How to get RICH doing lawn service

Discussion in 'Lawn Mowing' started by Tom-N-Texas, Sep 21, 2005.

  1. Tom-N-Texas

    Tom-N-Texas LawnSite Senior Member
    Posts: 370

    If you do the following, you are guaranteed to be a rich man someday. Actually it has nothing to do with the lawn service....this is just a common sense reminder to my LCO brethren that will help you live like no one else when you retire. Here is my advice:

    Instead of driving that brand-new fancy truck with super-high payments, choose instead to drive a less expensive (used) vehicle that you can pay cash for.

    A husband and wife who both choose to drive inexpensive vehicles can save $500 per month each on car payments. My advice is to take that $1,000 that you save and invest it wisely in stocks or mutual funds. A good mutual fund should average you at least 15% per year.

    What's the bottom line? In 25 years this will grow to almost 4 million dollars. Now most of us have 25 years in front of us (hopefully). If you are young you have much more. Do yourself a favor and set you and your family up to live the good life when you get older.

    I've been investing religiously for the past decade....but I believe this is a great time to start investing if you haven't already. There is a population explosion going on in this country and lots of new people are entering the workforce. Meanwhile the market has been strangely stagnant for the past several years. Because of this I see big growth in the next decade and beyond. Tom
     
  2. wacamaster

    wacamaster LawnSite Member
    from MI
    Posts: 198

    I am an active investor also. I however paid $30k for my truck. I agree with you on not paying a bunch for a vehicle. I won't make the same mistake in the future. I also agree you have to invest, but you have to know what you are doing. I find, the stone cold way to make BIG money is to follow the insiders. Subscribe to a service that gives you realtime insider purchases. If a CEO buys $2 mil or more... LOAD UP! The most recent money make for me, which I am still holding and still making tons of cash on is CHK... insiders started buying a few months ago and it has gone up 100%. I have too many others to list but BBY (Best Buy) is another example of a nice profit since the CEO bought. SPLS (Staples) isn't bad either. (ECLG) Ecollege is running me nicely to.. crankin hard right now.. putting me up 50%.
     
  3. pasto_guy

    pasto_guy LawnSite Member
    from VA
    Posts: 119

    I too have seen the error in my ways. I have that big truck payment and hate it. Love the truck but would still have loved one the same with a few more miles on it. I had contemplated buying new mowers this upcoming year, but have changed my mind and decided to run the wheels off of my existing ones. I have finally paid off several loans and credit cards, it feels great. What insider info are you refering to. I finally have the cash flow to start investing. Have been doing a lot of reading about it but no moves have been made yet. Thanks.
     
  4. Tom-N-Texas

    Tom-N-Texas LawnSite Senior Member
    Posts: 370

    Yea, I agree. I would definately let a trustworthy pro help me with my stock selections. I'm a member of Motley Fool. They give 2 long-term stock selections per month with their Stock Insider membership ($150 per year) I've been playing along with most of their selections for the past 2 years. Many have incredible gains....some not so good. It all evens out quite nicely to about a 50% gain since mid-2002.
     
  5. TClawn

    TClawn LawnSite Silver Member
    Posts: 2,036

    so what would you recomend for someone like me, who is young? I could probably put $300 in any certain direction as far a stock, or mutual funds go.
     
  6. wacamaster

    wacamaster LawnSite Member
    from MI
    Posts: 198

    I use the insider service from rightsideadvisors.com ... I believe there is a free service such as insidercow.com .. but I think the info is delayed a couple days. I pay $50 a month for my service and it's worth every penny considering the stock price usually starts to move immiediatly and depending on how much your investing, missing out on the percentage point moves could mean thousands. The rightsideadvisors.com realtime service literally pops up on your screen the second the Form 4 is sumbitted. Once you have the symbols.. goto form4oracle.com and enter them. I like the layout they have.. makes it easy to see what's going on. If working with Under $10k but over $2k I would recccomend having a margin account to give you more leverage. If you don't know what this means, you need to study up some. It's really not that difficult.
     
  7. pasto_guy

    pasto_guy LawnSite Member
    from VA
    Posts: 119

    thanks for the feedback, I know that I can't do the physical labor forever. I'm only 27 but I figure if I start investing now, then I'll be further ahead than I would if I started next year.
     
  8. K.Carothers

    K.Carothers LawnSite Bronze Member
    Posts: 1,124


    A Roth IRA is a wise choice. Keep feeding it(up tp 4000/yr allowed). Individual stocks are very risky.
     
  9. topsites

    topsites LawnSite Fanatic
    Posts: 21,654

    You've only touched the surface but you are correct...

    Both my Bmw's and my truck I paid for cash, yes, they are older.

    You can now CANCEL all the extra insurance you do not need.
    Please remember when a LOAN is put on a car, the bank INSISTS you have FULL Coverage (this is so they can be SURE they'll get their money should the car get totalled for ANY reason).
    Regardless of your car's worth, a good, defensive driver like myself with a perfect driving record on Minimum Liability ONLY pays 780 dollars/year in insurance for 2 bmw's and the truck. Dig it baby.
    Perfect driving record means 5+ years NO citations and NO accidents of any kind (not even one's that were NOT your fault) == LOWEST Insurance premiums.
    By the way: Make your insurance payment in FULL when it first becomes due, this saves you even MORE money.
    Pay ALL your credit cards at the end of the month in FULL. If you can not do this, re-adjust your spending habits so you can.
    - Automated payments save stamps.
    - A self-imposed minimum balance in your checking account helps prevent bounced checks. My bank requires 5 dollars minimum, my self-imposed limit is 1,000 dollars - NEVER go below your own limit.
    - NEVER write a check until AFTER you are SURE the money is in the bank (yes, by physically LOOKING at your account online), wait at least 3 days after a deposit before writing a check against it, 5+ days is better.
    etc, etc, I could write for years...
     
  10. Brianslawn

    Brianslawn LawnSite Silver Member
    Posts: 2,004

    you actually have insurance on something topsites. lol. j/k.


    lets see how to get rich....

    consolidate??? nah. dig in dumpsters for pop cans instead. :p
     

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