Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
side businesses/alternative investments
Old 02-03-2013, 12:24 AM   #1
Recycles dryer sheets
 
Join Date: Feb 2011
Location: columbus
Posts: 100
side businesses/alternative investments

Im curious how many folks have income outside of your normal 9-5 and investment accounts. Would love to hear ideas and $ they generate.
__________________

__________________
columbus is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 02-03-2013, 07:59 AM   #2
Thinks s/he gets paid by the post
 
Join Date: Oct 2008
Location: Naples
Posts: 2,161
columbus, I've always been a rental real estate nut; however, you have to be willing to put up with some setbacks like vacancies, repairs, evictions, etc. I can't do the repairs myself anymore and probably couldn't put up with the hassle so I've been out of it for quite some time. The only thing I'm still in is carrying the mortgage on a piece of property.

That being said, I'm thinking about buying another little rental unit. Only because I have a CD maturing in a week and can't see reinvesting in a CD at 1.5%. Might take half of it and buy this unit and see what I can do for a couple years. Haven't even looked at it yet but think I will this week. I just have to get that money working again and right now real estate looks good.
__________________

__________________
JOHNNIE36 is offline   Reply With Quote
Old 02-03-2013, 02:25 PM   #3
Recycles dryer sheets
 
Join Date: Feb 2011
Location: columbus
Posts: 100
I have some rentals as well that cash flow well, im more looking for something that would generate cash to buy more rentals...and to know that if I lost my job I could just spend more time building up the side business...maybe turning it into something passive down the road as an ultimate goal. We thought about my wife being a pt realtor and I would help, a few random product business ideas, website, etc but nothing has looked super promising. I kind of feel like I'll be unfulfilled without something on the side I can work on growing, strange i know.
__________________
columbus is offline   Reply With Quote
Old 02-03-2013, 02:57 PM   #4
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jul 2006
Posts: 11,018
I have some rental income and am doing some consulting.
__________________
Meadbh is offline   Reply With Quote
Old 02-03-2013, 05:00 PM   #5
Recycles dryer sheets
BreathFree's Avatar
 
Join Date: Nov 2012
Location: Navarre
Posts: 101
I was once asking the same question you are. I was searching for some sort of small business that I could enjoy and make money.

For me, A Micro ISV (Independent software vendor), micro meaning ten or less employees, was my answer. I am my companies only employee. I develop software for merchant mariner training and sell it online. It has been much more profitable than my rental properties. The return on investment has been excellent since my total investment in the company was $2000. Compare that to the rentals that required $100,000 in down payments, and we all know how the real estate market has done in the last several years.

I asked several small business owners for advise when I was looking at potential business opportunities. This is my top ten list.

1. Don't have a partner.
2, Try to maintain 100% ownership but always maintain controlling interest.
3. Don't have employees, if possible.
4. Don't start any business that requires a large inventory.
5. Don't borrow large amounts of money (especially from family).
6. Cash flow over growth.
7. Do use a lawyer.
8. Do use a CPA.
9. Find a mentor.
10. Do what you are passionate about.

Good Luck!!!
__________________
BreathFree is offline   Reply With Quote
Old 02-03-2013, 10:21 PM   #6
Recycles dryer sheets
 
Join Date: Feb 2011
Location: columbus
Posts: 100
Thanks breathfree...your sw business sounds interesting. I assume you had relevant experience. All great advice at the end
__________________
columbus is offline   Reply With Quote
Old 02-04-2013, 02:35 PM   #7
Full time employment: Posting here.
Tyro's Avatar
 
Join Date: Aug 2012
Location: Upstate
Posts: 699
When inclined and able, I've taught Adult/Continuing Ed. classes on various life experience subjects (hobbies & other interests). I hope to be able to do so again after things (FIRE adjustment) settle down.

Income depends on individual districts and community interest (enrollment). Some have flexible compensation options (percentage/split, hourly, flat fee/lump sum). Generally, the more people who are interested in your class/subject, the more you can earn (though that's never dissuaded me from teaching small classes).

If planned and gone about the right way, teaching 2 classes/night several nights/week, I think one could earn as much as a part-time j*b.

I've also done one-off lectures/presentations, and I taught a summer course at a college as a full professor.

Also had a home-based business for about ten years.

Tyro
__________________
Yeah well, that's just, ya know, like, your opinion, man. ~ The Dude
Tyro is offline   Reply With Quote
Old 02-15-2013, 11:46 PM   #8
Recycles dryer sheets
 
Join Date: Feb 2011
Location: columbus
Posts: 100
Thanks tyro, that's interesting. I've never thought about teaching classes.
__________________
columbus is offline   Reply With Quote
Old 02-16-2013, 12:59 PM   #9
Thinks s/he gets paid by the post
target2019's Avatar
 
Join Date: Dec 2008
Posts: 3,708
I am f/t employed and have continued my consulting business for a few select clients. The services include administration, web & email management/hosting, and general IT services. I was fortunate to land a small health services provider 15-20 years ago, and they provide most of my side income, which is about 10% of our joint income.

