Is your future self in a better financial position than where you are now? I really hope that becomes the case.
If you are serious about making this a reality, whether through property or another business avenue you know how to leverage, I’m super excited to share with you this 6 step method below.
These 6 steps are nothing I can lay claim to, I am the mere messenger here. The information originally came from Andrew Carnegie (the Scottish-American steel entrepreneur who became one of the wealthiest men of his time having started out as a labourer).
What further validates these steps is that Thomas Edison said of them, “not only are the steps essential for the accumulation of money, but for the attainment of any goal”.
Many of you may have at some point seen or heard these before, and let the information pass through your brain without actioning it – much like I did the first time I read Think & Grow Rich, by Napolean Hill. But this time round it’s different, I’m choosing to not just read it, but to commit to the implementation, and to teach this to my eldest son who has a goal to buy a crazy expensive mountain bike.
If you go to page 17 of Think and Grow Rich you’ll see the beginning of the section titled’
“Six Ways to Turn Desires into Gold”.
This is where Napolean Hill outlines six “definite, practical steps” to turning a desire for wealth into “its financial equivalent.”
Here is Hill’s 6-step guide, in his words along with an action nudge from me:
STEP #1
“First. Fix in your mind the exact amount of money you desire. It is not sufficient merely to say ‘I want plenty of money.’ Be definite as to the amount.”
YOUR ACTION STEP
What he’s saying here is that the first thing to do is to establish precisely what it is you are after. It might be a mixed use property portfolio that generates £XX thousand net cash flow a month, a donation amount or in my 12 year old’s case – a Scott Spark 970 mountain bike costing £1709.
STEP #2
“Second. Determine exactly what you intend to give in return for the money you desire. There is no such reality as ‘something for nothing.'”
YOUR ACTION STEP
Figure out what it is you are willing to do in order to create that amount of desired value in the marketplace? What problems will you solve or desires will you satisfy using property? You’ll also need to get clear on the effort and commitment you’re prepared to give this endeavour.
“Thomas Edison dreamed of a lamp that could be operated by electricity,” Hill points out. “And despite more than ten thousand failures, he stood by that dream until he made it a physical reality. Practical dreamers do not quit!”
STEP #3
“Third. Establish a definite date when you intend to possess the money you desire.”
YOUR ACTION STEP
Come up with a finish line date for your wealth and money goals. Be realistic when setting a time frame to attain these goals, but at the same time, think big and don’t be afraid to challenge yourself.
STEP #4
“Fourth. Create a definite plan for carrying out your desire, and begin at once, whether you are ready or not, to put this plan into action,”
YOUR ACTION STEP
When you know where you’re starting from, where you want to go and why that’s important, then to help create your plan you need to figure out what capabilities you need to bridge that gap. You can map out the over arching strategy, what you’ll need to learn, who you’ll need to enlist help from and what action steps you’ll take to get things started.
This step is all about uncomfortable and imperfect action that results in incremental progress.
STEP #5
“Fifth. Write out a clear, concise statement of the amount of money you intend to acquire, name the time limit for its acquisition, state what you intend to give in return for the money, and describe clearly the plan through which you intend to accumulate it.”
YOUR ACTION STEP
Write down your goals and financial plan in your journal. If you’re not a traditional pen-to-paper kind of person, you can type them up and print them out. Even better, do both. Put them in a place where you’ll see and be reminded of them each day.
Study after study has shown that writing down your goals makes it much more likely that you’ll achieve them.
STEP #6
“Sixth. Read your written statement aloud, twice daily, once just before retiring at night, and once after arising in the morning. As you read – see and feel and believe yourself already in possession of the money.”
YOUR ACTION STEP
Hill explains that, “You have to repeat out loud what it is that you want, and how you plan to get it, so you become obsessed with your purpose.”
I’ve learned from my business psychologist coach to write out the specific evidence procedure of your goals, and to write them in the present tense. Eg. ‘its XYZ date and I’m looking at XYZ dashboard which clearly shows me the asset value of my property business is £X and the net annual profit is £Y. The hairs on the back of my neck stand up as I acknowledge……’ So what will your version of that look like?
If you’re aiming to follow Hill’s (well Carnegie’s) instructions and repeat your statement twice daily, then you’ll want to create an automatic habit – establish two set times — one in the morning and one at night to tie in with your routine.
So, with the 6 steps shared, the big question is, will you model what worked for Andrew Carnegie?