her father to make her feel guilty because he had helped her out when she was younger, every day was dictated by his mood and the demands he placed on her.
She couldn't grow her business because she allowed her father to determine the amount of time and activities she could focus on each day.
It took almost two years to release the guilt and feeling that she had to be at his beck and call, but when she did, doors began to open. She started receiving phone calls and orders from large organizations and she started meeting people with huge networks who loved her products and wanted to share her with all of their friends.
She became a vibrant, confident woman and started attracting other vibrant people into her life.
I share these stories not to encourage you to blame your parents or loved ones for the obstacles in your life, but to create awareness of the fact that what often holds us back is our belief that we must be responsible for everyone else's happiness and comfort.
One of my former clients works with people who struggle with what she calls People Pleasing Syndrome because it is more often than not the biggest obstacle to personal and professional growth.
If you're facing challenges in your business, take some time to look at the behaviors and beliefs you hold. What thoughts may be holding you back? What actions do you take that you know for a fact aren't moving you forward?
Make the effort to uncover the reasons behind your thoughts and actions. If this is too hard to do on your own, seek the assistance of a coach or trusted professional.
Your life, your business and your ultimate happiness depend on your ability to give yourself permission to follow your dream without guilt or embarrassment and if you need help to make that happen, give yourself that gift. You deserve it.
by: Laurie Hayes
This may or may not surprise you, but I have learned that regardless of age, it usually isn't lack of skill, time or money that gets in the way of starting or growing your business.
Most of the entrepreneurs I work with are between 40 to 65 years young, and when they hit a wall or spin their wheels, it's rarely associated to lack of ability, desire, physical or monetary means.
Physically, they have what it takes, but mentally -- there's a lifetime of baggage blocking access to real progress.
Many have raised children, have been supervisors at work, devoted and hardworking employees, and creative geniuses, and despite their lifetime of accomplishments, something seems to come up when they begin the journey from employee to entrepreneur.
Some of it is tied to the transition into the business world, but much of it also comes from reaching a certain point in life where you can start putting your needs ahead of others. You have raised your children, supported your spouse in his or her career, served as a loyal employee to your boss and now, it's time to focus on following your dream.
The problem is the dream is clouded by old programming.
How many times in the past did you do or say things you didn't want to simply to please your parents, teachers, spouse, church leaders or children?
Did you take courses you didn't want to take or jobs you hated because someone told you it was best for you? Did you marry someone you shouldn't have because you were told it was the "right" thing to do?
How many times were you told you had dumb ideas, weren't smart, pretty or strong enough?
How many times were you told not to bother pursuing a professional sport, music or writing because you'd never make it -- only the exceptional few did?
If you're struggling to get clear on what you want or if you're not taking the right actions even though you know what must be done, look inside yourself and try to uncover what's really holding you back.
How much of other people's "stuff" are you allowing to influence how big you dream and the actions you do or do not take?
I recall a colleague of mine who today is a millionaire, but when he started his business he struggled to succeed. He had done well in corporate, but when he started to promote his new business, he couldn't attract clients.
It was only after he locked himself in his office for a full day and began looking at his marketing materials that he realized he had designed everything to appease his father and gain his approval. He wasn't communicating to his target audience at all.
He re-wrote his material, changed the way he promoted himself, and within months attracted numerous clients.
Another client realized in her late 50's that because she was allowing her father to make her feel guilty because he had helped her out when she was younger, every day was dictated by his mood and the demands he placed on her.
She couldn't grow her business because she allowed her father to determine the amount of time and activities she could focus on each day.
It took almost two years to release the guilt and feeling that she had to be at his beck and call, but when she did, doors began to open. She started receiving phone calls and orders from large organizations and she started meeting people with huge networks who loved her products and wanted to share her with all of their friends.
She became a vibrant, confident woman and started attracting other vibrant people into her life.
I share these stories not to encourage you to blame your parents or loved ones for the obstacles in your life, but to create awareness of the fact that what often holds us back is our belief that we must be responsible for everyone else's happiness and comfort.
One of my former clients works with people who struggle with what she calls People Pleasing Syndrome because it is more often than not the biggest obstacle to personal and professional growth.
If you're facing challenges in your business, take some time to look at the behaviors and beliefs you hold. What thoughts may be holding you back? What actions do you take that you know for a fact aren't moving you forward?
Make the effort to uncover the reasons behind your thoughts and actions. If this is too hard to do on your own, seek the assistance of a coach or trusted professional.
Your life, your business and your ultimate happiness depend on your ability to give yourself permission to follow your dream without guilt or embarrassment and if you need help to make that happen, give yourself that gift. You deserve it.
11 Steps To Creating The Perfect Business Plan
What should a business plan cover?
That’s the million dollar question.
For one thing, it should offer a thorough analysis of the need for the particular product or service you are planning to offer. It also needs to talk about how you are qualified to be making such an offering to the public.
A business plan should address your strategies in terms of production and marketing, how you will be organized, any legal aspects that you must address, and what your accounting methods will be. In short, a business plan should address the following questions:
* What do I want and what am I capable of doing?
* What are the most workable ways of achieving my goals?
* What can I expect from the future?
Keep in mind that there is not one specific format that you should use, or one best way to lay out your business plan. However, there are some steps you can take to make the process go a little more smoothly; we’ve listed what we think is the easiest method, below.
Step 1: Making the Commitment – be sure that you desire to work for yourself is truly greater than you desire to work for someone else.
Step 2: Analyze yourself – list your strengths and weaknesses. Determine how you can build off your strengths, and improve on your weaknesses. Remember, this can be a daunting task because you may have to own up to a few shortcomings you’re not prepared to recognize!
Step 3: Choose a Product or Service – this sounds silly, but just because you think you know what business you want to be in, it doesn’t mean your idea will be a profitable one. Take a look at the feasibility of your idea.
Step 4: Research Your Market – marketing research is crucial to the success of any business, large or small. The more you know about your potential market, the greater your chances of securing the customers you want, right out of the gate, and that means making a profit.
Step 5: Forecast Your Sales Revenue – after you take a look at the market your product is best suited for, estimate the percentage of that market that you think you will reasonably be able to take over. Take in to account the number of your competitors, their size, and the amount of market they already have. It is important to be realistic during this exercise.
