The case against cashflow

There is a strong argument to be made that you don’t need cashflow.

At least not yet.

It all depends on where you are in your real estate investing career AND what your life DEMANDS at this moment.

This is where most people screw up.
(And I did too when I first started out in 2001.)

Let me backtrack for a minute so this makes sense…

There are 2 types of activities that generate the green stuff:

A. Cash (as in wads of it)
B. Cashflow (as in consistent muney over time)

Which do you need?

And which do you need NOW?

I started off looking to buy rentals because that was all I knew how to do from the very limited viewpoint of the books I had read.

But rentals were not actually a good fit for me.

Why not?

Because while they MAY have produced income over time (they didn’t and it nearly destroyed me…) I actually needed wads of funds as I was broke-as-a-joke and drowning in massive self-inflicted debt.

So having to maintain a property with no reserves was NOT a great idea.

The cashflow it would have generated would vanish in a flash if anything went wrong. And then I’d be S-O-L.

I needed to be focusing NOT on cashflow, but on cash generation.

That might be true for you today too.

These days, things are different for me.

My life and situation has changed, and now I look for the stability of consistent cashflow and the wealth creation that comes with it from ownership.

Since I have my Wholesaling Rapid Cash Generator up-and-running, I can comfortably look for the types of deals that pay out consistently over time.

And I have the funds from my Wholesaling Rapid Cash Generator to both 1) use for the down payments to purchase, and 2) maintain them when (not if) things go wrong.

This is why I think B needs to follow A and not the other way around.

You simply need to know how to generate funds on a regular basis and then, and only then, should you start building up to your passive cashflow goals.

Many may disagree.

But I speak from both my personal experience and the experience of coaching people since 2005.

This works for a reason.

The good news is that the marketing for each is basically the same, just the target market changes.

The negotiation matrix I teach also works for either case as well.

So you are ready to grow as your business grows.

That’s why I call my “Wholesaling: The Rapid Cash Generator” FOUNDATIONAL knowledge.

And that’s why you’ll use it again and again throughout your real estate investing career — whether you focus on generating cash or cashflow.

The case needs only to be made for what you personally need to be focusing on now, at this moment in your life.

And I have a framework for determining that as well, and I’ll be stepping you through it at this Sunday’s 1-Day “Wholesaling: The Rapid Cash Generator” Masterclass.

That’s the case for cashflow.

And the case against.

Develop yourself for either case here:
https://TractionREIA.com/tom

Tom Zeeb
Traction Real Estate Mentors

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