2010 = Best time to be an Entrepreneur

In my last blog of 2009 - my focus for my blog in 2010 will have more entrepreneurial articles for you to read in addition to my usual investing and finance articles.  Because the markets were failing in early 2009 and most people (including some economists) were afraid that the sky was falling, I wanted to focus most of my blog articles on investing to motivate you all to take advantage of the cheap stocks and begin investing.

But now that we have avoided the so called impending "doom" of America and the rest of the world, the economy is on a better foundation and companies are starting to increase their earnings.  Which also means they will soon increase employment (just a little bit) and banks will increase their lending and credit will eventually be a little more relaxed in 2010 or early 2011.  Companies have become leaner with less staff (meaning they force their employees to work longer hrs without a salary increase) and more concerned about their bottom line because now they are or should be concerned about the threat of entrepreneurs.

In the past, it was an American cultural belief that "bigger is better".  Nowadays, this belief has changed to "less is more" mainly because of the wave of new technologies that are leveling the playing field for entrepreneurs and/or small businesses.  Look around - the business jargon of today is to persuade businesses and individuals to consume less energy, to drive fuel efficient cars, use green energy, conserve, etc.  Most big mega-companies cannot respond quickly enough to these rapid developments and advancement in technology the way a small business or entrepreneur can (except for the companies that the government deems "to big to fail"...but dont get me started on that.)

So if you've ever thought about becoming an entrepreneur or establishing your own business - then 2010 is the best of times to do so.  There are several websites and technology applications that are "entrepreneur friendly" to help you should you decide to become more entrepreneurial...and if you're creative and know how to work smarter - then you really don't have to work like a dog as most entrepreneurs have done in the past.  Google Apps and Google Adwords allows entrepreneurs and small businesses to operate more efficiently and professional no matter what your budget may be.  Some other good mentionables are Kudzu.com, Yelp.com, and Yahoo Local Business.

Let's be realistic, the odds can be against you if or when you try your hand at entrepreneurship.  If you're not bringing to the marketplace an original idea or a different approach to an already existing idea then failure is likely during the first 2 years.  For example, there are several shoe stores in every mall or place where we shop, so it will be difficult to establish another shoe store where people shop just because you would like to open a franchise or think you would be good at managing a store.  So the idea of another shoe store is not original, however, there was room for a different approach and Zappos.com brought a different approach to shoe buying.  It brought the shoe directly to the customer - and made available several more varieties instead of the customer going out to buy and search for a particular shoe at a mall or whatever.  I know this is just one industry where an entrepreneur challenged the approach to traditional shoe buying, but there are several opportunities just like zappos.com waiting for you in every industry if you look for them.

I'm not just talking the talk, but as with all my articles, I'm also walking the walk.  I have several projects I'm working on to even better establish myself as an entrepreneur in 2010.  I've finished my 3rd book, "Black Insolvency" which is ready for its debut January 2010 on MLK's bday.  I'm also a director/co-founder of BEL Advisory Group, LLC, a full service financial firm offering innovative and intelligent financial and tax advisory services for primarily small businesses and individuals.

So get to work people - don't just think about being successful - try, try, and try again until you are successful.  If you fail, then try another idea, or try another approach.  But at least try!  And 2010 is the best year to do it.

BE FREE

2009-2010

Well the year is finally coming to a close!  2009 was a roller coaster ride and the financial effects of this year will be carried over to the next.  The 1st qtr of 2009 we saw turmoil and the stock markets at their lowest - which also meant this was a good time to buy (I hope some of you who follow my blog actually took my advice and got into the stock market).  Ford Motor company was down to $1.01/share, but today it is over $10/share.  Bank of America was down to $3.26/share, but today it is over $15/share.  United States Steel was down to $19/share, but today it is over $57/share.  Almost every stock on the exchange was for sale at very low and discounted prices!

The worst of 2009 was actually the best of times for buyers...the lowest point in the markets became the opportunity of a lifetime to realize returns of 60%, 100%, 300%, or even higher investment returns going into 2010.  For Generation X and Y-ers, there has been no other better time to invest than 2009.  However, it is still not too late!  As we go into 2010 - there are several opportunities still waiting to be realized.  The real estate market has not fully recovered, and probably won't for some time.  The cost of a new home or foreclosed home has been dramatically reduced for those who have access to cash and good credit.