Step 6: Choose a Location – is your new business going to be on the web? Or will you have a retail storefront? Will you consult out of your home office? Be careful to weight both your personal preferences and what makes the most sense for the ultimate success of your business. You might like the idea of working in your pajamas every day, but if your shingle needs to be seen by the public for maximum growth potential, a home office might not be your best option.
Step 7: Develop a Marketing Plan – here you will be forced to detail you plan to gain customers, and turn a profit. Discuss possible marketing channels, price points, advertising, and sales promotion.
Step 8: Develop an Organizational Plan – what skills and talents do your new business need to not only survive, but to grow as well? If you don’t have all these traits, how are you going to get them in the door? Will you hire freelancers? Are you hoping to bring on an employee right away? If these individuals, and their skill sets, are vital to your success, do not make a plan without them!
Step 9: Decide on Your Status – sole proprietor? Partnership? You need to decide how you’re going to approach this, and investigate the legal ramifications of each situation. As a sole proprietor, you’re in control, but you’re also solely responsible. In a partnership, you share the responsibility, but you also share the decision making and the profits. What works best for your budget AND your personality?
Step 10: Address Your Accounting – if you don’t know how much money is coming in and out of your business, you will never know if you are making a profit, or if you need to make changes. Keeping track of your numbers is one of the single most important things you can do for your business. Decide on whether you will do it in house, or outsource it to a professional; if you take care of it yourself, decide on what software you will use.
Step 11: Put it All into Numbers – this may or may not be necessary for you; it depends on what type of business you are starting. When you approach a financial institution for a small business loan, they will respond better if they see all of your plans in numbers; they are, after all, in the business of numbers. So, go back through all the above steps, and assign dollar amounts to what you can; when you approach the bank, you can tell them exactly how much you need, and show them where their money will be going. You can then show them, with a number, how much of the market you are planning to corner, and your growth, by percentage, over the next X years.
That’s it – wasn’t so hard after all, was it?
That’s the million dollar question.
For one thing, it should offer a thorough analysis of the need for the particular product or service you are planning to offer. It also needs to talk about how you are qualified to be making such an offering to the public.
A business plan should address your strategies in terms of production and marketing, how you will be organized, any legal aspects that you must address, and what your accounting methods will be. In short, a business plan should address the following questions:
* What do I want and what am I capable of doing?
* What are the most workable ways of achieving my goals?
* What can I expect from the future?
Keep in mind that there is not one specific format that you should use, or one best way to lay out your business plan. However, there are some steps you can take to make the process go a little more smoothly; we’ve listed what we think is the easiest method, below.
Step 1: Making the Commitment – be sure that you desire to work for yourself is truly greater than you desire to work for someone else.
Step 2: Analyze yourself – list your strengths and weaknesses. Determine how you can build off your strengths, and improve on your weaknesses. Remember, this can be a daunting task because you may have to own up to a few shortcomings you’re not prepared to recognize!
Step 3: Choose a Product or Service – this sounds silly, but just because you think you know what business you want to be in, it doesn’t mean your idea will be a profitable one. Take a look at the feasibility of your idea.
Step 4: Research Your Market – marketing research is crucial to the success of any business, large or small. The more you know about your potential market, the greater your chances of securing the customers you want, right out of the gate, and that means making a profit.
Step 5: Forecast Your Sales Revenue – after you take a look at the market your product is best suited for, estimate the percentage of that market that you think you will reasonably be able to take over. Take in to account the number of your competitors, their size, and the amount of market they already have. It is important to be realistic during this exercise.
Step 6: Choose a Location – is your new business going to be on the web? Or will you have a retail storefront? Will you consult out of your home office? Be careful to weight both your personal preferences and what makes the most sense for the ultimate success of your business. You might like the idea of working in your pajamas every day, but if your shingle needs to be seen by the public for maximum growth potential, a home office might not be your best option.
Step 7: Develop a Marketing Plan – here you will be forced to detail you plan to gain customers, and turn a profit. Discuss possible marketing channels, price points, advertising, and sales promotion.
Step 8: Develop an Organizational Plan – what skills and talents do your new business need to not only survive, but to grow as well? If you don’t have all these traits, how are you going to get them in the door? Will you hire freelancers? Are you hoping to bring on an employee right away? If these individuals, and their skill sets, are vital to your success, do not make a plan without them!
Step 9: Decide on Your Status – sole proprietor? Partnership? You need to decide how you’re going to approach this, and investigate the legal ramifications of each situation. As a sole proprietor, you’re in control, but you’re also solely responsible. In a partnership, you share the responsibility, but you also share the decision making and the profits. What works best for your budget AND your personality?
Step 10: Address Your Accounting – if you don’t know how much money is coming in and out of your business, you will never know if you are making a profit, or if you need to make changes. Keeping track of your numbers is one of the single most important things you can do for your business. Decide on whether you will do it in house, or outsource it to a professional; if you take care of it yourself, decide on what software you will use.
Step 11: Put it All into Numbers – this may or may not be necessary for you; it depends on what type of business you are starting. When you approach a financial institution for a small business loan, they will respond better if they see all of your plans in numbers; they are, after all, in the business of numbers. So, go back through all the above steps, and assign dollar amounts to what you can; when you approach the bank, you can tell them exactly how much you need, and show them where their money will be going. You can then show them, with a number, how much of the market you are planning to corner, and your growth, by percentage, over the next X years.
That’s it – wasn’t so hard after all, was it?
The Power Of The Right Message To The Right Market
Two success stories to share with you on advertising effectively.
SUCCESS STORY 1 Network Marketing Money Machine
I received a phone call 2 months ago from a husband and wife team. They have done exceptionally well in the network marketing industry, and now was to go big on the speaking information publishing business.
We designed them a campaign that goes like this
Step 1 Squeeze page to capture emails from people
All a squeeze page does is capture contact information from people who visit your website. You need to entice them into why they should sign up snippets of content they get, free bonus books or audios, etc. When they enter their information name and email they are then sent to step 2.
Step 2 Thank you for sign up and Free CD giveaway
We gave away an audio cd detailed part of their system they use to earn well over a million a year in the industry. The cd is free, shipping and handling is $5. This gives people a very low cost way to get more familiar with you and your techniques. If they take the free cd offer, they click through to the order page with an option to buy into step 3.
