“The only real mistake is the one from which we learn nothing.”
– Henry Ford
Today’s guest post comes from Dan Sullivan of Strategic Coach, who I’ve known for more than 20 years and whose ideas have made a profound difference in my professional success and my quality of life. We are grateful to be able feature this guest post from him. The core lesson is an important one that should be applied to our finances as well as other aspects of life.
– Kim D. H. Butler
What You Can Learn From Failure
From setback to breakthrough using the mindset of successful entrepreneurs.
It’s been said that entrepreneurs are a different breed, and in many ways, I believe this is true.
Over 40 years of coaching successful entrepreneurs, one of the most significant differences I’ve noticed between these high-achieving business owners and the general population is one that contributes directly and greatly to their success and happiness.
It’s a certain mindset they have around their experiences in life, and the great thing about this mindset is that anyone can develop and benefit from it.
Win or learn — your choice.
“Deciding on the legacy you want to leave includes an estate plan, but it goes far, far beyond financial matters.”
– Todd Tresidder, financial author and mentor
When people think of estate planning, often they think about clarifying or making decisions on what they will leave to their children and other heirs. And while inheritances may be largely financial, there are many things that we “leave” for our children. Our financial, emotional, physical, intellectual and spiritual legacy is hopefully a positive one, not one that burdens them.
Whether or not you have life insurance, assets, or a sizable estate that may one day be an inheritance, here are five things that your children – however young or old they may be – are hoping you DON’T leave them.
“Plans are nothing; planning is everything.”
– Dwight D. Eisenhower
Estate planning is often thought of having to do only with protecting your assets from future taxation and something that only people of a certain level of wealth do. However, that is incorrect, as we’ll see in today’s guest post from Tom Wheelwright, author of Tax-Free Wealth and the founder and CEO of ProVision Wealth Strategies.
Why Everyone Needs an Estate Plan
A key part of a wealth strategy is to protect the wealth you build. Estate planning plays an important role in protecting your wealth by making sure your wealth is distributed in the way you want after your death.
In part one of “5 Ways Your Business Can Benefit from Life Insurance,” we named 3 Myths that business owners may have about life insurance. We also mentioned a study conducted by The Guardian Life Small Business Research Institute, which interviewed nearly 700 small business owners to determine their top ten business concerns.
As we summarized in part one, five of the top ten financial concerns can be impacted by life insurance solutions for business owners:
- Planning for the future
- Tax minimization
- Cash flow management
- Financing capital expenditures
- Providing employee benefits (which also helps with what these small business owners identified as their TOP challenge of finding the right employees).
“Cash value life insurance plays a massive role in financial institutions, corporations and banks…. Not only does it increase their financial stability and reduce their taxes, it is an ideal place to fund employee pensions, healthcare costs, and other benefits.”
– Jake Thompson, Money. Wealth. Life Insurance.
Two weeks ago, we shared how you can use a life insurance policy’s cash value to obtain loans at preferred rates… from a bank! See our article, “Collateral Assignment: Banking on Your Life Insurance Policy,” for details.
Today, we’ll explore 5 ways that life insurance helps business owners solve some of their biggest challenges. But first, let’s set straight some myths about businesses and life insurance.
3 Myths About Life Insurance for Business Owners
Myth #1: Life Insurance is only for big businesses.
“America will never be destroyed from the outside. If we falter and lose our freedoms, it will be because we destroyed ourselves.”
– Abraham Lincoln
Today’s post is a guest post from our good friend (and our marketing coach) Kate Phillips of Total Wealth. Kate is a advocate of entrepreneurship and business ownership, as well as someone with an impassioned point of view.
Practicing Independence: Are We Using Our Freedoms?
Three Who Saw What Others Couldn’t
Ten or so years ago, I was in a real estate investing seminar in which they introduced one of their most successful students who happened to be sitting in the audience. He had been their top money-maker in the Detroit area, purchasing and fixing up forecloses to either sell or rent. The young man stood up to receive applause, and spoke into the microphone… in halting, broken English.
The star pupil of this U.S. real estate training operation was not an American citizen, but a man from SWEDEN who had seen the opportunity to get involved in real estate investing in the states. I don’t recall the numbers, but he had made a LOT of money in a fairly short period of time. He had worked both hard and smart to create win-win situations, taking abandoned, dilapidated homes and making them useful again.
“Many consumers forget a life insurance policy is another tool they can use as an asset to borrow money.”
– Larry Ziegenfuss, Senior Vice President, Conestoga Bank
Borrowing “from” vs. borrowing “against”
There’s a trick to borrowing money at favorable interest rates. The trick is having rock-solid COLLATERAL that is just as good as (or better than) “money in the bank.”
There’s also a trick to borrowing money without having to demonstrate income, prove your credit-worthiness, show your ability to pay it back, and defend your reason for borrowing it.
One of the significant advantages of a participating (dividend-paying) whole life insurance policy is exactly this: the policy builds cash value that you can borrow against at any time, for any reason, without a credit check or even an application process.