Originally Posted by
scambo1
Very wise ACL;
I have been doing something else for as long as I have been at DAL. We have done okay and at times very well. The reality of my situation is that I diversified my investments and have 11 high end properties that, while owned outright, are not liquid at this time. Our nest egg is nice, but I dont consider us wealthy.
It doesn't mean I am complaining, all I have to do is look around. The US census said 54% of adult americans dont have $2500 saved, 80% dont have $100k and 90% dont have 200k. My family is not in their boat.
While I count my blessings, I also live very middle class; used cars, bargain grocery shopping, etc. I still save like crazy. I think I had the benefit of growing up poor.
My advice about side business is: Do something you love. Create it yourself. Grow it because you love it and you do it well. Don't start it through debt, start it with used equipment that is owned. Buy new equipment in cash when you can.
Being an employer is a gift. Good employees are a joy, like your own child. Bad employees get the door. Really bad employees get a phone call to the police. Being in charge is a wonderful responsibility because families count on you for their livliehood. You get to see them and their kids grow up, they become like your family.
Some businesses dont go anywhere. Some start making you money from day 1. The latter are the ones you want to be in. Sounds simple, but I've had both and if making money is not happening, drop it like a hot potato.
Good luck with your decisions.
Great advice.
I had 14 properties in the DFW areas but sold all of them in 2004-05, and am very glad I did. I wish I still had them, but it was the correct decision at the time.
Debt can be a pain as we can see with the airline industry. You are not you own master, by a long shot. I have always been looking for something that my wife and I could manage together, and this one kind of took us by surprise. Out of left field if you will. After three months of doing all of the forensics on the company and the two holding companies, we are about at the point of making the decision on which way to go. We are not there yet, and at any point I am not convinced that it is a good deal, I will walk away. That is key. Never get too invested, emotionally or otherwise that you cannot walk away.
I do agree that properties that are owned outright are always a good long term hold. We have a bunch of nice land in Texas that we plan to hold until at least the day I retire.
I was once my own boss and an employer, and you are correct, it is a gift. Nothing on the scale we may take on, but I understand what you are saying. As you hint, there is more to this than just money, if is about giving back to community as well. As with many turns in life, it is not something I envisioned five years ago, but when we were presented with the opportunity it really just hit us over the head.
Either way, I have enjoyed the process.