Step 3 Upsell to higher end package at 20 -40 times the price of step 2
When people go to the order page for the cd offer, they are offered an option to buy a much higher pried package. In this case we did 2 higher priced options one at 20 times the cd s&h price, the other at 50 times that price. They can get just the cd or take them up on the upsell offers with much more information and product sent to them.
Step 4 For those who never took the offer for steps 2, 3 or 4 they get sold into step 2 through the auto responders they receive once they sign up on the free newsletter
THE RESULTS?
Because the copy was targeted perfectly to their market, and because they had a good number of people read the copy:
1.1800 people purchased the cd option 2.20% of those people bought upsell #1 (at 20 times the price) 3.5% bought upsell #2 at 50 times the price
Do the math! That is a serious money making AUTOMATED machine.
For every 1,000 qualified people they send to their site, they know roughly how much money they will make immediately.
QUESTION FOR YOU
How can you leverage these ideas and automate the sales process in your business?
SUCCESS STORY #2 First time author ROCKETS to #1
Another client of mine just launched his new book. You may have seen some of the promotions this week for The Power of You
We invested a substantial amount of time and resources putting a massive campaign together for him.
1.Teaser sales letters to get people to the main sales letter
2.$3,000 in bonuses to buy the book on the launch day
3.Long copy sales letter to sell the book and bonuses the key was that he needed people to buy on a single day so Amazon could do their calculations on if he had a best selling book (calculated by Amazon every hour based on total books sold from their site)
4.Recruited LARGE numbers of partners to endorse the book to their own client lists. They got to read the book first, then endorse the book to their own clients if they like the book. IMPORTANT NOTE: the partners received NO financial compensation for doing this.
I wrote the copy they sent to their lists, to recruit them as partners, to sell people the book, etc.
5.Arranged everything to happen on August 15th starting at 12:01 am.
THE RESULTS?
#1 on Amazon on the main book best seller list AND in all 5 registered categories the book qualified for!
PLUS, 3 days later it is STILL #1
Thousands and thousands of books sold (still waiting on final numbers) each of those books is a lead generator for him (ads on the inside of the books for other products) and a MASSIVE database built from the launch (people had to supply their emails to get the bonus materials)
Now he has #1 International Best Selling Author to his name.
QUESTION FOR YOU:
How can you leverage these ideas and have other people promote you to their lists? How can you use this to launch a new product, service or bundle?
The key here is to NOT say "that isn't my business". The key is to say "HOW can I make that apply to MY business?"
When you do that and then implement what you wrote you will see similar results as they have seen.
The power of the written word, combined with massive action
SUCCESS STORY 1 Network Marketing Money Machine
I received a phone call 2 months ago from a husband and wife team. They have done exceptionally well in the network marketing industry, and now was to go big on the speaking information publishing business.
We designed them a campaign that goes like this
Step 1 Squeeze page to capture emails from people
All a squeeze page does is capture contact information from people who visit your website. You need to entice them into why they should sign up snippets of content they get, free bonus books or audios, etc. When they enter their information name and email they are then sent to step 2.
Step 2 Thank you for sign up and Free CD giveaway
We gave away an audio cd detailed part of their system they use to earn well over a million a year in the industry. The cd is free, shipping and handling is $5. This gives people a very low cost way to get more familiar with you and your techniques. If they take the free cd offer, they click through to the order page with an option to buy into step 3.
Step 3 Upsell to higher end package at 20 -40 times the price of step 2
When people go to the order page for the cd offer, they are offered an option to buy a much higher pried package. In this case we did 2 higher priced options one at 20 times the cd s&h price, the other at 50 times that price. They can get just the cd or take them up on the upsell offers with much more information and product sent to them.
Step 4 For those who never took the offer for steps 2, 3 or 4 they get sold into step 2 through the auto responders they receive once they sign up on the free newsletter
THE RESULTS?
Because the copy was targeted perfectly to their market, and because they had a good number of people read the copy:
1.1800 people purchased the cd option 2.20% of those people bought upsell #1 (at 20 times the price) 3.5% bought upsell #2 at 50 times the price
Do the math! That is a serious money making AUTOMATED machine.
For every 1,000 qualified people they send to their site, they know roughly how much money they will make immediately.
QUESTION FOR YOU
How can you leverage these ideas and automate the sales process in your business?
SUCCESS STORY #2 First time author ROCKETS to #1
Another client of mine just launched his new book. You may have seen some of the promotions this week for The Power of You
We invested a substantial amount of time and resources putting a massive campaign together for him.
1.Teaser sales letters to get people to the main sales letter
2.$3,000 in bonuses to buy the book on the launch day
3.Long copy sales letter to sell the book and bonuses the key was that he needed people to buy on a single day so Amazon could do their calculations on if he had a best selling book (calculated by Amazon every hour based on total books sold from their site)
4.Recruited LARGE numbers of partners to endorse the book to their own client lists. They got to read the book first, then endorse the book to their own clients if they like the book. IMPORTANT NOTE: the partners received NO financial compensation for doing this.
I wrote the copy they sent to their lists, to recruit them as partners, to sell people the book, etc.
5.Arranged everything to happen on August 15th starting at 12:01 am.
THE RESULTS?
#1 on Amazon on the main book best seller list AND in all 5 registered categories the book qualified for!
PLUS, 3 days later it is STILL #1
Thousands and thousands of books sold (still waiting on final numbers) each of those books is a lead generator for him (ads on the inside of the books for other products) and a MASSIVE database built from the launch (people had to supply their emails to get the bonus materials)
Now he has #1 International Best Selling Author to his name.
QUESTION FOR YOU:
How can you leverage these ideas and have other people promote you to their lists? How can you use this to launch a new product, service or bundle?
The key here is to NOT say "that isn't my business". The key is to say "HOW can I make that apply to MY business?"
When you do that and then implement what you wrote you will see similar results as they have seen.
The power of the written word, combined with massive action
Making Your Business Click
The lifeline of most businesses rely heavily on the amount of marketing support can be supplied. There is no doubt that marketing collateral in the form of establishing identity and brand existence are key factors in helping make businesses known. These marketing collaterals can be likened to arming the key personnel in a business such as business cards, flyers, brochures and multimedia material to be able to provide the necessary information and image that a company wants to project.
Marketing collateral does not have to be high cost in nature. Resourcefulness and innovation of the company through its current roster of personnel can help ignite and produce the necessary collaterals a business can lean on. Understandably, cost and expenses are two of the things that business owners are not too keen on hearing. But the supplement of expected outcomes from the investment of marketing collaterals through advertising and promotions will provide a better overview of what to results to expect from such programmed marketing efforts by assigned people of the company.
