One approach to become a millionaire.... any thoughts on this?
 

Hi Gordon,

I think I tend to work from the top down.... That is, I think of my big goal, then work backwards as to how I can achieve it....

(Kind of like Bob Beckman mentioned below!)

Sometimes, though, it can take me a while to figure out how this big goal can be achieved, but if nothing else I'm a persistent guy....

Here's one way you can become a millionaire....

To become a millionaire, it's important to realize that you don't have to be *earning* a million dollars a year.

I have read that most small businesses tend to sell for something like 4 or 5 times their annual profits....

That means that, to become a millionaire, you have to set up a business which can be run by someone else, which makes around $200K - $250K in profits per year. (After paying salaries, etc.)

By "which can be run by someone else", I mean a business which is not heavily dependent on your own unique skills or qualifications. That's so it can be easier to sell to someone else who can run it as effectively as you....

(For example, a doctor's private practice is heavily dependent on the doctor's qualifications. But a window washing business, which employs people to wash the windows, is not. As a result, I expect it would be much easier to sell a window washing business, than a doctor's private practice.)

So, to become a millionaire, "all" you need is to create a business like this, which makes a profit of $200K - $250K per year -- then sell it. (This is assuming the figure of businesses generally selling for 4 or 5 times their annual profits is correct.)

Any thoughts on this?

Thanks,

Dien

P.S. I realize it may not be easy to create a business which makes $200K - $250K per year, after paying salaries etc. But it is less daunting than thinking about making a million bucks per year working by yourself, I think....