Cashflow From Assets – How Important is it?

Cashflow From Assets – How Important is it?

Let us today discuss about the Cashflow from Assets and its importance. There are basically 2 types of assets in the world. One which does not provide any cashflow at all. These assets provide only capital gains which is “On paper” and remains most of the time of the life of its owner “On Paper” only.

Another type of asset is the Cashflow Asset. Read my articles Best Cashflow Assets. These type of assets provide a steady passive income as well as capital gains. The main reason behind owning a Cashflow Asset is that, you will have a growing flow of passive income as long as you own that asset. And that’s why you can enjoy this passive income from your asset.

Take the Example of this Blog. This blog is my Cashflow Asset. It means that this blog provides me a steady flow of passive income every month. Now, the main advantage of this kind of Income is that, even if I stop working today, this Income will still keep flowing into my bank accounts for the rest of my life and even after that.

While the only disadvantage of owning a job or the asset without having a cashflow is that, you will have to hold it for the rest of your life hoping that its price will go up.

Most of the people in this world invest for Capital Gains such as Stocks, Mutual Funds, Bonds, Gold, Real Estate which does not provide a Cashflow…etc… While rich people invest for the Cashflow such as Businesses, Dividend Stocks, Rental Properties, Blogs, Websites, Web Properties, Intellectual Properties…etc..

Asset Protection from Divorce in India

Asset Protection from Divorce in India

Rich always think of 2 things. One is growing their assets and the second is protection their assets from un eventful events such as Divorce, Lawsuits or even Jail. Asset protection is a very important thing that you should think of in your life.

Recently, Tiger Woods end up paying his half of the fortune to his wife who filed a lawsuit for a divorce. According to laws, your aseets before your marrige does not count for the division during the divorce. Also the assets which you don’t own by your name don’t count for the divorce.

Say for Example, whatever you own in the name of your company or a family business does not account for divorce. However, your joint account with your wife and the investments that you have done in the joint holding with your wife account for the division.

And this is the reason, Rich people does not own anything in their names. They own everything in the name of their companies. And that’s why during the time of divorce and other legal lawsuits, their companies stand as the independent entity which protect their assets from the divorce.

The other way to protect your asset from the divorce is Trusts. You can open a Family Trust for your children and put your assets in the Trust. So during the time of Divorce, your child does not suffer. Because your spouse can not claim the Assets of a Trust.

Protection your online Business is also very important from various lawsuits. Lern here, how you can protect your Online Business from such kind of events – Visit to Protect Your Online Assets and you will learn how you can protect your online assets from such kind of lawsuits.

Passive Income Business

Passive Income Business

A Business can be a good source of Passive Income weather it’s the Online Business or traditional offline business. What I like about developing Businesses is that, as long as you hold it, you will have a steady passive income stream and when you sell it, it will give you huge profits in the form of Capital Gains.

Now, Take the Example of this Blog. This Blog is my Internet Business which I have developed from Scratch. I have not invested any money behind this Blog (Except the Internet Charges every month). I have only invested my time behind this blog. And today this Blog is giving me handsome passive income every month via Google AdSense. Now, this is only one income. The other Income is the Capital Gain which is “On paper” right now. Over the time, the Valuation of this Blog is increased by several folds.

When I started this Blog, the Valuation of this Blog was 0. But today it is $ 24,000. And it is growing very fast day by day. So whenever I will sell this blog, it will give me a huge capital gain.

Now, What many people fails to do is, they fail to replace themselves in their own Business. And I call it Self-Employed Business. The real Business is one which works and grow even without the presence of its owner. So What I advise to every one is, Invest your Time, Money & Energy behind developing a Real Business in which your presence is not require to run it.

But for that, you have to grow your business to a certain level that from which it can higher the top level of managers to run it. If your Business is large enough, it can higher the employees and managers to run it even without your presence. So Develop a passive Income Business as early as possible in your life.

Developing a Passive Income Business means adding 60 more hours every week into your life.

Passive Income India

Passive Income India: How to generate Passive Income Streams in India?

If you don’t know What is Passive Income & How it works than first of all read my basic article, Passive Income Definition.

Now, if you have read and understand about the basics of Passive Income, let us discuss that How you can generate Passive Income stream in India?

