Five Habits of Millionaires

According to a study of college students at the Ernst & Young International Intern Leadership Conference in Orlando, Florida, 59 percent of these young leaders expect to be millionaires within their lifetime. What's more, 5 percent of them expect to hit the million-dollar mark while in their 20s.

And the super-rich are a growing group. The top 0.1 percent of the population's average income was $3 million in 2002, up two and a half times the $1.2 million, adjusted for inflation, that group reported in 1980.

Earned Money vs. Easy Money

Easy money usually comes from inheritance or luck, such as winning the lottery. The track record of people who get their money through the lottery or other windfalls is usually very different from those who created their wealth themselves or who planned for an expected inheritance. Lottery winners are often a sorry lot; more than 90 percent use up their winnings within 10 years -- some go through their money in weeks or months.

But there are some consistent patterns among those people who earn or plan to inherit their money, and these five strategies may be worth emulating.

1. Avoid the Earn-to-Spend Mentality

Michael LeBoeuf, author of The Millionaire in You, points out that to increase wealth, it's essential to emulate millionaires who view money as something to save and invest, rather than income to spend. Many wealthy people live quite simply, he points out, choosing less pretentious homes than they could theoretically afford and opting for financial independence over material showmanship.

2. Focus

LeBoeuf also counsels resisting the impulse to be scattered in your efforts and interests: "Winners focus; losers spray." And goals that are clearly written down are easier to keep in focus.

3. Do Whatever Is Necessary to Meet Your Goal

People who earn their millions are able not only to focus but persevere in the pursuit of their goals. One single mom entrepreneur, Melissa Clark-Reynolds, started her first business, a health and safety consultancy, when she had a young son. En route to her goal of being a millionaire by age 35, Clarke-Reynolds and her son ate lots of pizza, did homework late at night and often slept at the office. She is now a chief executive mentor for Empower New Zealand, a global business consulting firm headquartered in London.

4. Take Calculated Risks

You have to take strategic risks to earn and grow money. And a little rebelliousness seems to help too. One interesting study found a majority of male millionaire entrepreneurs had been in trouble with school authorities or the police during their adolescence.

5. Be Generous

And why doesn't it surprise us that millionaires are often very generous? Sometimes it's for the tax breaks, obviously, but often it's not. One Jewish Swiss millionaire, for instance, flew to Israel to give $5,000 in cash to a waiter at a Jerusalem café who foiled a Palestinian suicide bombing. Among the most generous of millionaires are those from North America, who are, according to a Merrill Lynch Cap-Gemini report, two to five times more likely to give to causes they value than their European counterparts.

These five habits are a pretty good prescription for living happily even if you're not a millionaire.

But LeBoeuf insists it's not so unusual to be a millionaire. As of 2004, there were 8.2 million households with a net worth of more than $1 million. And are the folks in those households happy? Yes, says professor Andrew Oswald of the University of Warwick in the UK. After studying more than 9,000 people over eight years, Oswald concluded that people who come into money are happier. The happiest among them, he says, seem to be "highly educated, well-paid women who have jobs."

And how much money does the professor say it takes to be happy? "About $1 million, give or take a little."



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Franchising Business

One way to becoming wealthy is to franchise a business. The good thing to franchise a business is that the business is already proven and successful. You'll just have to copy the business system. But before you get into franchising, be sure to have a feasibility study of the business your'e going into. Ask questions and if possible, consult a legal counsel.

Franchising in the Philippines began in the 1980s, with the sector predominated mostly by foreign franchise companies. From around 20 foreign and local franchises, the sector rapidly grew, with the figure reaching around 1,000 by 2008.

The growth of franchises has been helped by the various programs undertaken by the Philippine Franchise Association (PFA), which is a voluntary self-regulating governing body for franchising in the country. Established in 1995, the PFA now has 180 franchisors and allied members nationwide and is currently the country’s biggest franchise association.

PFA members are bound by the Fair Franchising Standards (FFS), a Code of Ethics which the Association developed, ensuring that they commit themselves to respect and to apply fair set of provisions in the conduct of the sale of their franchises, protecting both franchisors and franchisees.

With over 90% success rate, franchising has evolved as a business model primarily identified with minimal risk. This, in turn, makes franchising a most preferred strategy that guarantees countless opportunities for all entrepreneurs.

Through this booklet, PFA aims to help increase the level of awareness in the MSME sector, even the aspiring entrepreneurs, on franchising as the best strategy to achieve rapid business expansion, while maintaining high survival and sustainability rates. Recognizing the significant roles that MSMEs play in national development, PFA continuously links the franchise advantage to the MSME sector in the hope of retaining greater economic activity.


What is franchising?

Franchising is derived from the Old French word “franc” which means right or privilege. It refers to the method of practicing and using another’s perfected business concept. This duplication of a successful business involves two legally independent parties – the franchisor and the franchisee.

