012: M.C. Laubscher: Wisdom Wednesday! 5 Factors to Consider Before Investing in Anything

In today’s episode, I try to answer a listener’s question of what factors to consider before we invest in something. If we take control back of our own money and take personal responsibility and accountability for our own wealth, what factors should we consider before investing in anything? This is extremely important. The first thing we should invest in, is our own financial education. We should never invest a single cent into something that we do not understand. I will discuss other factors I put together in a checklist for us. Bestselfco., Make Success a Habit! Use the Self Journal to organize and align tactical day to day tasks with larger life goals.   Key Take Aways: Invest in your financial education first Do not invest in anything that you do not know and understand Learn the difference between assets and liabilities Is the investment aligned with your principles and values? How is the investment providing value for others? How many people is this investment providing benefit for? Is this for the benefit of a few or are you providing value to your community and society? Is the investment aligned with your strengths and skill set, your human life value? Are you providing time, knowledge, money or credit to the investment? Will the investment return your capital and how quickly? How liquid is the investment? How Economic Efficient is it with regards to taxes, limiting and reducing fees and other factors? Do you have control over the investment, can you improve the performance and limit the downside? Does it provide cashflow? What is the return on investment and cash-on-cash return? What is the exposure to market risk, does it provide a return in all markets? What is the exit strategy for the investment? Quote: “The biggest risk is not the investment but the investor” - unknown   Recommended Book: Killing Sacred Cows: Overcoming the Financial Myths That Are Destroying Your Prosperity by Garrett B. Gunderson   Recommended Resources: Rich Dad Cashflow Board Game, this game will help you learn how investments effect your personal financial statements and what are assets and what are liabilities! Show Sponsors: Audible, download any audio book for free when you try audible for 30 days. Thrive15.com, get a free month of access at www.thrive15.com/cashflow   Show Transcript   Enter the Launch Give away contest to win a $500.00 Visa Gift Card! During the first two months of our podcast we are giving away a $500.00 dollar Visa gift card.  To enter into the drawing, go to www.cashflowninja.com/Itunes and rate, review and subscribe to our podcast. Have some feedback you’d like to share? Leave a note in the comment section below and please share it using the social media buttons you see at the bottom of the post! If you enjoyed this episode of our podcast, please leave an honest review for The Cashflow Ninja Podcast on iTunes. Ratings and reviews are extremely helpful and greatly appreciated! They do matter in the rankings of the show, and I read each and every one of them. John Lee Dumas of EOfire.com made a video explaining how to leave a review you can watch here. You can also access step by step instructions how to subscribe, rate and review on Itunes from Apple here. Thank you for supporting our podcast and sharing it with friends and family! Live a Life of passion and purpose on your terms, M.C Laubscher