Well, see. India is a world’s second largest country population wise. There are above 1 Billion (100 Crore) People in India which makes India, world’s second largest market after china.Here are the various ways to develop Passive Income streams in India. I will start from simple to advanced ways.

01) Interest Income: -

This is the simplest method to generate a passive Income. Here you work hard, make money, save vigorously and after that put that money in Savings Account, Fixed Deposits, Government Bonds, Debt Funds, Recurring Deposits, Post Office Schemes or any other Debt Instrument. The Interest Income will keep flowing in your bank accounts for the rest of your life.

02) Dividend Income: -

This is better than the Interest Income. Because along with the Income, it also gives you the Capital Gains. Here you work hard for decades to build a portfolio of dividend paying stocks. Acquiring dividend paying stocks is a one time hard work only. Many people are living on the income from their dividends portfolio only.

03) Rental Income: -

Here you have to acquire a rental property. Once you acquire the rental property, you can have a nice passive income flowing into your bank accounts. I advise you to buy a rental property in Tier-II cities of India such as Ahmedabad, Pune…etc… This is because rental properties are cheap there in comparison to Metros.

04) Become an Insurance Agent: -

You can also become an Insurance Agent with some reputed company like LIC. This Income is a passive income. Here you have to build a client list and sell the Insurance products to them. Once you make a new Insurance Policy, you will receive money every time when the policy holder renew his policy.

05) Internet / Online Income: -

This is the Best Income I have ever seen in my life. In fact, the Income from my this Blog Business comes from this way only. After the birth of the Internet in 1990, this new Income stream came into exist. And people from all around the world are making tons of money. But in India, people still don’t know about this new generation passive income stream.

You have to work hard at once only to develop the successful Blog, Forum or a website. Once you develop the successful Online Asset, your job is over. The tons of money will keep flowing into your bank accounts for the rest of your life. This is the Income stream of the next generation. And that’s why I advise youngsters to start their own Internet Business.

Thus, all of the above are the Passive Income India. You can focus on any one or more of the Passive Income.

Passive Income Definition

Passive Income Definition

Let us today discuss something about the Passive Income. Many of you may never heard about the passive income and how it works while many of you may have heard about the passive income but don’t know that what exactly it is?

Definition & Explanation: -

There are basically 2 types of Income streams in this world. One is the Active Income & the other is the passive income. Active Income is one to earn which you have to work hard in the economy. And if you stop working, you will loose that entire income stream. You have to work hard until you need the active income. The Best Example of the Active Income is the job Income. You have to go to your work place to do a job to get a paycheck at the end of the month and if you stop working or fired from your job, you will loose this Income stream.

Now, Passive Income is something to develop which you have to work hard at once. And once you do that hard work, That’s it. Your job is over. That Income will keep flowing into your bank accounts for the rest of your life weather you work, sleep, travel the world or even if you die.

Say for Example – Books, Music & Movies Royalties. Royalties are the best example of the passive Income. Robert Kiyosaki, the New York Times Best selling author of the Rich Dad Series of Books work hard at once only to write down a great book. Once the book is created, his job is over. He will make money even while he sleep without any further efforts. This is because people will never stop consuming his books.

Another Examples of Passive Income are,

- Rental Income
- Interest Income
- Dividend Income
- Online Income (Blogs, Websites, Affiliates Marketing…etc..)
- Royalties
- Network Marketing
- Business Income…etc…

In all of the above cases, you have to work hard at once only to develop that passive income stream. Once you do your hard work, your job is over.

After the Birth of the Internet, the new passive income stream has been generated in this world and that Income stream is the Online Income stream. You take the Example of this Blog. This Blog is my Online Asset cum Internet Business. I have to work hard at once only to write Information rich articles. Once I do my hard work, my job is over. This money will keep flowing in my bank accounts even if I stop Blogging today.

So What I advise to young generation is that, start building your own Passive Income stream as early as possible in your life. Because this is the only way to become financially free and retire early…!!!

What is Valuation Bubble?

What is Valuation Bubble?

Recently the News headlines are filled with the news like,

“Many market observers are convinced that the ongoing surge in risk assets and risk appetite will ultimately end in a huge bubble in the emerging market asset class broadly, and the BRIC economies in particular. I also happen to subscribe to this view, and believe that India will see significant inflows into equity markets as the momentum builds. Drilling down further, as equity investor, one needs…….”

