3 Ways to Achieve Financial Independent for Entrepreneurs

ways to be financially independent

When you have lots of money to support your lifestyle without working, then you achieve financial independent.

Hello, it is me! Eileen, and welcome to my blog 🌸

This website specializes in how to start up the business for beginners and educate them to be financially independent

People wants to be financial independent. You can buy your lovely dress without feeling guilty. You can travel and pamper yourself without worry where you get the money.

To achieve their personal finance, some take the actions today for you will reap tomorrow’s hardwork. Of course there are some wait the opportunity to come until nothing happened and end up miserable.

For my experience, start a business gives me a big advantage for my career and finances. If you compare while you are employed versus you are the boss, finance matters. You will receive your salary after 15 days versus you have everyday cash sales from your business. Additional hardwork and patience, then surely you will achieve it in short time.

This is not the case for some because of lack financial literate, your money will lose.

For starting entrepreneur, knowledgeable in basic finance will surely achieve financial independent.

There are 3 ways to achieve financial independent for entrepreneurs. This are the simple tips to reach it and yet difficult to become.

financially independent

Prepare a Financial Plan

The first step to achieve financial indpendent is to write your Financial Plan.

If you have a business plan, you have to include your financial plan. This is both for your business and your person.

A financial plan includes of how to manage your personal finances, and your investment outlook.

Plan is a list of your dreams to be put into action.

Lists of Financial Plan

Financial Plan

Set a financial goal

Setting from short term to long-term financial goals is important to become financial independent.

In short-term goal, include your monthly budget plan, emergency fund, and insurances.

Medium-term goal is where you are starting investing to be financial independent. A passive income to earn while doing your active income. This come a money will work for you. This is where you put your money in mutual fund or in stock market to earn triple interest earned. This is your chance to business and double your income while receiving a passive income.

The long-term goal is your retirement plan includes how to achieve it after you retire at 60. This is also where your business has it’s his own system.

Take a vacation in places and meet the lost friends, and reunited with classmates.

On your retirement years, having a money work for you, can now enjoy the grandma and take care of your grandchildren.

How to set financial goals? Once you already write your financial plan, you have to categorize on which plan you need to take action immediately. How to buy your dream goal and at the same time maintain to save 30% every month? How long will ou sacrifice your lifestyle just to achieve savings for your investment? Too much work without giving your color life, you missed memories. Too much play without work, you will get starve.

It is important for you to know of when to save.

RELATED POST : HOW TO SET FINANCIAL GOALS

Follow the levels of Financial Pyramid

The last and for me the most important to achieve financial independent.

Knowing yourself and create a time frame is not enough to achieve it. If you follow the levels of Financial Pyramid, you know of where you are right now.

There are 5 levels which the Income is your base, follow by your protection. When you have this two basic foundation, you are entering to grow yourself and build your business empire. If you have a children, you can passbit on and enjoy your retirement age to the fullest.

The basic foundation is your Income because this is where you get your money and save for your investments and buy insurances.

The next level is to grow your money by starting saving for your investment. This is the money that works for you.

If you have a business and you are franchising it or you have a system for your products because of growing demands, then you now accumulate your wealth. You can travel places and your employees working for your company.

To protect yourself, buy life insurance while your health insurance for your illness and medication issues.

The last and final destination of your financial pyramid is to distribute your wealth to your heirs. You can write a will to avoid any conflict of whom you want to give it.

Conclusion

The reason to start a business is to become a financial independent. To retire young, earn a lot of money to travel places, helping the family, and to get rich.

To achieve, to become financial independent, only 3 important points and that is: Creating a Financial Plan, Set a Financial Goal, and follow the 5 levels of Financial Pyramid.

Related Post: How to Manage Personal Finance for Entrepreneurs

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