The hardest part of establishing a business is to spread the word that such a company and its products or services are indeed available. The success of a business lies heavily in providing the necessary information of the existence of such, the purpose of which is to try and penetrate a market properly.
To start things off, the need for proper product or service orientation should be established. Consumers will not immediately rely on mere image and word of mouth. This is the job that is tasked for most marketing executives, to build on the product and make the consumers understand the benefits and fruits that the product brings. This is best done through the use of supporting promotional materials in the form of flyers, posters, and TV commercials if costs are permitted. Making such mediums available to consumers in the easiest way possible for them to get acquainted with the product being pushed is the best way to kick off a product’s existence in the market.
After a successful product orientation towards the target market that a company has focused on, the next thing to handle is the places where the product will be available. Supermarkets, department stores, convenience stores, and specialty shops, the mode of availability will be the critical aspect since this will largely depend if the product is readily available. For sure, people will not go out of their way to exert much effort in finding where the product may be. Thus it is the task of the business personnel to make sure that all possible distribution channels are covered, with the target market class under consideration as well. While flyers and posters may be spread all throughout affiliated stores and outlets, it is still the best practice to make sure that the product itself is available in target modes of distribution.
The set price for most consumer goods and commodities today play an important role in enticing consumer demand. While this is more psychological in nature, it cannot be discounted that business executives must determine an acceptable price to jack up their sales and consumer patronization. Pricing has its share of conflicts. Low prices may carry with it low quality product tags, while higher priced goods may push customers to look for alternative products. This is why it is essential that research and development teams must prepare a good comparison of product availability before finally deciding on a set price. The price should also consider the usual costs such as the administrative and operations cost, mark-ups and other related costs for manufacturing the product. The marketing collaterals will also fall under the administrative and operations cost, usually under the advertising and promotions part.
Defining the target market area as well as the consumer class will help determine the degree of saturation in the market a business should aim for. Identifying where the target market class resides or stays in is a good way to help in trimming down the area needed for saturation. Focusing the marketing collaterals in the area where the identified consumer class is situated is a good way to establish identity in the area. This should be a good way to start in effectively covering key areas for segregation prior to aiming for a larger market share.
The attention, complaints and distribution of the product or service still lied in the hands of the people hired to do the life blood of the company. Similar to a soldier going off to war, providing the sales force with business cards, marketing portfolios and other marketing paraphernalia is the best way to make an impact. Other than motivating the sales people to bring in the sales, making sure that they have the necessary materials to show are mirror-like images of the company. They represent the company and whatever they project speaks entirely for the business venture.
Marketing collateral does not have to be high cost in nature. Resourcefulness and innovation of the company through its current roster of personnel can help ignite and produce the necessary collaterals a business can lean on. Understandably, cost and expenses are two of the things that business owners are not too keen on hearing. But the supplement of expected outcomes from the investment of marketing collaterals through advertising and promotions will provide a better overview of what to results to expect from such programmed marketing efforts by assigned people of the company.
The hardest part of establishing a business is to spread the word that such a company and its products or services are indeed available. The success of a business lies heavily in providing the necessary information of the existence of such, the purpose of which is to try and penetrate a market properly.
To start things off, the need for proper product or service orientation should be established. Consumers will not immediately rely on mere image and word of mouth. This is the job that is tasked for most marketing executives, to build on the product and make the consumers understand the benefits and fruits that the product brings. This is best done through the use of supporting promotional materials in the form of flyers, posters, and TV commercials if costs are permitted. Making such mediums available to consumers in the easiest way possible for them to get acquainted with the product being pushed is the best way to kick off a product’s existence in the market.
After a successful product orientation towards the target market that a company has focused on, the next thing to handle is the places where the product will be available. Supermarkets, department stores, convenience stores, and specialty shops, the mode of availability will be the critical aspect since this will largely depend if the product is readily available. For sure, people will not go out of their way to exert much effort in finding where the product may be. Thus it is the task of the business personnel to make sure that all possible distribution channels are covered, with the target market class under consideration as well. While flyers and posters may be spread all throughout affiliated stores and outlets, it is still the best practice to make sure that the product itself is available in target modes of distribution.
The set price for most consumer goods and commodities today play an important role in enticing consumer demand. While this is more psychological in nature, it cannot be discounted that business executives must determine an acceptable price to jack up their sales and consumer patronization. Pricing has its share of conflicts. Low prices may carry with it low quality product tags, while higher priced goods may push customers to look for alternative products. This is why it is essential that research and development teams must prepare a good comparison of product availability before finally deciding on a set price. The price should also consider the usual costs such as the administrative and operations cost, mark-ups and other related costs for manufacturing the product. The marketing collaterals will also fall under the administrative and operations cost, usually under the advertising and promotions part.
Defining the target market area as well as the consumer class will help determine the degree of saturation in the market a business should aim for. Identifying where the target market class resides or stays in is a good way to help in trimming down the area needed for saturation. Focusing the marketing collaterals in the area where the identified consumer class is situated is a good way to establish identity in the area. This should be a good way to start in effectively covering key areas for segregation prior to aiming for a larger market share.
The attention, complaints and distribution of the product or service still lied in the hands of the people hired to do the life blood of the company. Similar to a soldier going off to war, providing the sales force with business cards, marketing portfolios and other marketing paraphernalia is the best way to make an impact. Other than motivating the sales people to bring in the sales, making sure that they have the necessary materials to show are mirror-like images of the company. They represent the company and whatever they project speaks entirely for the business venture.
Paypal vs. Merchant Account
ALBANY, New York (AP) -- The nation's largest online payment service, PayPal, is paying New York $150,000 in penalties after misrepresenting to consumers its policy on repayment when merchandise doesn't arrive, the state attorney general said Monday.
PayPal, which claims 40 million customers worldwide, had specifically stated that it provided the same rights and protections of a traditional credit card transaction, said Attorney General Eliot Spitzer. But consumers were often denied those rights, he said.
For example, consumers who didn't receive merchandise purchased through PayPal were often denied reimbursement from either PayPal or American Express or Discover credit cards. A spokeswoman for Spitzer said consumers complained they were being bounced between PayPal and their credit card companies and there was no prompt action.