The Experts believe that, sooner or later the emerging markets (India & China) will experience the Valuation Bubbles. So What is Valuation Bubbles and How they Work?

Well, see. The Valuation Bubble means hyper inflated prices of the various Asset markets such as Gold, Stocks, Bonds, Real Estate & Commodities.

The Valuation Bubble will form because of the liberal monetary policies of the US Federal Government. In the year 2008-09, the US Government has printed literally $ 1.2 Trillion out of thin air and pushed into the economy. US has not printed this much amount of money in the past century. Today the US Dollar is the terribly flowing currency and the newly printed dollars are diluting the purchasing power of the existing dollars in the economy.

And the danger is that, if this newly printed dollar will flow towards the emerging markets like India and China than it will create valuation bubbles. Valuation Bubbles means the valuations of stocks or any other asset goes sky high without increasing any significant intrinsic value of that asset class.

Say for Example, the Stocks may start trading 100 times it’s PE in the future but this much of valuation is not supported by any strong Revenue Growth of the Company and so on. Valuation Bubbles are harmful to any economy. And we should prevent this newly printed money around the world entering into our economy…!!!!

What is the First thing Rich People Buy?

What is the First thing Rich people Buy?

Have you ever think that, What is the first thing that Rich People Buy before buying anything else? Well, The Answer is – Assets.

Yes, It’s not the Car.

It’s not the Branded Clothes and Watches.

It’s not the Country House or Golf Club Membership.

It’s the Asset.

Asset is something which puts money into your pocket. The Examples of Assets are Stocks, Bonds, Gold, Real Estate, Mutual Fund, Businesses, Online Properties, Art, Antiques, Intellectual Properties and many others.

Rich people start buying Assets since very early life and they keep accumulating assets over the time. They don’t buy anything else except the Assets for first few decades of their life. And later on one day comes when their Asset size becomes so huge that, it starts throwing sufficient cash that can cover all the possible expenses of rich and from that day they start buying luxurious and status symbols.

While the middle class people buy all the status symbols and luxurious items first, goes into deep debt and one day when they wake up in the morning, they find themselves in a deep debt up to their eyeballs and from that day they can’t stop working.

The key to become rich and stay rich is that, you buy Assets first. You first accumulate assets in your life and wait until it grows. And once it grows sufficiently, it will cover all of your expenses. This is how the rich play the game of money.

What is an Ideal Asset?

What is an Ideal Asset?

There are several assets available in the market. People ask me that, What is an Ideal Asset according to you? Well, according to me, an ideal asset is one which fulfills the following criterias.

- an Asset on which I have a Full or at least partial degree of Management Control &

- an Asset which provides me a Cashflow rather than only a Capital Gain as long as I hold it.

Any Asset which fulfills the both of the above 2 criterias are the ideal asset for me. Say for Example,

- A Fully or Partially Privately owned Business

- Rental Property

- Online Property/Business (Cashflow producing Blogs, Forums & Websites..)

- Intellectual Properties (Books, Music, Movies Copyrights & Royalty Income)

All of the above are the ideal assets according to me. According to me the following are not the idea assets for me.

- Gold

- Mutual Funds

- Bonds

- Real Estate Open Plot – That does not have any Rental Income

- Common Stocks

This is because many of the above assets don’t give me any cashflow and I don’t have any management control over these assets. Say for Example Common Stocks. People say that everyone should buy the stocks of Reliance Industries. But my question is that, Why Should I Buy a Stock of Reliance because I don’t have any management control over that Business.

Rather than why can’t I invest more money to buy more shares of my own family promoted education company through which I am owning this Blog?

Same is true for Gold. Gold is not an ideal asset for me. Because it doesn’t give any cashflow if you hold it even for years. While take the Example of this Blog. This Blog is my Online Asset and it will provide me a steady and growing cashflow as long as I will hold it.

Thus, the ideal Asset is one which fulfills both of the above 2 criterias of an Ideal Asset…!!!

The Best Passive Income Producing Assets

The Best Passive Income Producing Assets

Rich acquire assets because assets generate passive income. Passive Income is one to acquire which you have to work hard at once and after that this income keeps flowing into your bank accounts for the rest of your life and even after that.