So what is my move for 2010?  As far as investing...I'm going to invest in commodities such as energy and metals.  This strategy should be a good shelter for any upcoming inflation due to government spending.  But nevertheless, I am also looking for expansion.  I'm looking to increase my audience of people who follow me by working smarter and reaching out across all networks.

What are your goals?  To increase cash flow?  Invest more?  Whatever your goals may be - let's aim to BE FREE in 2010 and retire early.

"The rich rule over the poor, and the borrower is slave to the lender" - King Solomon

BE FREE

Health care reform bill that passed Senate is a monstrosity - and a giant step for America

Health care reform bill that passed Senate is a monstrosity - and a giant step for America

via Health care reform bill that passed Senate is a monstrosity - and a giant step for America.

Interesting article on the reform of healthcare.  There should be some type of reform - but the current format of the bill is not the best answer overall and I think we could offer a better bipartisan alternative.  Let's take the politics out of it and just do what's right for America.  But nonetheless, it's going to happen....I just hope the government will better manage this program and not leave it in such shambles as the current Medicare and Social Security system.

Your 401K can be stolen. Legally.

NOT FDIC Insured

NOT Bank Guaranteed

MAY Lose Value

Have you seen this wording before?  Does this look familiar?  It should because it is stated on your retirement plan.  This phrase is disclosed in each and everyone's 401(K) retirement plan no matter which employee benefit company you're invested in (Fidelity, Principal, Schwab, Hewitt, etc).  Most people are truly depending on their 401(K) as their SOLE form of retirement like I was since most Americans won't have much of a Social Security to rely on for their retirement.

But what we should ask ourselves is - Why are we blindly and solely investing our hard earned money into a retirement plan that clearly states it is:

NOT FDIC Insured

NOT Bank Guaranteed

MAY Lose Value

Are we investing in these plans just because they tell us our entire nest egg might be there when we are ready to retire?  I wonder how the next generation will feel when they are forced to keep working since their retirement lost 20% - 30% of its value the next time the economy hits a recession or depression. 

But a factor we haven't considered is - legal theft.  Unfortunately, Most Americans won't be able to retire and will have to work until death...but how would you feel if your 401K plan was legally stolen from you?  Legally?  It can happen.  It HAS happened.  Remember the story about the Bear Stearns fund managers Ralph Cioffi and Matthew Tannin who were acquitted by a NY District Court even though they lost $1.6 Billion dollars of investors' money?  Remember Bernard Madoff who made off with billions of dollars?  Some of these victims' retirements are forever lost.  Yes, Bernard Madoff and a few others were sent to prison - but that fact doesn't replace the capital value stolen from investors' retirement plans.  And these investors are forced to go back to work during their "golden years"...competing for jobs typically given to teenagers...until they die.  The money is forever gone - and there is no law that will replace it.

What would you do if your company's 401(K) plan went bankrupt due to bad investments made by the company that manages your employee benefit plan?  We invest in our 401(K) plans religiously but how do we know our money is safe and not being wasted on high risk gambles such as mortgage backed securities that caused our economy to recess in the first place?

We receive account statements, but how accurate are they?  I'm sure Bernard Madoff was sending out nicely crafted account statements as well until the walls came crumbling down.  Because our 401K is not insured by any government, bank, or any other entity we could lose it ALL due to some mistakes and bad management of so called portfolio managers or investment advisors.  And it's not a damn thing you can do about it - when it comes to 401(K) plans that is.

America, do NOT put your faith solely into 401(K)ill plans.  Have a backup - own some property.  Invest in REAL assets such as oil, metals, land.  Get out of debt while you're young and before you retire!  There is nothing worse than having to retire while still paying off a mortgage.  Do not let the banks legally steal your 401(K) or your retirement by solely relying or trusting on them to have your best interests in mind when investing your money.  Have a backup plan so that it won't hurt as much if you become a victim to someone else's greed.