In a franchise relationship, the franchisee is granted the right to market a product or a service under a marketing plan or a system that uses the trademark, name, logo and advertising owned by the franchisor.

As a contractual agreement for the franchisee to use the franchisor’s business, operating and marketing strategies, franchising establishes a relationship with a successful business allowing entrepreneurs to use and capitalize on its proven system and name.


What are the different types of franchising?

There are two different types of franchising – product franchising and business format franchising.

Product franchising, also known as trade name franchising, is that type of franchising wherein a manufacturer grants a franchisee the right to sell its products, but with no method of doing business. Examples of this type of franchising are car dealerships and service stations. Product franchising usually peg royalty collection on a product basis and not on gross sales as compared to business format franchising.

A more complex form of franchising is the business format franchising. Also identified as a name and process franchise, this format features a broader and ongoing relationship between the franchisor and the franchisee. Aside from granting the right to use the name and market the products and services of the franchisor, the franchisee is also provided a complete plan for managing and operating the business – a transfer of the proven way of doing business that has been developed by the franchisor. This plan often includes a full range of services, including site selection, training, product supply, marketing plans and even assistance in obtaining financing. All of the franchisor’s operating systems, technical expertise, marketing systems, training systems, management methods and essentially all relevant information, are transferred to the franchisee.

Business format franchising offers franchisees the advantage of a proven trademark and formula of doing business, as opposed to having to build a new business and brand from scratch. Franchisors are also able to expand rapidly across countries and continents. Franchisees are offered significant training, which is not available for free to individuals starting their own business.

In this arrangement, franchisors typically control how franchisees conduct business to ensure uniformity. Though these controls may significantly restrict the franchisee’s ability to exercise its own business judgment, the end result is to the benefit of the consumers because certain standards are maintained. To this end, franchisors may require the franchisee to operate in a particular manner - operation during certain hours, using only pre-approved signs, employee uniforms, and advertisements, or abiding by certain accounting or bookkeeping procedures. The franchisor may also require the franchisee to purchase supplies only from an approved supplier, in order to ensure that the consuming public does not suffer from inconsistency in product quality.

With the means of distributing goods and services perfected, rapid expansion of a successful business concept occur more quickly. Modern day franchising is primarily in the business format mode, accounting for around 90% of franchise businesses worldwide. PFA is an association of franchisors who are into business format franchising.



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Home Based Business Can Make You Wealthy

Running multiple home based businesses can be a great way for you to becoming wealthy. Many people fail to take full advantage of the perks offered by having a home based business. Having your own home based businesses can make you extremely wealthy. Wealthy is not being rich, they are two different things. Many focus on just becoming rich when in fact being wealthy is what you should strive for. What is the difference between the two? Simple being rich is measured in money and being wealthy is measured in time. The way to measure your wealth is this, if I were to lose my job today how long would I be able to survive with my current lifestyle? Do you see the difference? If not do not worry I will go into more detail in this article.

You see you must think of your finances in terms of what is relative to you. Do not think about anyone else’s finances, just focus on your own. I hear many people say if I could only make an extra $10,000 a month or if I had an extra $50,000 dollars, all of my financial problems would be solved. A majority of the time this is completely false. See a majority of the time when people make more money their expenses go up and they are right back to where they were when they first started. The only difference then is they are making more money. This is what I call focusing on being rich. When you hear people brag about how much money they make or have, you have to remember it only tells half of the story. Let me give you a little example.

Let’s say Tom was making $50,000 dollars a year working for XYB company. Tom’s expenses were around $65,000 a year. Tom figured if he could get a raise at his job, all of his financial problems would be solved. Tom finally got his raise, a whopping $150,000 dollars a year at XYB company.

As soon as Tom received his promotion he felt like he had to keep up with the times and he realized the taxes were pretty high for that bracket. So he decided to buy a big house and a nice sports car. Before Tom knew it he was back to living in debt. He was spending $200,000 a year and only bringing in $150,000 a year. He was back to the same place he was before, so like most people he figured he needed a another bigger raise.

Now is the typical lifestyle many people today are dreaming about. What is wrong with this? Everything is wrong with this. What were to happen if Tom were to lose his job? Due to company downsizing or if his job were to be exported overseas. Tom would be done and would most likely have to settle for a huge paycut working somewhere else. If you don’t believe me visit your local unemployment office.

Now if Tom were wealthy he would not have to worry about this. Your wealth is determined by this, if you were to never work another job again, how long could you live your current lifestyle with the money in your savings account or the income from your assets? If you could only live 6 months without working then your wealth is only good for 6 months. I’ll let you in on a little secret, the reason why the rich get richer is because they spend their time building assets which produce money for them. So they never have to work for money.