Read the Article: Passive Income

In the above article, I have mentioned in very detail that What is Passive Income and how it works and various examples of passive Income. In this Article, I will discuss that Which are my all time favourite Passive Income Assets?

Here are my Best Passive Income Producing Assets.

01) Books

02) Blogs

03) Businesses

These 3Bs are my favourite Passive Income producing assets. In case of Books, you have to use your mind at once only to write a great book and that’s it. After that the Royalty Income will keep flowing into your bank accounts for the rest of your life.

Blogs are the other best passive income producing assets. Take the Example of this Blog. “My Journey To Billionaire Club” is my great source of Passive Income. I have to work hard at once to create an Information rich article. And that’s it. That article work in the Blog archive for the rest of its life and attract the organic search engine traffic for me and make money for me. You can see the Blog archive of this Blog. The Archive of this Blog is my Asset which is generating money for me even while I Sleep.

The third best asset is the Business. In case of Business, you have to work hard at once only to develop a successful business. This is one time hard work only. Once you develop a successful Business, your hard work is over. That Business will run even without your presence and make passive income for you.

If you want to become Financially Free & enjoy your life than work hard for the Passive Income since your early life.

Ten Favourite Assets Rich People Have

Ten Favourite Assets Rich People Have

Rich people spend their life in buying assets only. Rich people simply LOVE to buy assets. They acquire assets and these assets appreciate in its value over the time and make them more richer than before.

Assets are something that put money into your pocket. Stocks, Bonds, Gold, Real Estate, Blogs, Websites, Intellectual Properties, Art, Mutual Funds are the examples of Assets. Here are the 10 Common Assets that Rich people Love to Invest in,

01) Financial Knowledge & Information -

This is number one and most important asset. It is intangible so you can not feel it. Rich always spend like anything behind increasing their Financial IQ. This is because the Investment in the Knowledge pays the Best returns in the Long run.

02) Businesses -

This is the second most favourite Asset class that almost every rich invest in. Commonly, Rich prefer to invest in private businesses in which they have at least partial or full degree of management control.

03) Real Estate – Rich also Invest in the Real Estate. This is because they have control over this Asset.

04) Common Stocks – Rich love to invest in someone else’s profitable businesses.

05) Bonds
06) Gold
07) Art
08) Vintage Cars
09) Sports Teams
10) Private Jets

You will think that How Private Jets can be an Investment? Well, For Rich, it’s an Investment because the private jet attracts media attention and media attraction means unlimited FREE Popularity.

Thus, all of the above are the Top 10 Favourite Assets that Rich people have.

Asset Protection Divorce: Tiger Woods

Asset protection in divorce: Tiger Woods Divorce

Elin Nordegren asked for the Divorce from Tiger Woods and file a law suit against him. And not only this but she also asked for half of the fortune of Tiger Woods against the court. Tiger woods is a world famous golf player and he has made whooping $ 600 Million of wealth during his life time.

And today his wife is asking for half of this fortune from him as a divorce settlement.

This can happen to anyone in this world. But have you ever think that why many rich people are protected against such kind of lawsuits? This is because Rich people don’t own anything by their own name.

Yes, This is true. The Best way to protect your wealth against divorce is that, you don’t own anything in your name. And Rich people do this by using the corporate structure. They don’t own anything in their own name but they own everything in the mane of their companies & Businesses. And according to the law, the Company is a separate entity and one can not claim the assets of the company in case of divorce.

There are several asset protection strategies that rich people use and one of those strategies is the power of corporate structure. Corporate structure is designed to protect the wealth of the rich people. But unfortunately, most of the people around this world don’t know that how to use the corporate structure in their favour to protect their wealth.

Let us understand something about Marital Property -

Marital property consists of all income and assets acquired by either spouse during the marriage, even if an asset is in one spouse's name. This marital property is subject to division between divorcing spouses. Distinct property, such as property owned prior to the marriage, your inheritance, and gifts are excluded from marital property; these types of property remain non-marital property and are not divided at the time of divorce.

Individual property can lose its identity if mixed with marital property. For example, if you deposit your pay check into your premarital savings or investment account after marriage, then that account is considered marital property. The same may happen with inheritance property, like a joint account with your spouse. If you wish to have your partner's name on the deed and keep your entire equity or a particular portion of that equity, you should both sign an accord stating who possesses what piece of the property. Without an agreement, it will be treated as marital property and divided at the time of divorce.

