Why Serial Startups Will Help You As An Entrepreneur
An Introduction from Tom and Ariana
Does it always seems like you are stuck in an endless cycle of working to pay your bills, only to work more to pay your bills?
Do you have an AWESOME idea that you could turn into a business, but you have not be able to take the action to get started?
Maybe you’ve launched your business but need some help to market it/grow it/automate it.
Or maybe you’ve had success with your first business and are now looking to start another one.
Wherever you are in your journey as an entrepreneur, Serial Startups is an ever-growing collection of resources and a community of like-minded individuals that can help. We are not “gurus”, in fact, we despise them. If you want to know why, listen to Episode 1 of our podcast and learn how NOT to get started an en entrepreneur.
So no, we are not “gurus”. We are a real couple, with a real family, that has found “the secret” to getting out of debt, out of the rat race and getting into cycle of increasing income and flexibility on our lives. That “secret” has been creating multiple streams of income.
There is a fundamental success concept that we learned shortly after college. This concept was reiterated and solidified in our brains from reading a variety of books and studying people that were successful. This concept called the cashflow pattern, which basically means understanding where do people get money from and where does it go once they have it? Once you understand this pattern, and see what your cashflow pattern is, we promise that you will not look at things the same way every again.
In the below graphic, we see the cashflow pattern of most people. This was our cashflow pattern for the longest time, which contributed to us getting into over $200,000 in debt by the age of 21.
The Cashflow Pattern of Unsuccessful People
Step 1 – Money (income) comes in from a job with their paycheck.
Step 2 – After taxes are taken, the money is spent to pay bills and other expenses.
Step 3 – Money is also spent on liabilities (things that cost money), that is, things that do not produce an income. This could be your house, your car or your hobbies.
Step 4 – With more liabilities being purchased, expenses will increases. An example of this is with purchasing a house. On top of the money required to buy a house, there is additional monthly expenses of a mortgage payment, insurance, taxes and maintenance on the house.
With this sort of cashflow pattern, people tend to get stuck on needing to make more money to pay for their expenses and liabilities, and an endless cycle ensues. There is not enough money each month, and if this person lost their job, they would be in trouble.
Now you may be thinking, “What other options are there?” Well, there is the cashflow pattern that wealthy and successful people follow.
The Cashflow Pattern of Successful People
Step 1 – Money (income) comes in from a job with their paycheck.
Step 2 – That money then goes to invest/purchase things that bring in more money (assets).
Step 3 – In turn, these assets now make money every month and increase the amount of money (income) coming in each month.
Step 4 – With additional income coming in each month, the extra money from these assets can then be used to purchase liabilities and pay expenses.
Do you see the difference that creating an income stream creates? Now just imagine repeating this process a few times. As more income comes in, it can be invested into growing/expanding the first income stream and/or creating new income streams. Eventually, using a smart and structured approach, this can yield multiple streams of income. This is what we focus on and believe in here at Serial Startups.
Why Multiple Streams of Income?
“Why not just have one business and do it well?”
That is a question that is often asked when people find out that we run multiple businesses.
We are firm believers of having multiple streams of income. That means that you are collecting money each month from more than one source. For example, if your only source of income is the paycheck from your job, then you have one stream of income. If your spouse also receives a paycheck, then you have multiple streams of income. Why would you want two paychecks instead of one?
1. More Income – If you have two sources of income, you are more than likely creating more income than if you only had 1 stream.
2. Risk Reduction – If you only have a single source of income and something happens to that source, what would happen to you? By having multiple streams of income, a reduction or loss of one stream will not have as much of an impact on your finances and your lifestyle because the other streams can support it.
This same logic applies when looking at creating multiple businesses. We view the income that we receive just like a stock portfolio. When you invest in stocks, do you take all of your money and purchase a single stock? No, typically you will diversify
Additionally, when we discuss multiple streams of income from businesses, we can add in the additional reasons:
3. You Don’t Need Home-runs – If you rely on a single source of income (be it your career or your business), then that source of income needs to be great. You need to be the best at your job to beat out others and continue to move up, and you may have to take job/positions that you don’t enjoy, but that is the only way to increase your income.
If we are talking business, you need to continue to grow revenues, beat out increasing competition and handle the challenging that come with continuing to grow a business. The more lucrative an industry is, the more challenging this is. With multiple streams, you don’t have to be the best. You don’t have to grow past the point of comfort. And you often don’t have as much competition from other companies that are looking for homes runs. You can hit singles, doubles and some triples, and together the exceed a home run.
How Can You Get Started?
Step 1 – Request Access to Our FREE Private Facebook Community
“You are the average of the five people you spend the most time with.” – Jim Rohn
The constant fear and failure while becoming successful entrepreneurs has been one of the most difficult, albeit rewarding, experiences of our lives. One of our “secrets to success” has been to seek out and surround ourselves with other successful and like-minded entrepreneurs.
Step 2 – Listen to the Podcast
Listening to podcasts have changed our lives. We have met so many amazing people through them, learned so much useful information that has allowed major breakthroughs in our businesses. Best of all, these podcasts are all FREE, and you can listen to them anytime/anywhere.
This is why you need to be listening to podcasts, as well as why we launched our podcast. In the Serial Startups Podcast, we share tons of information and experience to help you start, grow and expand your businesses.
Step 3 – Join Our Startup Academy
The fastest way to success is to follow and model successful people. In our Startup Academy, we provide the step by step model that we use to start, grow and automate each of our businesses. Additionally, we are there you guide, answer questions and provide motivation and accountability on your journey.