The credit card firms agreed to properly credit consumers in an agreement with Spitzer late last year.
PayPal creates accounts for buyers and sellers using the Internet, including PayPal's parent, eBay, the Internet auction site. The service lets buyers and sellers exchange money through e-mail.
Besides the penalties, PayPal will pay New York state the investigation costs. The online payment service also will clearly describe consumer rights including conditions or limitations on their rights and refund policies.
Without the agreement, consumers using their credit cards through "e-payment" systems like PayPal would lose their protections under the federal Fair Credit Billing Act and similar state laws.
"Protecting consumer rights in online transactions is the best way to establish and maintain confidence in electronic commerce," Spitzer said.
PayPal has clarified that it will investigate any claims about a deal as long as the complaint is made within 30 days of the purchase.
Our Service is a great alternative to Paypal. Not only do you get your own merchant account and the ability to accept credit cards real time on your website, but you can also process face to face or offline transactions. You can't do that with PayPal.
www.cmscreditcards.com even has better rates than PayPals standard program and you get your money in 48 hours directly into your Business Checking Account. No volume limits like Paypal.
Benefits to having your own merchant account and not a PayPal account:
* No chance of PayPal freezing funds or holding money because they don't understand your business. When you sign up for an account with us, we underwrite your account so our banks know exactly what you are doing therefore, lessening the chance for you to have your funds held erroneously and hampering your cash flow.
* Merchant can take both online and offline orders at their home, store, office, tradeshow, etc. You can't do that with PayPal. With PayPal you can only take orders from your website. Though we believe your website sales are important, it is also important that you make sales face to face and via other marketing methods.
* Merchant gets funds automatically in 48 hours to bank account of their choice.
* With your own Merchant Account, your customers will not be required to open up a PayPal account just to do business with you.(This is a huge inconvenience to put your customers through just to make a one time purchase from you.)
* You can do recurring billing transactions for regular customers. Automatically bill a customer $100 per week or per month. You set it up once and don't have to worry about it ever again.
* Pay Pal does not make their phone number available to its customers. Call our office anytime and you'll get a live person during business hours.
Main Difference between Pay Pal and a Merchant account:
The main difference between Pay Pal and a merchant account is that funds are not processed through the merchants own merchant account. All transactions are processed through one or more large bank accounts that the merchant needs to access to get his funds. They are not directly deposited into the merchants checking account.
The accounts where these funds get pooled are typically too large to be FDIC insured. The method of clearing and settling transactions skirts the rules established by Visa and Mastercard as well as state and federal bank regulations.
PayPal, which claims 40 million customers worldwide, had specifically stated that it provided the same rights and protections of a traditional credit card transaction, said Attorney General Eliot Spitzer. But consumers were often denied those rights, he said.
For example, consumers who didn't receive merchandise purchased through PayPal were often denied reimbursement from either PayPal or American Express or Discover credit cards. A spokeswoman for Spitzer said consumers complained they were being bounced between PayPal and their credit card companies and there was no prompt action.
The credit card firms agreed to properly credit consumers in an agreement with Spitzer late last year.
PayPal creates accounts for buyers and sellers using the Internet, including PayPal's parent, eBay, the Internet auction site. The service lets buyers and sellers exchange money through e-mail.
Besides the penalties, PayPal will pay New York state the investigation costs. The online payment service also will clearly describe consumer rights including conditions or limitations on their rights and refund policies.
Without the agreement, consumers using their credit cards through "e-payment" systems like PayPal would lose their protections under the federal Fair Credit Billing Act and similar state laws.
"Protecting consumer rights in online transactions is the best way to establish and maintain confidence in electronic commerce," Spitzer said.
PayPal has clarified that it will investigate any claims about a deal as long as the complaint is made within 30 days of the purchase.
Our Service is a great alternative to Paypal. Not only do you get your own merchant account and the ability to accept credit cards real time on your website, but you can also process face to face or offline transactions. You can't do that with PayPal.
www.cmscreditcards.com even has better rates than PayPals standard program and you get your money in 48 hours directly into your Business Checking Account. No volume limits like Paypal.
Benefits to having your own merchant account and not a PayPal account:
* No chance of PayPal freezing funds or holding money because they don't understand your business. When you sign up for an account with us, we underwrite your account so our banks know exactly what you are doing therefore, lessening the chance for you to have your funds held erroneously and hampering your cash flow.
* Merchant can take both online and offline orders at their home, store, office, tradeshow, etc. You can't do that with PayPal. With PayPal you can only take orders from your website. Though we believe your website sales are important, it is also important that you make sales face to face and via other marketing methods.
* Merchant gets funds automatically in 48 hours to bank account of their choice.
* With your own Merchant Account, your customers will not be required to open up a PayPal account just to do business with you.(This is a huge inconvenience to put your customers through just to make a one time purchase from you.)
* You can do recurring billing transactions for regular customers. Automatically bill a customer $100 per week or per month. You set it up once and don't have to worry about it ever again.
* Pay Pal does not make their phone number available to its customers. Call our office anytime and you'll get a live person during business hours.
Main Difference between Pay Pal and a Merchant account:
The main difference between Pay Pal and a merchant account is that funds are not processed through the merchants own merchant account. All transactions are processed through one or more large bank accounts that the merchant needs to access to get his funds. They are not directly deposited into the merchants checking account.
The accounts where these funds get pooled are typically too large to be FDIC insured. The method of clearing and settling transactions skirts the rules established by Visa and Mastercard as well as state and federal bank regulations.
The Diminishing Popularity Of Banks
The last decade or so has seen a rise in the Australian economy but it has also seen in a downfall in banking. Banking, as we know has become a necessity and loans are increasingly becoming a popular means of sufficing an immediate requirement. Banks in Australia have always been traditionally focused and some of the top banks focusing on fulfilling basic consumer requirements of include:
Adelaide Bank
This bank is a listed publicly and has its head office in South Australia. It provides different types of financial services through a detailed distribution network and by forming new national alliances.
AMP Banking Australia
AMP is one of the leading wealth management companies in Australia with an excess of AUD$84 billion in assets.
ANZ (Australia and New Zealand) Bank
ANZ Bank is considered as one of the biggest banking companies in Australia as well as New Zealand and was also ranked among the top 50 banks in the world. The world headquarters for ANZ is situated in Melbourne where it started off in the 1830s.