I Hope this much Information is useful to you and will help you to structure your finances and protect your assets in any uneventful event.

Income Producing Assets List

Income Producing Assets List

Income Producing Assets are also known as Cashflow Assets and the Intelligent Investors invest in the Income producing assets. This is because as long as they hold these assets, it will give them a cashflow.

Recently I have posted the Article: Income Producing Internet Assets

You will find the complete list of Cashflow producing Internet Assets in the above article. In this Article I will list every other asset that can give you the Income as long as you hold it.

- Stocks (Dividend Income)

- Bonds (Interest Income)

- Real Estate (Rental Income)

- Mutual Funds (Dividend or Monthly Income Funds)

- Businesses (Business Income)

- Internet Assets (See the above article)

- Intellectual Properties such as Books, Music, Movies (Royalty Income)

- Network Marketing (Yes, Your Network is your Asset)

So all of the above are the Cashflow assets. Now, What I say you that, the above is not the complete list. You can convert any asset into the income producing asset if you use your mind. Let me give you 1 example and you will understand how?

Well, see. One of my friend owns 2 Vintage Cars of 1960 Model. He received these cars from his grandfather as inheritance. Now, obviously Vintage cars are the assets but they are not the cashflow assets. They appreciate in its price but they don’t give you any income right? So what my friend started is, He started giving his 2 cars on rent for marriages for Rs.35,000 per night.

And you won’t believe this but his both the cars are booked for 20 days in a month. Now, Rs.14 Lakhs Income in a month from 2 Vintage Cars is not a Bad Income…!!!!

So You can convert any asset into a Cashflow asset if you want…!!!

Compound Interest Billionaires

The Compound Interest Billionaires

According to Albert Einstein, The Compound Interest is the greatest force in the Universe. Because of the Compound Interest, Wealth is concentrated in the fewer hands, the rich get richer and poor get poorer because of the compound interest.

All of the Billionaires become billionaires because of the compound interest only. Over the years, the compound interest has worked on their wealth and multiply their wealth in a breath taking manner.

Remember, The Compound Interest is like a double-edged sword. When you Invest your money, It starts working in favour of you and when you Borrow Money, It starts working in favour against you. Billionaires become so much wealthy because they have keep investing in their own Businesses over the years and thus the compound interest has worked a lot on their wealth.

All the Billionaires become ultra-rich because of the compound interest only. If you also want to become an ultra-rich, the only thing you have to do is, You have to make compound interest work in favour of you for years.

And you can make the compound interest work in favour of you by acquiring Assets, converting something into assets or simply creating Assets (Businesses, Websites, Blogs, Books, Movies, Music).

So Start focusing on creating or acquiring more assets in your life. Believe me, The Compound Interest will start working in favour of you once you acquire assets…!!!

Borrowing Money To Acquire Assets

Borrowing Money to Acquire Assets: Good Debt

There are basically 2 types of debt. One is a good debt and the other is a bad debt. Any Asset producing debt is a good debt and any liability producing debt is a bad debt. Rich people always take a good debt to become richer while middle class people take a bad debt and struggle financially for the rest of their lives.

The Examples of Good Debt -

- Business Loan
- Educational Loans
- Real Estate Mortgage Loans
- Any other debt that will produce Asset at the end

The Examples of Bad Debt -

- Credit Cards (Worst)
- Car Loans
- Personal Loans
- Shopping EMIs
- Any other debt which does not produce any asset at the end

People who borrow money to acquire assets become rich and wealthy over the time. This is because when they repay all of their debt, they become the owner of the Asset which generates income for them even if they don’t work.

While people who borrow money to acquire liabilities can never become rich. Because liabilities such as car, mobiles, or any other thing depreciate in its price over the time and the owner of such liabilities get poorer.

So to become rich, always borrow money to acquire assets only and stay away from liabilities…!!!

Domain Capital: Loan Against Domain Names

Domain Capital: Loan Against Domain Names

Domain names are the real estate of the Internet. Without Domain Names, you can not do your web business. And of course, Domain Names are limited. Some Generic name domain names are worth of millions of dollars such as Loan.com, Car.com, Fund.com, Investment.com…etc…

2-character and 3 character domain names are also valuable assets. Many Investors from all around the world are investing in the Domain Names. Now, you will ask me that, If Domain Names are the real estate of the Internet than Why can’t we get a loan on them? Because in the real world, we can get a mortgage loan against our home or real estate.

