When it comes to making life-changing amounts of money, it’s not about passion, it’s about proper planning and persistence.
There are plenty of books out there, and you might even own a few of them, that tell you the road to wealth is to follow your personal passion.
The authors implore you to think about the things you love doing best and find a way to turn that into big profits. In most cases, it’s almost certainly the road to ruin.
I personally know three people whose life ambition was to run a successful restaurant. All three of them (two male, one female) were excellent cooks and treated the final of the Great British Bake Off (or similar) like a football fan would view the FIFA World Cup Final.
The main topics of conversation for these foodie fanatics all revolved around recipes, celebrity chefs, the latest tends in cooking and the must-visit Gastropubs.
In fact one of them (and Alan will remain nameless!) made sure every family holiday revolved around visits to the famous restaurants around Europe that the likes of Rick Stein had frequented. Amazingly he is still married.
All of them got the opportunity to acquire restaurant businesses (funded by redundancy payments, loans and home equity release) so they jumped right in and fired up the furnaces.
They were all incredibly passionate about cooking, they were all excellent chefs, they just couldn’t fail. It was impossible for them to fail. They failed.
The problem was that they thought their passion and skill would carry them to success. And it wasn’t enough. It rarely, if ever, is enough.
Without a proper plan (one-year, three-year, five-year and beyond) they were doomed from the start. Sure, they all had big turnouts at their opening events, but everyone loves a free dinner and that ‘new venture buzz’.
So, to think they could fill their respective establishments night in, night out on the basis of good write-ups in the local media and top-notch grub was only a measure of their naivety.
None of them had done their market research into a highly-competitive genre of business properly, so their ventures were carried on a wing and a prayer. Not to be recommended.
They also had no contingency, so whereas some successful chef/owners have been able to ride out the fallow periods through diversification or other fall-back strategies, they had no Plan B.
No, my friends, my friends failed in their respective businesses because they believed in the ‘build it and they will come’ philosophy. It never works that way and I’ll say it again: Passion is very rarely enough.
What every new business needs (and this is particularly true of property businesses) to survive in the long-term is to fulfil unmet needs in the marketplace.
What can you do better in the property world than your competitors? What areas can you improve upon? It’s a virtual certainty that customer service and transparency would be two of them.
Find out what tenants, buyers, sellers, holiday letting guests, commercial partners, surveyors etc are most irritated by in the marketplace, and be the person to make the improvements.
Just being passionate about bricks and mortar won’t get you anywhere in the property business but solving problems certainly will.
We’d love to help you identify those issues that can make you rich and a good starting point would be to buy 30 Days To Property Success (By Paul Baldry and Andrew McInnes) when it’s launched at the Wealth Creation Weekend at Touchstone’s Education and Training Centre in Doncaster this weekend.
The authors will be around on Saturday and Sunday to answer any of your burning questions and help you make the best possible start to your journey. Sure, we’re passionate about property but without the correct systems and expertise, that would never have been enough.
Click here to secure free tickets for this weekend and order an advance copy of the book by two of the UK’s leading property trainers and investors.