Sahel Rafael Tamayo - A Cuban American Entrepreneur

February 5, 2019February 5, 2019

How to Invest Like Grant Cardone

The name Grant Cardone is well-known among entrepreneurs and people who are in sales. He is a professional sales trainer who was able to develop a real estate portfolio worth $566 million from scratch. He is also a bestselling author and talks about how to create wealth.

Whether you wish to become the next Grant Cardone or you simply want to take your investment efforts to the next level, here are some important things you can learn from this self-made millionaire.

Know Your Market

Investing in San Francisco, California is very different from Los Angeles area. You have to know the location and property. Every suburb is different so be familiar with the market down to its micro-level.

Don’t Invest in a Single Door

Investing in a small property, duplex, or a house will never generate adequate flow of cash to cover the debt of the deal, your management time, or even generate a passive income. Grant Cardone’s rule of thumb is to invest in 16 units or more. This scale will provide you with sufficient cushion for covering your debt, management, and will leave you a positive flow of cash.

Know More about Your Partner in Debt

Your debt partner here is your bank and you have to know everything about it. You have to understand their offered terms, the strengths of the bank, their specific areas of specialty, and other related information. For instance, if the specialty of your chosen bank partner is in single-family houses, they would not be an ideal partner for deals concerning large multi-family units.

Calculate Your Returns Over the Years

Avoid thinking short term when it comes to your investments. Thinking in months is a big no-no. Instead, you have to think for long term and what flow of cash you will be seeing throughout the term of investment.

You will have to consider your initial investment as well as the appreciation that this will earn through the years while you are holding it. Aside from this, you will also be getting a cash flow every month.

Exit

You will also have to know how you will exit your investment. It is important to know your target audience. This will be the potential buyer of your property years from now. You have to know who your buyer is on your way out.

These are the terms that you have to think in when you are planning your property improvements as well. If you will decide to add a dog run, a gate, covered parking, or another extensions, who will be interested to rent your property and who will be interested in those renters?

Considering all of these things will help you identify and find your potential future buyer.

These are only some of the key pointers for investment that you can learn from Grant Cardone. At the end of the day, you have to be smart with your investments. Your first investment is to know more about the investment opportunity available. Always invest in something sure to avoid disappointments.

February 5, 2019February 5, 2019

Should You Go to College?

There are lots of talks recently whether or not it is still worth it to get a college degree. Although earning a diploma can increase your chances of getting hired for a high paying position after graduation, this is not the case all the time. The truth is that there are now jobs that offer hefty paychecks that don’t really require a college degree.

But, going to college still offers a lot of benefits aside from the potential financial rewards.

College Will Teach You How to Become an Adult

College education doesn’t only gear you up for the job market as it also teaches you how you can discipline yourself. As a college student, you should be reliable and learn how to manage your time properly for you to complete your degree. Finishing and staying with a degree requires remarkable determination. Having a degree will show employers that you have what it really takes to handle and finish large projects.

College Will Teach You How to Become a Responsible Citizen

If you are more knowledgeable about your surroundings, you will also learn how you can give profitable contributions to the society. The loads of information you can learn in college will hone you into a better person who can ultimately make this world a much better place to live in.

You Learn Critical Thinking in College

You cannot expect to survive in this modern society if you are ignorant. This is why you should learn how to think on your own. Going to college will teach you that. Being prepared and educated for the job market is essential of course, yet learning how to solve some issues and control your destiny could be more essential. Earning a college degree will teach you to support, create, design, and contribute to the society in an effective way.

Going to College Will Improve Your Quality of Life

You learn life skills once you go to college. Life skills are essential to have a positive lifestyle and overall good quality of life. You will also learn to be conscious of the world and appreciate every fine little thing in life like music and art.

College Will Let You Know More about Your Personality

College will prepare you for some of the things that might come into your life. College will improve your knowledge, critical thinking skills, and so on to meet all the challenges in your life. College may let you discover yourself as well as learn your weaknesses and strengths. Knowing every little thing about yourself will ready you for many things to come.

Being educated will not just prepare you for your future, but also it can help you land in a good job that will make you money throughout your life. This can open more opportunities for you throughout your life as well as be a primary benefit to your life’s overall quality. However, when you’re educated, the world will open up to you and would make your life more interesting. There are numerous perks of going to college and making your life better is the best benefit of you can ever get from finishing college.

