20/20 Blogcast

I was lucky one of my main customers called me out to his office to have lunch. He said I need to think about scaling down or getting out of the game for a while. I was shocked when he said we are heading for a big recession a year before things fell apart. He told me to look around and see what’s happening right in front of me. I told him yeah things are like crazy expensive but the banks are handing out money for it. He said when the money is unexplainable for long periods of time a correction is coming but when everyone is part of the con a recession is coming.

He gave me time to prepare and when the bottom fell out I was all CASH.  I collected from all my late accounts, I sold off furniture and even got out of a lease by getting someone else to takeover mine. Now why did I listen to him???? Why not prepare for something that makes me trim the fat and be liquid!

 

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  1. In Toronto, rents have tripled in 7 years. The people keep crying about housing prices and a bubble etc. However, minimum wage keeps rising every year in addition to welfare there’s other government living subsidies as well as rent subsidies, as well as they’re giving businesses hiring grants. University and college is free now. Doug Ford is trying to pass another tax credit for over $700/yr. Cranes keep popping up all over from the core to the outskirts. Every street I drive there’s at least 3 houses being built, or a condo or apartment building. They’re extending subway lines, upgrading street cars etc.

    It’s like New York 1950. 10yrs from now all the property in ontario anywhere near Toronto will triple. It already has sicnce 10yrs ago…

    I’ve positioned myself financially where the only burden is rent, but my living arrangements crush that. I’m about to start buying wholesale food like lentils & rice. Hell or heaven, restaurants are always hiring & driving jobs are always available. I finally fixed up my own vehicle-no loan. Don’t want a mortgage(yet), never trick off money, got 3 outfits and dont go out. 7days clockin. The world goes to hell, I should be ight lol.

    My credit been bad, but that debt is only like $5K. I’m gonna have a debt consolidator wipe it and give me a payment plan. If I dont qualify fuck it. Either way I’m using my own cash to start this business. I could’ve cleared it this summer but getting a car up and running to bring in cash was more important. I could go back to school, but I make the same as a college grad and I know enough to contract myself to companies once I get certain euipment.

    When all these houses start going up for sale again, I can easily get one especially in those small cities. Should have about 60% down on one in a few years based on my working math. If this business does how I want, it will be a cash buy. Everything is going up here man.

    Thanks Freeman for that Dollar15.

    I realized this thing dont take that long if you just do the math and run fast!

    • Homie all of a sudden mfers who were living just fine 5 years ago need new places to stay like a population boom happened…. and it hasn’t. When the last recession was about to hit I was like how is this happening and instead of getting jealous that I didn’t get approved for a interest only loan I stopped and said I got to get ready to survive again.

      When you are about your shit you lean out on everything. Like you said about your clothes and even entertainment it’s about making sure the chips count. I have always felt like it was good habit for me to always eat standard and enjoy the food when I went out…. i really don’t give a fvck about shitake mushrooms or a avacado.

      Isn’t in interesting how a plan can get things done in a couple of years while getting a job and saving up and investing got mfers planning for their retirment in their 20’s. Homie once you disconnect from the sucker shit you can’t believe mfers are pushing those kind of products.

      A poor man needs food, clothing and shelter. A rich man owns his food, clothing and shelter and finds a way to make you work for him in order to get yours!

      • All facts man! I just left the benz dealer. Pretty ass cars man. The s550 coupe starts at $120k(next summer $90k but that loan wont adjust lol) but auctions got a few with the bumper or door knocked off for $70k. Its a trip how in college I’d wonder how to afford the lease when I got a good job. Now I speculate & price out the tools & steps to get it showroom ready like detailed the paint and all…all just from getting out of a car loan then fixing up what I could to be my own car. That(and 100 other ideas) seems like a better idea to do with down payment money on a house. A condo might double in 2 years but them big cars probably double as fast as they get ready. All other products flip as fast as I could post them up and ship them. I really don’t want the banks involved when I graduate to houses but whatevers clever…

        I parlay anything I can now. Once I get all my equipment I’ll be able to launch any products while companies pay me to make theirs look good. This gig I got now I have time to cold call for new clients and still make money here. I’m all in 24/7 until it starts spilling over man.

        Dame Dash in every interview keeps talking about how he’s always “broke” because he keeps flippin and I get it. You always need new parts or more advanced equipment and although you might not have much cash on hand, when you stop and look you realize all you own and control fully.

  2. Yes, a recession is definitely on the way. When the market keeps going up and up without a reason, there’s a bubble. When there’s too many jobs and not enough workers, the economy is inflated. Either way, a correction is not too far off.

    Like you said, 2019 at the earliest or 2020 at the latest. May not be as bad as the last one, but people will feel the cutback. Especially when people have to been talking about “investments” off the stock market breaking records over the last year or so. Many will feel the pinch when it drops to the floor.

    And like you said, it’s funny how there’s so much money out here but the masses are not in a better position. That only confirms how screwy the game is. Because the masses are seeing “the numbers” on TV and are confident. So, they go out and buy overpriced homes and cars. Even though “the numbers” aren’t trickling down to them. The market inflates from the masses and when it deflates, it kills the masses.

    It’s funny because people should work in reverse. When times are good, especially really good, people need to harvest as much as possible and fall back. And when times are bad, they need to be planting seeds like crazy because the seed is cheap and so is the land.

    Instead, people plant seeds when the harvest is bountiful and hold back during famine. But when everything is on clearance, like during a recession, that is the best time to buy everything from land to houses to cars. Why? Because the market is having a year long clearance sale.

    People get it when they go shopping at the mall, but they don’t get it when it comes to shopping for money.

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