Bank of Queensland (BOQ)
Bank of Queensland is the second largest Queensland-based banking and financial institution and is listed among the top 5 biggest banks in Australia.
BankSA
It was formerly called the Bank of South Australia and today it is one of the largest financial institutions in South Australia and is also the main provider of personal finance, housing and rural banking in the State. Today BankSA is owned by St George Bank.
Commonwealth Bank of Australia
The Commonwealth Bank of Australia is one of leading banking and financial institutions, which has positioned itself for future growth and is aiming to make banking accessible to all Australians.
Macquarie Bank Limited
The Macquarie Bank offers different types of investment banking opportunities and also caters to selected retail financial service markets as well as commercial banking in Australia.
National Australia Bank
The National Australia Bank is an internationally acclaimed financial services group that has been providing comprehensive range of financial services in Australia as well as 15 other countries.
RBA - Reserve Bank of Australia
The Reserve Bank of Australia (RBA) is the central bank and its primary responsibility is the monetary policy. Some of the key roles of the RBA include maintaining the stability of the financial system and enhancing the efficiency and safety of the Australian payments system.
These are some of the most popular banking institutions in Australia. Off late, it has been noticed by various research groups that Banks are falling way behind in their promises to upkeep customer satisfaction and to consistently thrive to offer competitive interest rates on their loans. As a result, more and more people are turning towards newer and non-traditional forms of accessing capital such as non-bank lenders and now social lending or peer to peer lending networks.
This phenomenon can be disastrous for banks as has been experienced by banks in the UK following the launch of Zopa. Zopa is considered a pioneer in peer to peer lending and anyone can take an online loan from the Zopa borrowing platform. The salient point is that the borrower can set his or her repayment amount with a maximum interest rate. The interest rate is definitely lower than what banks are offering and hence more people are finding it advantageous from their point of view.
Social lending has landed on the Australian shores with Lending Hub (lendinghub.com.au) now being seen in the same light as Zopa and Prosper. Of course the funding vehicle is still under development but one can safely predict that the social lending networks will start to take lending market share from the banks. Another aspect that has pushed social lending ahead is the fact that it is more community oriented, which banks are not (although the banks like to portray themselves as being people and community focused they have spent the last 4-5 years closing branches and making banking highly automated and less consumer focused).
According to a recent study in Britain, it has been found that 74% of people feel a positive attitude towards borrowing from a social lending community as opposed to borrowing from their own high street banks. Almost 49% people feel that the banks have not been able to keep their promise of offering customer satisfaction. Another 81% believe that the banks are self-interested while a good 76% believe that they are greedy.
All in all these features make banking institutions highly unpopular especially now in the light of the unprecedented growth of social lending communities and peer to peer lending solutions.
Adelaide Bank
This bank is a listed publicly and has its head office in South Australia. It provides different types of financial services through a detailed distribution network and by forming new national alliances.
AMP Banking Australia
AMP is one of the leading wealth management companies in Australia with an excess of AUD$84 billion in assets.
ANZ (Australia and New Zealand) Bank
ANZ Bank is considered as one of the biggest banking companies in Australia as well as New Zealand and was also ranked among the top 50 banks in the world. The world headquarters for ANZ is situated in Melbourne where it started off in the 1830s.
Bank of Queensland (BOQ)
Bank of Queensland is the second largest Queensland-based banking and financial institution and is listed among the top 5 biggest banks in Australia.
BankSA
It was formerly called the Bank of South Australia and today it is one of the largest financial institutions in South Australia and is also the main provider of personal finance, housing and rural banking in the State. Today BankSA is owned by St George Bank.
Commonwealth Bank of Australia
The Commonwealth Bank of Australia is one of leading banking and financial institutions, which has positioned itself for future growth and is aiming to make banking accessible to all Australians.
Macquarie Bank Limited
The Macquarie Bank offers different types of investment banking opportunities and also caters to selected retail financial service markets as well as commercial banking in Australia.
National Australia Bank
The National Australia Bank is an internationally acclaimed financial services group that has been providing comprehensive range of financial services in Australia as well as 15 other countries.
RBA - Reserve Bank of Australia
The Reserve Bank of Australia (RBA) is the central bank and its primary responsibility is the monetary policy. Some of the key roles of the RBA include maintaining the stability of the financial system and enhancing the efficiency and safety of the Australian payments system.
These are some of the most popular banking institutions in Australia. Off late, it has been noticed by various research groups that Banks are falling way behind in their promises to upkeep customer satisfaction and to consistently thrive to offer competitive interest rates on their loans. As a result, more and more people are turning towards newer and non-traditional forms of accessing capital such as non-bank lenders and now social lending or peer to peer lending networks.
This phenomenon can be disastrous for banks as has been experienced by banks in the UK following the launch of Zopa. Zopa is considered a pioneer in peer to peer lending and anyone can take an online loan from the Zopa borrowing platform. The salient point is that the borrower can set his or her repayment amount with a maximum interest rate. The interest rate is definitely lower than what banks are offering and hence more people are finding it advantageous from their point of view.
Social lending has landed on the Australian shores with Lending Hub (lendinghub.com.au) now being seen in the same light as Zopa and Prosper. Of course the funding vehicle is still under development but one can safely predict that the social lending networks will start to take lending market share from the banks. Another aspect that has pushed social lending ahead is the fact that it is more community oriented, which banks are not (although the banks like to portray themselves as being people and community focused they have spent the last 4-5 years closing branches and making banking highly automated and less consumer focused).
According to a recent study in Britain, it has been found that 74% of people feel a positive attitude towards borrowing from a social lending community as opposed to borrowing from their own high street banks. Almost 49% people feel that the banks have not been able to keep their promise of offering customer satisfaction. Another 81% believe that the banks are self-interested while a good 76% believe that they are greedy.
All in all these features make banking institutions highly unpopular especially now in the light of the unprecedented growth of social lending communities and peer to peer lending solutions.
Estimating Current Market Value of a Pre-Foreclosure Property
Estimating Current Market Value of a Pre-Foreclosure Property
by: Mark Jones
When preparing to enter the real estate niche of buying and selling foreclosure properties, it is important to have a foundational understanding of how the values and worth of foreclosure properties are determined. It all comes down to equity. A good working definition of equity is the difference between the current market value of the property and the amount that is still owed on it. In other words, if you were to sell a property and then use that money to pay off the remainder of the loan, the money that you had left over is the equity. This is the most vital piece of information that you can glean from making an accurate estimation of the current market value of a pre-foreclosure property.