February 5, 2019February 5, 2019

Why You Should Get Your Real Estate License

Today’s economic conditions have unemployment levels that are higher than they’ve been in a lot of years. A lot of people are still unable to find jobs and unemployed. A field that continues to provide a lot of career opportunities is basically real estate. It means that there are millions of dollars in available commissions for real estate deals. However, for you to get such commissions, you need to get a real estate license.

You Will Gain More Money

Every time investors sell properties through an agent, they spend about up to six percent of the sale price on the agency commissions. Often, it goes amiss that agents pick up another three percent for processing transaction. Thus, investors are losing up to nine percent in profits from the purchase price or complete sale. Having a real estate license can free you from substantial agency fees as you are your own agent.

You Will Get Access to MLS

The biggest benefit of getting a license is that you will have an access to MLS or Multiple Listing Service as well as a source of comparable sales. With real estate license, you will have independence when borrowing access from the agents, which is often hard. Moreover, instead of waiting for realtor to inform you the newest deals, you will be the first one to know when the new listing shows up on MLS, providing you upper hand in choosing properties in some preferable locations. In addition to that, accessing MLS enables you to run a custom search query. You can also analyze real estate historical data for thorough understanding of the listings. You may also determine particular details including the kind of property and buyers.

You Will Get More Business Experience

Although you only make 1 or 2 deals in the calendar year and get a lesser income from those, consolation is that you will get a lot of experience once you decide to set up your real estate agency in the long run. If you understand the ways real estate business works, you will gain important insights on the property transactions like detailed property information and contracts. All of these might save you lots of money and time over time.

Get Full Control over Real Estate Deals

Having a real estate license enables you to make offers and negotiate on the terms without the need for agents. You will also get to the real estate deals directly with property inspectors, lenders, lawyers, and anybody else involved in the process of buying properties on both the selling and buying side. Other than that, in terms of showcasing the finer details of the property, real estate agents will put in same efforts as you. They will not drive long distance for properties showing, follow up with the potential buyers, lay out delicious spread, and show the property’s best view.

While a real estate license might not be necessary for investors, buying properties using it might change the way you carry out your future investments.

December 28, 2018December 28, 2018

Why Is Having A Great Credit Score Important?

Credit score can be a bit confusing, particularly with numerous algorithms and models available. In addition to that, it is simple to mess up with credit score and end up with a poor credit without even realizing you have done anything.

So, how essential is a great credit score?

Well, credit scores do not typically get the attention they deserve and do not realize how essential they are until they go to get loans. Since credit scores are the only way for every lender to assess the risk of a borrower and could mean the difference between not just disqualifying for loans, but also paying more in interest, it is crucial that you work diligently to keep a clean credit file.

The most important role that credit ratings play when it comes to finances is in interest rates. If you have bad or poor credit rating, you’ll pay higher interest rate than others with good rating if you’re approved at all. In terms of settling down and purchasing a house, the most important thing is your credit score. Good credit score can be beneficial in many situations.

If you’re stuck with a low credit score, considering hiring a reputable credit repair company.

Credit Score Affects How Much You Pay on Where You Live

Before purchasing a house, a mortgage lender would want to know that you will not default on your mortgage. If you do not have good credit, lenders will consider this risky to give you mortgage loans. If you are approved for mortgage, your credit will affect your interest rate that impacts your mortgage payment every month. Bad credit score might mean higher mortgage payment. There is also a huge possibility that your mortgage application might be turned down due to having bad credit. If your credit score is good, you don’t have to worry about this.

Credit Score Affects Your Job Search

Most employers conduct credit checks as part of the process of hiring. If you have not showed financial responsibility, prospective employers could be hesitant to hire you. For instance, your employer might believe debt level is too high for the offered salary.

Credit Score Affects What You Drive and Your Payment for Car

Unless you have cash to buy a car, you will get a loan. Your credit score won’t only affects whether or not you qualify for loans, but also the interest rate and amount of the loan. Usually, loan applicants with great credit qualify for bigger loan amounts with low interest rates.

Credit Score Affects Some Monthly Bills

It could be a bit shocking to learn that your credit score is required to establish utility service. Your chosen electric company contends that you are borrowing a month of electric service. Therefore, before you turn on your electricity, companies would check to see if you have great credit. It applies to majority of utility services such as cell phone, water, telephone, and cable.