Well, You can now take a loan against Domain Names. Go to DomainCapital.com and you will know in great detail that how you can borrow money against Internet’s valuable Real Asset – Domain Names.

Domain Capital is just like a housing mortgage company. It gives you a loan against the premium domain names. First of all it will do a fair valuation of your portfolio of domain names or a premium domain name and later on it will give you a loan against it.

You can use your Domain Name Portfolio to borrow money and than expand your Business and once your Business is established, you can repay your loan ang get back your domain portfolio.

It’s just like borrowing money against your home or a piece of real estate.

Domain Capital is a Domain Financing Company. It’s the entirely new concept. And if this concept will work, Believe me, in the next generation a school going kid will also invest in the real estate of the Internet and make much mrore money than a pre-retirement age group (50-55) of people.

The main advantage of Domain Names investing is that, they are digital so they are virtual. So it remains in the servers of the domain company. Thus, they are protected and nobody ever knows that you are the owner of the valuable virtual property.

How to Increase Your Net Worth in Facebook Be a Tycoon Game?

How to Increase Your Net Worth in Facebook Be a Tycoon Game?

I am a great fan of Facebook Applications. And when it comes to games on Investing & Entrepreneurship, I play them a lot. One such FB application is “Be a Tycoon” Game.

I love to play this game a lot. This is because it is about Investing. You can buy and sell various businesses among several industries and increase net worth. You can also trade in rare items. In fact, there are many ways to increase your net worth in this game.

But my favourite way to increase the net worth is by buying “VIP Items”. Actually VIP Items are the Cashflow Assets. Means they provide you a steady cashflow as long as you hold them.

And these are my favourite businesses. Because I have to do all the hard work at once to acquire those VIP Businesses and once I acquire these Businesses, they continue making money for me and increasing my net worth over the time automatically.

Right now I own 17 VIP Items. Which collectively generate $ 3.8 Billion of Cashflow for me daily. And that is $ 115 Billion per month…!!!!

Isn’t it amazing? Of course, acquiring VIP Items is not easy. You need shareholders to unlock them. But working behind acquiring VIP Items is worth.

The game of money in the real life is also the same. Rich people work hard and use their resources time, energy and money to acquire cashflow assets which give them a cashflow forever. Rich Don’t depend on Capital Gains Income.

Most of the people struggle financially because they invest for capital gains (Stocks, Mutual Funds) while rich Invest for Cashflow (Businesses, Rental Properties) and that;s why they can enjoy their life…!!!

What is an Asset?

What is an Asset?

Most of the people struggle financially because they don’t understand the basic difference between the words Assets & Liabilities. Let us today understand that What is Asset and Why is it so important in being Rich & Financially Free.

In Layman’s language, Asset is something which is likely to appreciate in future (Capital Gains) and/or gives you a regular Income (Cashflow). In short, Asset is something which puts money into your pocket.

See the above line diagram. On your Financial Statement, There is a Balance sheet which has the Asset Column and a Liability Column. Asset is a thing that can give you a passive income. A Passive Income is one to earn which you have to do one time hard work only and after that that income flows into your pocket for the rest of your life weather you work or not?

Examples of Assets are Stocks, Bonds, Gold, Real Estate, Mutual Funds, Art, Web Properties, Businesses, Intellectual Properties, and anything else which puts money into your pocket.

While the examples of Passive Income are Dividend Income, Interest Income, Rental Income, Business Income, Royalties, Online Income, Capital Gains…etc…

Rich always focus on growing their Asset Column of the financial statement and that’s why they become and stay rich. While everyone else mainly focuses on growing their Income and that’s why they struggle financially.

Remember, if you want to become rich than you have to grow your Assets. You have to focus only ine one thing if you want to become rich and financially free and that is Assets.

Business Assets in Recession

Business Assets in Recession

During the time of recession the price of everything goes down. And thus the price of assets. Assets required for businesses go down in price. It’s like SALE in the market and all the valuable assets are selling at 50% discount price.

What most of the people will do is, they will run away from the market or sell their existing assets. But for the Businesses, it’s time to buy new assets. For Businesses, it’s time to grow their Asset base several folds.

