It's been a tough time lately. Our rental properties are doing OK, but my other business is failing horribly. I have been successful in most everything I've done till recently, so I am finding financial failure to be a painful, and depressing experience. Sometimes it's so bad I don't want to answer the phone or talk to anyone. I stick my head in the sand and quite frankly am not sure what to do to end things without losing my shirt. I am not alone. Many of my friends are fellow entrepeneurs. They have real estate, are developers, small business owners, stock and option traders, financial advisors, builders, contractors, used car dealers, mechanics, mortgage brokers, realtors, insurance brokers and a few others. There is one common denominator amongst them all. Business sucks, and I don't know what to do to fix things. Some are losing their homes, having their trucks repossessed, losing their rental properies, selling business assets to try to cover personal expenses. Some are living on credit cards while hoping to find work. These are all very inteligent hard working people, who like myself, have just been strangled by this horrible economy.
I also have friends in the workforce who have had their hours cut, or after 15 years of being a loyal employee, given their walking papers then had their employer fight their unemployment claims. A friend of Mrs. Bottom Feeder had her job cut due to the fact that her employer was a sub contractor for THP builders, and they screwed him to the tune of millions. He couldn't afford to pay his debts and was forced into bankruptcy. He was in business for over 20 years.
I just don't understand how anyone can predict a recovery in 2010 based on what I see going on. Some will have a lifetime of work and investment wiped out, many more may recover but it will take years. I may be forced to take a JOB(if I can find one, I may be unemployable after being self emloyed for the last 10 years) just to cover the debts I will be left with when I finally close the doors. This blog is about how to build wealth in a shitty economy. I'm still trying to figure out how to do that. I do know that there will be big opportunities in the Real Estate clearing house. I'm just not quite sure yet what the right strategy will be.
I guess I wrote this post to get a few things off my chest. I am hoping that if anyone reading this is also feeling the pain, they know they are not alone. I don't blame myself(or at least try not to). Until last September we had a flourishing growing business. Then the financial markets collapsed and credit dried up. I saw a housing crash coming, but I didn't see credit disapearing altogether. Hind sight being 20/20 I should have seen it coming. I shouldn't have been so hungry to be a business owner to put my families future in Jeopordy.
OK time to stop feeling sorry for myself, pick myself up and persevere moving foward. It's just really painful sometimes. I just have to recover from my failure and figure out how to profit from this trainwreck.
Well, maybe this is a time to find Jesus instead of focusing purly on business. Okay listen...I'm not religious. I don't even consider myself Christian. But what I mean to say is...I think sometimes life provides opportunities to consider things other than what they are spending time in life so focussed on...that life ticks by before they know it.
ReplyDeleteIronically...sometimes a new focus...and I don't just mean from Real Estate to a car lot...I mean from "buidling business" to "building spirituality" or "building charity" or maybe even just "resting" can lead to the next great business idea...just by the fact of not forcing it.
We're considering moving down to Florida. We have a place under contract with a renter in it. The place cost us $90k. Just the act of putting this thought into action has caused me, instead of saying "how do I maintain all my crap", to consider "how do I scale back and make sure I spend my time and resource only on those things I really need to be happy." So then I realize...to be happy I only really need to..."be happy." Happiness doesn't come from without. It's something we work on insdie of ourselves. And so...realizing that I'm considering living like a Budha with very little, in my little house in Florida. Quitting all jobs. Setting up for whenever a recovery comes and I can jump back into Some flips or...something other than sinking more of my own capital into long term holds...cause I'm out of capital. lol. I'll deliver Pizzas. Work at 7-11. All I want to do is swim, fish, be outside all year around...and trying to maintain a house in Upper Dublin Twp and buy 10s of more units...is taking years off my life so far...so guess what? Put a mangement company in place to keep the "Real Estate 401k" intact...and set life up for the way I really want it. Which ironically...doesn't need to include big houses and new cars...and half the other crap I thought I needed.
But here's the thing: if the Real Estate world was perfect I'd be going gangbusters with it...and maybe not consider any of these other things. So I give thanks for every opportunity, those obvious to me and those that maybe I need to explore a bit to find the silver lining.
I know economic hardships and failed businesses...could lead some to be really depressed and I don't mean to suggest what I say is easy. But...consider that many many super successful entreprenuers have failed a whole bunch of times before they hit it big. So the question is not: will one or another venture succeed. It is, how will the owner respond to a failure. If you come out tarnished you may never start that next big venture...so you have to keep your head in the game! This isn't "a tough time." It's an opportunity to test yourself operating in more challenging environment.
ReplyDeleteLife is just...whatever we say it is. For me I look at these times like a game. The family will be alright. No one is going to starve. I told Wendy even if we end up on the street if we three are together and fairly healthy I'll be counting my blessings. And with that...what can hurt me now? So I'm starting to think now about how I can help other people....and instead of focussing on the struggle to maintain myself...to set that aside and think about "what do I want my life to like like in retrospect" and make sure I'm headed there. Is it really to just be so rich I don't have to work and that's it and that's all and then I can die? What I'm finding is that if it *is*...that why I'd be completely broken when hard times hit. I certainly don't want to jinx myself but I work very hard for that *not* to be the only reason I do things.
So anyhow hang in there man. This too shall pass...but if you are looking at every news report for the turnaround you are just torturing yourself. Think bigger right now. You are already an huge success by many people's standards and one or another business adventure...worst they can be are little college courses for you. But what is it you want from life my friend? That's the kind of thing I think about in these times. And for me...I'm finding I have some adjustments to make. In other words...take the opportunities that are there...but let them not be *only* business and money oriented. When it's time for that...it'll be easier. And then even but letting all that weight off your shoulders the next business opportunity may show itself sooner than you think. A burdened mind won't find it.