Since your credit score is defined by how you have paid your bills in previous years, most businesses use your credit to predict your financial responsibility in the future. That is why it is important to keep great credit score.

December 27, 2018December 27, 2018

When Should You Sell Your Business

Even the best fall down sometimes, and this applies even to entrepreneurship. After years of watching your business grow, there will be a point when you have to say goodbye to it.

What are the telltale signs that it is time to sell your business?

Risks are Getting Bigger

You are lucky if your business is successful because statistics reveal that 80% of small businesses fall during the first one and a half year of operation. But, your luck may run out without you knowing. Maybe there are changes in consumer trends, or you are overwhelmed by the tax burden, or the shift in your industry isn’t in your favor. Running a business is already a risk itself and many things can end up working against you.

When the horizon is filled with storm clouds, getting to safety should be your priority. Listen to what your gut tells you. the tightrope you are treading on might not be able to withstand the market pressure for as long as you think.

You Feel Exhausted

Not all people have been built to be an entrepreneur for the rest of their lives. Maybe you wish to pursue another career. Maybe your heart tells you to follow your dreams of becoming a photographer. No matter what the reason is, if you feel burnt out or exhausted, it is probably high time to sell your business.

Contrary to what most people think, running a business is not all glitz and glamour. You probably assume that being a business owner means cashing checks and rubbing elbows with high caliber CEOs. However, the daily reality of entrepreneurship can be very stressful and grueling. After some time, it is just natural to experience attrition.

You have to know when to throw in the towel. If the timing is perfect, there is nothing wrong with quitting. If you are dealing with burnout, you will gain more if you sell your business instead of toughing it out. Even if you reached this point because of your strength and hard work, after awhile, you don’t yourself or your business any favor if you stick it out because of the wrong reasons.

Higher Business Value

An impending disaster might be a good reason to sell your business but what if the exact opposite happens?

If you were prudent in building your business and your operations were frugal, chances are your business has higher value now compared to your initial investment. If this is your situation, it is possible that other entrepreneurs wish to acquire or purchase your business.

For instance, if you were running a small business that fills the gap in a certain niche, you can earn a good profit if you sell it to a bigger company that covets your brand equity, product, and customers. A big time acquisition often requires you to be involved for a particular timeframe before you leave. However, this opportunity is the best way for successful entrepreneurs to make cash out of their hard work.

December 27, 2018December 27, 2018

How to Start House Hacking

Househacking is probably one of the most underestimated strategies that can help new real estate investors build their wealth faster and in a more efficient way possible. Once properly implemented, househacking gives savvy investors the chance to speed up their business efforts in the real estate industry like no other. it also eases the way for aspiring investors to transition to real estate.

Househacking Defined

Househacking is a real estate strategy that allows savvy investors enjoy a good return on investment through physically living in the property they use to generate passive income. Househacking provides investors a way to lower their overhead and mitigate risks at the same time.

How do you get started with househacking, then?

Commit

Househacking is a commitment of and in itself. Househacking requires a serious commitment in behalf of potential investors. It is in their best interest then to commit to this idea at the soonest time possible. Commit to this idea before considering househacking. You have to be convinced that this strategy is something you are comfortable to live with for literally a long period of time. Even the tiniest reservations are indications that you are not prepared. This means that you shouldn’t start househacking if you are not ready for the impending commitment. However, if you are, you can proceed to the next step.

Secure

Next is to secure financing. Make sure you line up financing prior to checking out properties. When you do so, you can get the precise amount you can borrow. Whether it is a traditional loan or one from a private money lender, secure financing at the soonest time possible. This allows you to know the amount of property you can afford, and refrain from considering properties not within your price range.

Study

Once you secure financing, observe due diligence and study as needed. Test the waters of the market you plan to buy in and where your cash will let you purchase. This is the time when you should be locking down your exit strategy. Would you like a duplex or do you want to try a triplex instead? Whatever it is, identify the type of property you wish to purchase and run the numbers. See to it that the numbers make sense. Keep in mind that the goal is to live down mortgage free as your tenants pay down the principal. Ensure that the property you buy into can achieve just that.

Locate

After you determined the profit margins you have to work within as well as the expected cash flow, look for a property that fits with your criteria. It doesn’t make sense to purchase a home that will not take you a step closer to your househacking goal. The cash flow must offset the mortgage enough for you to live in the property with no need for you to make any payments yourself.