1. Be generous with your consulting partners that help you through the ups and downs.
2. Maintain business and records separately from your personal ones.
3. Set up an appropriate retirement account and contribute the max when possible.
4. Pay your estimated taxes!
5. Find a mentor who will teach you accounting and taxes. I've never paid an accountant or tax preparer, with or without credentials.
6. Be profitable. You will be amazed at the number of people who will lie to your face, and get free work in return. Hint: it's the nice guy or gal.
7. Be responsive. Sometimes this means your profit or return is very small. But this is a differentiator for you. You are the person who delivers in a clutch.
__________________
target2019 is offline   Reply With Quote
Old 02-16-2013, 01:27 PM   #10
Full time employment: Posting here.
cardude's Avatar
 
Join Date: Feb 2006
Posts: 599
I provide floor plan financing for a couple of small used car dealers. I finance some of their inventory while it sits on the lot-- have only about 35k out now but has been as high as 100k. When it sells they have to pay me off. These dealers carry their own paper (tote the note) and are usually in need of cash if they are growing, and they don't qualify for traditional floorplans offered by banks.

The return has averaged about 25%. I might try to grow this business to about 250k over the next 5 years.
__________________
ER'ed from the new car business Feb 2008. I'm 47, she's 45. Two boys ages 15 and 13. DW is SAHM. I've got a part-time used car lot I w*ork at 3 hours a day that keeps me in beer money.....
cardude is offline   Reply With Quote
Old 02-16-2013, 01:34 PM   #11
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
calmloki's Avatar
 
Join Date: Jan 2007
Location: Independence
Posts: 5,459
Quote:
Originally Posted by cardude View Post
I provide floor plan financing for a couple of small used car dealers. I finance some of their inventory while it sits on the lot-- have only about 35k out now but has been as high as 100k. When it sells they have to pay me off. These dealers carry their own paper (tote the note) and are usually in need of cash if they are growing, and they don't qualify for traditional floorplans offered by banks.

The return has averaged about 25%. I might try to grow this business to about 250k over the next 5 years.
Interesting - we have been funding property loans (because we are familiar with property as you are with used car lots), mostly short term, but our return is less than 1/2 that. Do you have security for your loans?

We also, to stay on point, have rental property income as the heavy lifter in our annual income.
__________________
calmloki is offline   Reply With Quote
Old 02-16-2013, 02:15 PM   #12
Full time employment: Posting here.
cardude's Avatar
 
Join Date: Feb 2006
Posts: 599
Quote:
Originally Posted by calmloki

Interesting - we have been funding property loans (because we are familiar with property as you are with used car lots), mostly short term, but our return is less than 1/2 that. Do you have security for your loans?

We also, to stay on point, have rental property income as the heavy lifter in our annual income.
I hold the titles to the vehicles
__________________
ER'ed from the new car business Feb 2008. I'm 47, she's 45. Two boys ages 15 and 13. DW is SAHM. I've got a part-time used car lot I w*ork at 3 hours a day that keeps me in beer money.....
cardude is offline   Reply With Quote
Old 02-16-2013, 09:46 PM   #13
Full time employment: Posting here.
Tyro's Avatar
 
Join Date: Aug 2012
Location: Upstate
Posts: 699
Quote:
Originally Posted by columbus View Post
Thanks tyro, that's interesting. I've never thought about teaching classes.
It's been one of the more rewarding things I've tried; it does feel good knowing you've made a difference in someone else's life. When I was in school I wanted to go into teaching as a career, but got talked bullied out of it due to the low pay and glut of unemployed teachers (at the time). Having gotten to know some teachers since, I've had mixed feelings over the years. Teaching adults is a lot different -- many of the rewards and fewer of the hassles (except for dealing with administration... ).

Passing on a (near) lost art/skill can be especially satisfying.

Tyro
__________________
Yeah well, that's just, ya know, like, your opinion, man. ~ The Dude
Tyro is offline   Reply With Quote
Old 02-16-2013, 10:03 PM   #14
Recycles dryer sheets
inky's Avatar
 
Join Date: Apr 2009
Posts: 125
One of my friends who's semi-retired works as a movie or TV extra whenever she can. This probably depends whether there's much of a film industry in your area, but here in Albuquerque she gets a job every couple of months or so. She finds it fascinating and fun to get a behind-the-scenes glimpse of the action. It's definitely something I want to explore after I retire!
__________________
inky is offline   Reply With Quote
Old 02-16-2013, 11:19 PM   #15
Recycles dryer sheets
 
Join Date: Feb 2011
Location: columbus
Posts: 100
I work with a guy that buys bulk building supplies at auction and then stores in a warehouse until he can get it moved. It seems like a lot if overhead but he said he made good money. He also rehabbed houses so had many contact but sold a lot on craigslist.
__________________

__________________
columbus is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


 

 
All times are GMT -6. The time now is 12:14 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.