As you are working to determine the current market value of the property that you are interested in, you need to keep in mind that there is a difference between a property’s assessed value and its appraised value. The assessed value is the municipality’s assessment of what the property is worth for tax purposes. They use the number to determine what the property taxes should be compared with the other properties that are in the immediate area. The appraised value is what the bank thinks the property is worth. This number is used for financing purposes.
A property’s current market value then, is determined by a combination of factors. If the assessed value is what the local government thinks the property is worth and the appraised value is what the bank thinks that it is worth, then the current market value is what potential buyers think the property is worth. This of course, is ultimately the most important number. As you analyze whether or not a foreclosure property is going to be a good investment, the estimated current market value will be a number that is at the core of all of your studies. If this number isn’t accurate, then the entire basis for you decision will be faulty.
One way that the current market value is useful to you is in determining the debt to value ratio. This is a baseline ratio of how the difference between what the current owner still owes on the property versus what it is actually worth. The bigger the spread on the ratio, the better the investment.
As you complete your due diligence on potential investment properties, you need to become adept at building replacement cost estimates. For every dollar that you need to spend repairing and replacing things on the property to prepare it for resale, you need to consider whether that dollar added to, or subtracted from the worth of the house. While it is often worthwhile to invest some money into improving the properties before sale, you need to make sure that you aren’t putting more into it than you will be able to get back out of it.
Measuring the return on investment is a key component in running any business. This metric answers the question of how much money you are making on each dollar that you spend. It is important to set a goal and then strive to achieve it. If you planned return on investment is only one or two percent, then you might as well put your money in a savings account and save yourself the trouble. If however, you enjoy tracking every penny and want to maximize the power of your dollar, investing in pre-foreclosure properties can be a great tool.
Ultimately, the goal of any investment is net profit. This is the measure of how much you actually made in the deal after all improvements have been made, the taxes have been paid and the attorneys have taken their cut. Being able to estimate a current market value with some degree of accuracy will have an affect on this number, and this is the one that matters most.
Keep in mind as you invest not all properties need to be turned over quickly. The appreciation in value can be greater over a long period of time, and if you are patient you can capitalize on swings in the market. If you buy properties and hold on to them, they will appreciate in value and your liquid assets will give the ability to stockpile property until you are ready to sell.
If you’ve bought multiple properties, the equity value of all of them combined is referred to as equity buildup. The equity that you attain in just one piece of property may not be a very flashy number, but as you accumulate more, that equity value grows. As the equity value grows, so does your purchasing power.
As a final note, it is important to remember that current market value of pre-foreclosure properties doesn’t include the after repair value. Take this number into consideration when estimating your net profit and return on investment. Renovations and improvements can add value to the home, but basic repair costs are rarely recouped.
by: Mark Jones
When preparing to enter the real estate niche of buying and selling foreclosure properties, it is important to have a foundational understanding of how the values and worth of foreclosure properties are determined. It all comes down to equity. A good working definition of equity is the difference between the current market value of the property and the amount that is still owed on it. In other words, if you were to sell a property and then use that money to pay off the remainder of the loan, the money that you had left over is the equity. This is the most vital piece of information that you can glean from making an accurate estimation of the current market value of a pre-foreclosure property.
As you are working to determine the current market value of the property that you are interested in, you need to keep in mind that there is a difference between a property’s assessed value and its appraised value. The assessed value is the municipality’s assessment of what the property is worth for tax purposes. They use the number to determine what the property taxes should be compared with the other properties that are in the immediate area. The appraised value is what the bank thinks the property is worth. This number is used for financing purposes.
A property’s current market value then, is determined by a combination of factors. If the assessed value is what the local government thinks the property is worth and the appraised value is what the bank thinks that it is worth, then the current market value is what potential buyers think the property is worth. This of course, is ultimately the most important number. As you analyze whether or not a foreclosure property is going to be a good investment, the estimated current market value will be a number that is at the core of all of your studies. If this number isn’t accurate, then the entire basis for you decision will be faulty.
One way that the current market value is useful to you is in determining the debt to value ratio. This is a baseline ratio of how the difference between what the current owner still owes on the property versus what it is actually worth. The bigger the spread on the ratio, the better the investment.
As you complete your due diligence on potential investment properties, you need to become adept at building replacement cost estimates. For every dollar that you need to spend repairing and replacing things on the property to prepare it for resale, you need to consider whether that dollar added to, or subtracted from the worth of the house. While it is often worthwhile to invest some money into improving the properties before sale, you need to make sure that you aren’t putting more into it than you will be able to get back out of it.
Measuring the return on investment is a key component in running any business. This metric answers the question of how much money you are making on each dollar that you spend. It is important to set a goal and then strive to achieve it. If you planned return on investment is only one or two percent, then you might as well put your money in a savings account and save yourself the trouble. If however, you enjoy tracking every penny and want to maximize the power of your dollar, investing in pre-foreclosure properties can be a great tool.
Ultimately, the goal of any investment is net profit. This is the measure of how much you actually made in the deal after all improvements have been made, the taxes have been paid and the attorneys have taken their cut. Being able to estimate a current market value with some degree of accuracy will have an affect on this number, and this is the one that matters most.
Keep in mind as you invest not all properties need to be turned over quickly. The appreciation in value can be greater over a long period of time, and if you are patient you can capitalize on swings in the market. If you buy properties and hold on to them, they will appreciate in value and your liquid assets will give the ability to stockpile property until you are ready to sell.
If you’ve bought multiple properties, the equity value of all of them combined is referred to as equity buildup. The equity that you attain in just one piece of property may not be a very flashy number, but as you accumulate more, that equity value grows. As the equity value grows, so does your purchasing power.
As a final note, it is important to remember that current market value of pre-foreclosure properties doesn’t include the after repair value. Take this number into consideration when estimating your net profit and return on investment. Renovations and improvements can add value to the home, but basic repair costs are rarely recouped.