Act

After you finished your homework and you are sure that the house you found meets your househacking criteria, it is time to move. Purchase the house and be ready to move in. When things go as planned, your tenants will pay your mortgage as you continue to live without paying any mortgage at all.

December 27, 2018December 27, 2018

How to Manage Your Online Reputation

A web presence is a must for all businesses today. There are a lot of ways to make and leave a significant mark in the online world. Proper management of your online reputation can go a long way in making sure that the mark you make is a positive one.

Here are a few tips to help you with your online reputation management.

Perform a Regular Checking of Your Online Reputation

The simplest way to check whether you have a negative or positive online reputation is to search for your practice name on Google. Scan through the first and second search results pages. What do you see? Are the reviews mostly positive? Are there negative ones? If your business has a bad review or article on the fifth page, there is no need for you to worry a lot because it is actually the first to three pages that get the highest number of traffic. When it comes to online reputation management, you should make it your goal to have only positive reviews, comments, and articles about your business on the first couple of pages of search results in Google.

Claim Your Business on the Local Listing Websites

Gone are the days when people open a phone book just to find a business. Most consumers search in different places online to get some business information. See to it that your business has been listed. You also have to claim it on top business listing sites such as Yelp, Angie’s List, Yellow Pages, and others. Claiming your business sets you as the owner and you will be the only one who can edit the listing’s information.

Conduct Weekly Monitoring of Online Reviews

It is recommended to check your online reviews at least once a week. Most businesses listings also let users leave reviews about a business. Frequent monitoring of your reviews allows you to see negative reviews right aware. Never wait until you are faced with a serious PR crisis.

Don’t Ignore and Respond to Negative Reviews Promptly

Responding to negative reviews is a good way of showing other people such as your potential clients reading the reviews that you prioritize client satisfaction. It is a way of showing that you listen to feedback and comments are deemed important for you. While every response must be personalized according to the situation, the general rule of thumb for better online reputation is to empathize with clients, maintain a neutral and calm tone, and be proactive in addressing the problem, if applicable. The best practice here is to acknowledge what your customers are feeling and try moving the conversation offline instead.

Reply to Positive Reviews Right Away

Once you receive a positive review online, thank your client for the review by responding to it right away. This response not only shows that you care because this positive review may also convince potential clients to choose your business. Responding to client who leave reviews on social media such as your Facebook page also encourages others to leave their own reviews.

December 27, 2018December 27, 2018

How to Find Free College Grants

For parents of high school seniors headed to college, there are two most anxious times of the year. The first one was waiting for the college acceptance letters, and the second one is figuring out how to pay for college.

Good thing that there are now many ways to find free college grant to support your child’s education whatever school he or she decides to go to. All you need to do is know where to search and raise the right questions.

The institutional scholarships universities and colleges offer remain to be available these days. The money is given according to the strength of the overall application. Many institutions will reallocate funds that they offer to students who accepted admission offers at other schools.

This means that it is now time for you to do your homework if you wish to grab a free college grant. Below are some of the most overlooked routes when it comes to getting financial assistance for college education.

Guardian or Parental Employers

Many nonprofit organizations and large corporate provide this benefit to employees and their dependents alike. Most of the time, though, less than 5% of available funds is being used every academic year, with the remaining scholarship dollars left untouched. Many workplace human resource offices will have more details regarding these programs.

Civic and Community Organizations

This kind of free college grant is set by the local communities and fraternal and civic organizations as well. Most of these organizations claim that there are very few applications submitted to them that leaves this available cash right on the table.

Even though these groups often offer relatively smaller monetary amounts, typically ranging from $2,500 to $3,500, it can still make a big difference between enrolling to a second choice or first choice school.

Talent Grants

Although it is well know that there are available scholarships for students for their musical or athletic abilities, there are still many other opportunities that a lot of families and applicants usually overlook.

From debate and speech, to journalism and drama, and even discipline-specific or major specific grants, you can find these and more in certain departments. When looking for a free college grant, it is recommended to check with the financial aid offices of every institution to know what is available.

Minority and Protected Groups

More often than not, there are available funds for students who belong to protected groups or are minorities, like students of certain ethnic and cultural descent, gender-specific opportunities, students with disabilities, and others.

You can also expect to find a free college grant for descendants or children of military veterans or those who served in wars. Cash is also made available for wards of the state, students raised in shelters, and foster children.