Building a home business is a perfect example of building a valuable asset for yourself. Many people have no assets what so ever, all they have is a job. Many people consider their house an asset because they can save money on taxes by owning a house. This is completely false because your house does not produce an income. And for those of you who want to make over $170,000 working a job, well the government takes the tax benefits you would normally receive while owning a house.

If you truly want to become wealthy it is simple build assets for yourself. Reinvest your money into more assets and let your money work for you.



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Starting Your Own Home Based Business

Your'e getting tired of the usual routine of 8 to 5 JOB. Tired of living from paycheque to paycheque knowing fully well that it is just enough to make ends meet. Worried of what the future might bring considering your money is just enough for your daily family needs. Then it's about time you start your own Home Based Business and getting you on the path to becoming wealthy.

Don't be fooled by spam mails. Scammers often send unsolicited emails to anyone and for those who are not aware of these tactics they can easily be misled and sign up for the wrong home business. You should always bear in mind that legitimate businesses won't ever send unsolicited mails to invite prospective customers or partners. You might encounter a lot of home business offer in your inbox so keep in mind to just delete those emails and explore opportunities on your own.

Look out for the 'Get Rich' scheme. Many people fall for the promise of becoming a millionaire after just a few months into the business. After all, who would not want to become rich? But be wise! Some would promise an income worth thousand of dollars on a weekly or monthly basis which is very tricky and unrealistic especially if the business is just new in the industry. It is not wise to just grab offers from companies who promises huge profit in just a short period of time.

Be cautious about data entry work at home jobs. Data entry work-at-home jobs is becoming famous in the internet but be cautious in accepting offers for some of them are not legitimate. One should be very careful in order to distinguish which opportunities are "fake" and which ones are genuine.

Consider starting your own home business. If you have a certain hobby in creating crafts or a skill, why not turn it into your own business. Instead of joining multi-level marketing businesses, perhaps it would be better for you to start a sole proprietorship using your own talent and creativity.

Check out forums or community business groups. Finding potential home based business opportunities should not be very difficult. Visit online communities and forums to get hints or recommendations. You can even pose your own questions to the group and get answers from other entrepreneurs who already have experience in the business industry.

Inquire from the Better Business Bureau. Status of all businesses or companies are being monitored by the BBB. If you discover cases or complaints filed against a company, then it should be a warning sign for you not to grab the offer.

Be prepared to work. Just like a regular business, managing a home based business calls for patience, motivation and plenty of hard work. It's not just about setting up a business and waiting for your profits to come in. Be ready to do a lot of work because since you are starting a home based business on your own, expect to be in charge of doing your own inventory, bookkeeping, marketing and sales.

If you think that being your own boss simply means relaxation or freedom from work, clearly you are on the wrong foot. For a lot of successful home business entrepreneurs, they often spend more than the 8-hour work schedule that most employees spend with their jobs.



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Learn to Save Your Hard-Earned Money

Another way to become wealthy is to save a certain percentage of your monthly income whether from your salary or from your small businesses. It may not be that much initially but overtime it would grow into a considerable amount. Then you can invest your money in more profitable business endeavors. Saving money is at the heart of all of your financial goals. Want to get out of debt? Want to save for retirement? Want to just make ends meet each month?

Saving a part of your income each month is one of the most important things you can do. It is widely recommended that you should save from 10 to 20% of each month's salary or income. While the specific amount saved will vary depending upon your unique circumstances, the important thing is to save, and save regularly.

You are going to have to learn to save money. It can be hard to learn, but is actually quite easy once you get the hang of it. Here are a few tips for you to get started.

First, you have to start organizing your finances. This will help you in seeing your true financial situation. How will you be able to get out of debt if you don't know how much debt you have? How can you save if you don't know what you are spending? Gather all of your financial documents and calculate what your monthly bills are. Take the time to create a budget. Be honest and include everything -- otherwise your budget won't work.

In order to truly budget, you are going to have to know what you spend each month. This helps you see where all the money is slipping out. You can use a computer and personal financial software or a small notebook. The key is to write down every penny you spend. This sounds time consuming, but can be a lot easier if you simply get receipts for every purchase. Then write them down every couple of days. Anything you don't get a receipt for you will need to write down immediately.

Now the savings begin. You look at what you are spending and see where you can cut things. You may need to be extreme and cut out everything but the necessities. Satellite TV and cable can go. You can reduce your cell phone plan and use it for emergencies only. You can look for ways to reduce your utilities and grocery bills. If you are buying coffee each morning, stop buying it and make it at home instead.

If you have your paycheck direct deposited into your account, have your employer split it and deposit a portion into your savings. This can be $10 or $200. It doesn't matter. The idea is to start saving money. When it is automatically put in your savings and you never see it, it becomes quite easy to forget about it. If you get a raise, have the amount of the raise put in your savings each month. When you never see the money, you learn to live without it. It is the easiest way to save.