During the year 2008-09, Most of the Businesses had acquired the beaten down stocks of other profitable businesses and in this way, they increased their holdings on the most profitable Businesses in the world.

Not only this but the businesses had also increased their own assets during the time of recession because everything was cheap in the market. Business owners know since years that, even if the price of assets go down, their value will still remain the same.

For any business, Assets are very important. Without assets, you can not do any business. If you want to grow your business, first of all grow it’s asset base. The larger the asset size, the larger will be your business.

Take the example of this Blog. This Blog is my Internet Business and the Blog Archive of this blog is it’s asset. Right now when I am writing this article, the size of this blog’s archive is 2500+ articles and it is making $ 100+ every month for me.

Now, I can not expect to make millions of dollars from this blog unless I increase the size of it’s blog archive to more than a million articles.Thus, the more the asset size of your Business, the more will be it’s revenue.

Blog Archive & Revenue

Blog Archive & Revenue

Does Blog Archive size has anything to do with it’s revenue? Well, Yes, if your main business model is advertising (Google AdSense). If the main income stream of your blog is advertisement displaying than the size of the Blog archive matters.

This is because each article in your blog archive is like a piece of virtual real estate. The more real estate you have, the more business you will have and thus the more money you will make.

Let me give you my own example. The Example of this Blog. I have tried this thing on this blog because the main income source of this blog is the advertisement income (Google AdSense).

Last year, the size of this blog’s archive was just 250 article and at that time, this blog was generating $ 10 per month for me. But today (November 2009), the size of this blog’s archive is 2500+ articles and today this blog is generating $ 100+ every month for me. Isn’t it amazing?

This clearly shows that, the more the size of your blog archive, the more web traffic it will generate and thus more money. The articles in your blog arhcive are known as “Digital Inventory”. They are your Internet Business’s main assets.

The more the size of your Digital Inventory, the more money it will generate for you. It is as simple. So What I advise to Blog owners and other web business owners is that, focus on growing the Digital Inventory of your Internet Business.

Rather than focusing on any other things, simply focus on increasing the size of the asset of your Business. This is the only ultimate thing that you should focus if you want to become giant.

If you are a Blog owner or any other kind of Internet Business owner than it is a Billion Dollar advise that I am giving to you. Nobody will ever tell you this thing. I have learned this thing from my own experience and that’s why I grown the web traffic and revenue of this blog by 10 folds (1000%) in last 1 year only…!!!

What are the Best Assets to Buy?

What Are the Best Assets to Buy?

Many newbies ask me this question. In fact, I receive such kind of queries every week in my mail address. If you ask this question to anyone except me than most of the financial planner will tell you the two oldest things.

For the long time horizon, Equity is the best while for short to medium term, Debt is the best asset class. Another advise they will give you is that, if you are risk taker investor than equity is for you and if you are a conservative than the debt is for you.

But well, I am not at all agree with this advise. According to me, The Best Asset for you is the asset class which you understand more and work it with everyday.

Let me explain you this by examples. Let us discuss the example of Real Estate Agent. Suppose if you are a Real Estate agent than do you think that Equity is the best asset class for you? You are working on to find best real estate deals for your clients at least 10 hours a day and you know each and every fine details about the real estate market than why not Real Estate is the best asset class for you?

Let me give you another Example. One of my friend is USA is buying and selling Vintage Guitars. And he understands the market of Vintage Guitars very well. So Why can’t he invest in Vintage Guitars only because he is doing this for years and he has a sound knowledge of this market. Will you advise him to invest in equity because everyone else is doing this?

Let us discuss about Internet Entrepreneur. If someone is a Domain and Website Flipper than why can’t he invest his money to build his own Domain Names and Website Business portfolios? He spends more than 10 hours a day on the Internet and he knows everything about the real estate of the Internet (Domain Names) than why not to invest in the real estate of the Internet (Domain Names) rather than the real estate of the real world?

Well, see. The risk is involved in every kind of Investment. Fixed deposits are also not safe because inflation and tax erodes its value. So Why not invest in those assets that you know very well than any other assets?

Investments in the assets that you know very well give you highest return in the long run than any other asset class. So just find out that which is your suitable asset class? Find out that which is the Asset class with which you work daily since years? That asset class is the best asset class for you.