Winning With Your Unique Opportunities
Ok so a lot of people are probably wondering "What in the world is winning with your unique opportunities?" Well it's just that, winning or taking advantage of the very unique opportunities that surround you each and every day. Every single one of us living on this planet has been given something special every single day of our lives. Let me paint a picture real fast. Every day we wake up eat our breakfast, take our shower, put on our clothes, and rush off to our wonderful nine to five job, RIGHT! And a lot of the time we even have night jobs or other part-time jobs just to make ends meet. Well you see the problem with that is that we have all been programmed to function this way. I mean we have totally forgotten what it means to create our own financial future for ourselves and/or our families. Well I'm here to reprogram your brains into the right mindset! Ok, so uncover your eyes and let's get started with the principles.
1st Principle
It's time to ACT! That's right act. Instead of just going through the motions each and every day tell yourself that today is going to be different. Today I chose to be positive, today I chose to have the right attitude, and today I chose to take advantage of the unique opportunities that surround me. Today I chose to have a purpose.
2nd Principle
Ok so here is the really good part. After you have made that decisive promise to yourself "To Act" you simply do it, get an idea do a little brainstorming and ACT ON IT! Let me explain, I remember not too long ago I came up with this idea. I am currently living in some student housing while studying at a local university, and the landlord of the apartment complex I'm living in is a big enforcer of cleanliness and I mean BIG! So every single month he does a monthly cleaning check to see if our apartments are clean. He always give us two chances to get our apartments up to his standard before he charges us $25.00 to have it cleaned for us. So I had the idea to create a simple flyer informing people that I or someone that I could hire would clean their apartments for $10.00 or $15.00. Then I would distribute this flyer to the 60 apartments in our complex and WHALA!!! I could take advantage of this unique opportunity, and believe me this could work because most college students are very busy and have very little time. They would gladly pay someone $10.00 or $15.00 to clean their small apartments. The only reason that I have not taken advantage of this opportunity is because right now I am focused on other unique opportunities that surround me, but the idea is always there.
Another example, let's say that you are currently working as a roofer for a roofing company. Well, people are always re-roofing their homes, and most likely you can find someone that will hire you to do it for them, or they will find you if you advertise. You could even turn this into your own little side business.
Ok, one more example just to make sure you've got the idea. There are many places in the U.S. that you can find old battered junky cars. In fields, old farms, neighbor's driveway, basically a whole bunch of places where people just want those old battered cars gone! You could offer to relieve them of those old battered cars and salvage them. Take the old parts off and sell them, sell the car to someone that wants a project car or who wants to restore it, take it to the shredder and get paid. Basically it doesn't matter who you are, there is always an opportunity if you pay attention to your unique surroundings.
3rd Principle
Great you're on the 3rd principle, and please tell me that you're starting to get the picture! The third principle is to incorporate this same pattern over and over again. Remember you have certain unique opportunities that surround you every single day. Matter of fact, you have unique opportunities that I don't have. Just remember that the key here is to do a little brainstorming and a little planning then ACT! The more opportunities that you take advantage of the more ideas you'll have and so on and so forth.
4th Principle
This is the last principle that I am going to teach you. You literally have the power in your hands to create a difference in your life, your family's life, and in the lives of others. Remember you have the ability to create and build many multiple streams of income. Like I said do a little bit of brainstorming and planning, review your unique talents, abilities, opportunities and blessings that God has given you. You could even build a stream of income from one of your hobbies or passions. Get your friends and family to help you and I promise that if you will focus, pay attention, and work hard, you too will have great success.
P.S. One more tip! Don't forget that you can also pay attention to the many "Saving Opportunities" that surround you each and every day, but just remember to be wise, pay attention, and ACT!
1st Principle
It's time to ACT! That's right act. Instead of just going through the motions each and every day tell yourself that today is going to be different. Today I chose to be positive, today I chose to have the right attitude, and today I chose to take advantage of the unique opportunities that surround me. Today I chose to have a purpose.
2nd Principle
Ok so here is the really good part. After you have made that decisive promise to yourself "To Act" you simply do it, get an idea do a little brainstorming and ACT ON IT! Let me explain, I remember not too long ago I came up with this idea. I am currently living in some student housing while studying at a local university, and the landlord of the apartment complex I'm living in is a big enforcer of cleanliness and I mean BIG! So every single month he does a monthly cleaning check to see if our apartments are clean. He always give us two chances to get our apartments up to his standard before he charges us $25.00 to have it cleaned for us. So I had the idea to create a simple flyer informing people that I or someone that I could hire would clean their apartments for $10.00 or $15.00. Then I would distribute this flyer to the 60 apartments in our complex and WHALA!!! I could take advantage of this unique opportunity, and believe me this could work because most college students are very busy and have very little time. They would gladly pay someone $10.00 or $15.00 to clean their small apartments. The only reason that I have not taken advantage of this opportunity is because right now I am focused on other unique opportunities that surround me, but the idea is always there.
Another example, let's say that you are currently working as a roofer for a roofing company. Well, people are always re-roofing their homes, and most likely you can find someone that will hire you to do it for them, or they will find you if you advertise. You could even turn this into your own little side business.
Ok, one more example just to make sure you've got the idea. There are many places in the U.S. that you can find old battered junky cars. In fields, old farms, neighbor's driveway, basically a whole bunch of places where people just want those old battered cars gone! You could offer to relieve them of those old battered cars and salvage them. Take the old parts off and sell them, sell the car to someone that wants a project car or who wants to restore it, take it to the shredder and get paid. Basically it doesn't matter who you are, there is always an opportunity if you pay attention to your unique surroundings.
3rd Principle
Great you're on the 3rd principle, and please tell me that you're starting to get the picture! The third principle is to incorporate this same pattern over and over again. Remember you have certain unique opportunities that surround you every single day. Matter of fact, you have unique opportunities that I don't have. Just remember that the key here is to do a little brainstorming and a little planning then ACT! The more opportunities that you take advantage of the more ideas you'll have and so on and so forth.
4th Principle
This is the last principle that I am going to teach you. You literally have the power in your hands to create a difference in your life, your family's life, and in the lives of others. Remember you have the ability to create and build many multiple streams of income. Like I said do a little bit of brainstorming and planning, review your unique talents, abilities, opportunities and blessings that God has given you. You could even build a stream of income from one of your hobbies or passions. Get your friends and family to help you and I promise that if you will focus, pay attention, and work hard, you too will have great success.
P.S. One more tip! Don't forget that you can also pay attention to the many "Saving Opportunities" that surround you each and every day, but just remember to be wise, pay attention, and ACT!
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