If you want to protect your budget from disruptions, you need to start a savings account that will handle your annual expenses. These are the things that don't come due on a monthly basis. You need to save for Christmas, holiday spending, birthdays, annual insurance premiums, property taxes and other annual events. By saving this amount, you won't stretch your budget beyond its limits later.

With the same idea in mind, you should start contributing something towards an emergency fund. You never know when something will break down. When it does, it usually puts you in a financial pickle. You can avoid the stress to yourself and your finances by having an emergency fund. Most financial advisors recommend that you have at least three months of expenses in the fund. Don't let this discourage you. Put anything you can in there. Even if it isn't a full month's worth, it will help out in an emergency.

This is ironic. One of the best ways to save money is to get out of debt. And that is why you start saving money in the first place. So I guess you could say that by getting out of debt you can save even more money. Think of how much you are paying in interest. That amount could be going into your savings and earning you interest. Instead of paying a lender, the bank could be paying you. It is important to get your debt paid off first, then work on your savings.

Don't focus on trying to save a certain percentage of your income unless that goal drives you to save. The key in the beginning is to save as much as possible. Have goals that you are working towards. Budget wisely and make saving a habit. It will pay off in the long run.



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Nine Steps To Generate A Profit With Ebay Income

If you’re worn-out of hearing all the stories about how you can become rich quick off eBay, this is the article for you to read. While you won’t turn into a millionaire, you can still have a quick eBay income that you can rely on as long as you’re consistent. Here are 9 steps you can take to earning a nice income as an eBay auctioneer.

Step 1: Provide a Good Product or Service While this seems like a no-brainer, you’d be surprised what individuals try to pass off on the auctions. Don’t mess up your reputation.

Step 2: Offer a Good Price Again maybe a no-brainer, but you need to establish the lowest price you can on an entry so individuals will click on your merchandise and observe it.

Step 3: Write a Good Ad If you can’t be understood, no individual is going to bid on your auction items. Be transparent, and use good marketing language to boost your quick eBay revenue.

Step 4: Use Photographs A picture is worth a thousand words it’s said. If you have only a small amount of space, use a photograph. You’d be surprised how many persons pass up good ads that don’t include a photo.

Step 5: Be Reliable Make certain you send off what you say you will send, in the condition you promise (or better), and at what time you say you’ll send it. Get good ratings from your customers.

Step 6: Offer Returns If someone isn’t confident they want to buy something you’re selling, let them return it if they aren’t satisfied. This eliminates their risk and they are more likely to give you a chance, especially if you’re new.

Step 7: Notify Your Winning Bidders Interaction is king–let them know right away and thank them for bidding on your items.

Step 8: Give Feedback Always give customer feedback. It helps keep your reputation out there and gives you more credibility.

Step 9: Tell Others Let your friends know, post a bulletin on your Myspace page, blog it, write in forums–do what you have to do to allow the world know you have an eBay auction site.

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Five Tips To Run A Succesful Home Business

It can be difficult to build home business if you are not serious about it and you want to become rich overnight. There are many hurdles that can only be faced by the serious entrepreneurs. You need to know that there is no short cut in there and you need the patience and smart thinking to generate income. It will take a while, but you will certainly succeed in it. Giving up is the last thing you can do. So the five things that you need are determination, patience, smart thinking, hard work and consistency. When you have the right ingredients you will eventually own a successful business.

There are also few pitfalls that you need to watch for. If you have the above mentioned five qualities that are needed for a successful business, you will then only need to avoid these pitfalls and the success will be there waiting for you. These pitfalls are as follows:

1. You should not wait for someone to come to you and teach you step by step how to start the business. All you need is an opportunity and you should grab it. There are plenty of opportunities so all you need is action. Take action, start your business immediately and you will learn with time. Remember that time and experiences are the best teachers. If you can find someone on the way to help you or guide you, there is no harm in listening to him though.

2. Finding the right niche is very important. You need to find a niche which is not that active. That means that there is no serious competition in that niche. If you select a niche which has tense competition in it, it would become difficult for you to grow from scrap. Remember that there are always unexplored arenas and all you need is to find one of them.

3. Don’t be the routine package. Be different and offer something unique to your customers. Being a routine package won’t help you much.

4. Remember that those who are afraid of risks never succeed. You should not fear the failure and should be prepared to meet it bravely. Learn from your mistakes and be critical of yourself. This will help you to learn a lot and you will learn quickly.

5. Take it to the end. Never give in. when you start a project, then finish it. Being afraid and giving it up is not what you want. Finishing a project will help you a lot in future even if the project is a failure. There may be situations when you will lose faith in your own dreams and you will start thinking about other ventures, but do not quit the on going project. Take it to its ration end.



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