It only goes to say that during your search for free college grant, it is a must to cast your net as wide as you can. Check with your school or other organizations because for all you know, they have the answer to your financial needs for your education.

December 27, 2018December 27, 2018

How to Add Value to Your Company

Whether you have plans for transition, or you want to send a business loan application, bring on investors or partners, or sell your business in the near future, understanding your business value or equity is a must. Knowing what your business is worth can go a long way in ensuring its continuous growth.

Here are a few simple ways to boost your business value or equity.

Faster is Always Better

The first and most important way to increase business value is increasing the speed you provide the type of value people willingly pay for. Successful companies know all too well that everyone is impatient. People perceive a direct relationship between the value and speed of your offering. A company that can do something fast is deemed as a better and more competent company that offers a higher level of company compared to a company that does things slowly or only when they get around to it.

Provide Better Quality

Another secret to improve your business value is to offer better quality at the same price you’re your competitors. Take note that quality is what your customers say it is. Quality management is defined as knowing the wants of your customers and giving it to them faster than others. Quality doesn’t equate to excellent design or greater durability. First of all, quality pertains to utility or the use your customers need your service or product for. It is the specific need of customers or the benefit they seek that defines quality in their mind.

Improve Convenience

One more way to add value to your company is to increase the convenience of buying and using your service or product.

The best example of how much more customers are willing to pay for are fast food stores. Things are made more convenient for them instead of having to drive across town to a major grocery store or shopping center.

Enhance Customer Service

An improved customer service can go a long way in adding value to your business. People are mostly emotional. They are mainly affected by the helpfulness, cheerfulness, friendliness and warmth of customer service representations. Most companies use customer service as their main source of competitive edge amidst this fast changing marketplace.

Add Value to Everything You Do

The last, but definitely not the least way to add value to your company is to practice adding value to all the things you do. Keep in mind that when everyone else offers the same thing, these factors of a service or product are deemed as the expected norm of basic minimum in the market.

If you like your company to stand out, you need to play everything that you do for your customers to perceive you, your company, and your offering as more superior compared to that of your competitors.

To add value to your service or product, you can improve the design or packaging. You can also increase value through simplifying the method of use.

These are just some of the ways to improve business value or equity. Get started in growing your business today!

December 2, 2018

Why You Shouldn’t Put Less Than 20% Down On Your House

You have chosen the most ideal home and now ready to purchase. Your credit is great and you know you will not have any troubles getting approved for loans. However, you do not have enough for a 20 percent down. But, should it be something that you must worry about? Well, not really. In spite of what your mortgage lender made you believe, making smaller down payment can be a smart move sometimes.

Why 20% Down is Considered as a Gold Standard?

Mortgage lenders love big down payments since it reduces the risk for them. Once you put 20% down, they are lending you lesser money, so once you fail to pay back what you really own, the blow will not be as severe as it’d be if you would put 5% down only.

If you can pay 20 percent up front, you will likely get approved and you will score better interest rates. Smaller borrowed amount and low interest rates can shave thousands of dollars off your loan. Anytime you put less than 20% down on your preferred home, you will need to pay PMI or private mortgage insurance until you reach 20 percent equity. PMI may differ anywhere from 0.3%-1.5% of the original amount of the loan, depending on the size of your down and your credit score.

If you do not like to pay too much money in PMI and interest, it only makes sense to put down a 20% down if you could afford to so. However, there are times when it is wiser to hold on to your money, even though it means high mortgage payments.

When Not to Put 20% Down?

The primary benefit of not putting 20 percent down is that you freeing up your money to be used to some things. If you are purchasing fixer-upper, for instance, creating small down payment allows you to use that money for renovations and repairs to your house. After that, if you decide you would like to eliminate your PMI down the road, you could refinance. If upgrades increase the home’s value, you will get equity without the need to put more money down.

You might also like to keep your cash liquid so you could put your money to some things like for your retirement savings. It’s only a great idea if you could afford the mortgage payment with PMI of your home. If that is straining your budget, you are better off putting your money toward a down payment on your house. This way, your payments monthly will be much lower and it’ll be much simpler to stay on the top.

Another time to stick with low down payment is when homes in your place are appreciating rapidly. If it is the case, you will build equity without the need to do anything, so there is less incentive to put lots of cash down if you purchase the property.

A 20% down makes a lot of sense for several homebuyers, yet not as much for some people. Consider the money you can afford to put down on a property and how that would impact your payments monthly.