little fish..big pond.

[nomo-aloha]

Aloha,

I must admit that after several hours of reading the plethora of topics in this (most excellent) forum...I'm a tad bit intimidated.

Math was never a skill I honed and the ease in which so many of you throw numbers around is gut-wrenching. Reading thru some threads, once, twice and thrice, I find myself asking; am I really this dumb?

Just wanted to say hi and while I have some urgent questions, I'll try to figure out their proper designation prior to starting a new thread. Mahalo.

[Martha]

Welcome nomo-aloha. Don't worry, there are plenty of posts where I provide clear evidence of my inability to use math, so you are not alone. And no one will mind if you use this thread to start out asking your questions.

[retire@40]

Quote:

Originally Posted by nomo-aloha Math was never a skill I honed and the ease in which so many of you throw numbers around is gut-wrenching.

What most people really need isn't math. It's common sense. If you've got that, you're ahead of most people. Math is easy to explain, common sense isn't.

[nomo-aloha]

Thanks for the welcome!

"Common sense is none to common".

I think it was Mr. Frank Zappa that coined that expression.

Sadly, upon reading "my story", I think the consensus will agree I have lacked both math skills and common sense. I am currently trying to muster the nerve to post my embarassing dilemna. Don't want to get royally flamed, nor do I want to depress the masses.

I'm in trouble. Possibly big trouble.

[kat]

Welcome!

And don't worry about the math at all. You can skip over most of it, or ask for it be spelled out. I aced math through school, but didn't need it for my work and lost it. It hardly matters. The main principles are key, and then so much of the rest is variable for each of us. Keep in mind some of the math stuff is the former engineers here doing some therapy. We're all cool about it, most of the time. :........

kate

[JPatrick]

Aloha, nomo-aloha.
I think you will find this forum is one of the better places to start your planning.
Lots of helpful people, and don't worry about the math. *These days having a plan is far more important than crunching the numbers. *The internet will do most of that for you.

[brewer12345]

Quote:

Originally Posted by nomo-aloha Thanks for the welcome! "Common sense is none to common". I think it was Mr. Frank Zappa that coined that expression. Sadly, upon reading "my story", I think the consensus will agree I have lacked both math skills and common sense. I am currently trying to muster the nerve to post my embarassing dilemna. Don't want to get royally flamed, nor do I want to depress the masses. I'm in trouble. Possibly big trouble.

No better place to spill it, IMO. Lots of us (all?) have done stupid things, criminal things, irreparable dmage, etc. If nothing else, you can benefit from others' experiences. Plus we have posters who are or were doctors, lawyers, financial planners, engineers, gummint workers, social workers, duct cleaners (heheh), etc. There must be somebody here who knows (intimately) what can be done in whatever your situation is, plus dozens of us who don't know anything but will still chime in anyway.

Welcome.

[justin]

We also have two members with 170+ IQ's both of whom are the Smartest Man in the World.

[MasterBlaster]

Justin:

Whos the other one besides me

[JPatrick]

Quote:

Originally Posted by MasterBlaster Justin: Whos the other one besides me

well duh

[HFWR]

Welcome, nomo!

Anyone who quotes FZ is ok in my book... 8)

Spill away, and we'll all respond with meaningless, off-topic, wisea$$ed remarks our collective wisdom...

[nomo-aloha]

LOL...Thank you all for the support.....and I can definately use advice provided by the "smartest man in the world".. both of them.

OK, here goes:

Me? I'm not the smartest man in the world. Perhaps that awareness has been my saving grace. Because of factors beyond my control, I was forced to drop-out of highschool 30 years ago.
Nobody knows this other than my parents and siblings. I am now 46 and despite my dirty little secret, most view me as an educated professional.

I'll get to the point, I took over our (suffering) family construction company about 15 years ago. Not patting myself on the back, but I turned it into a fairly successful operation. 50+ employees and profitted between $500,000 and $1,000,000 for about 5 years.

Despite living a good life in Hawaii, I didn't have much overall enjoyment in my young life. I didn' get to go on to school with my friends and really sought that atmosphere and opportunity. I became semi-depressed and consequently started spending like a rockstar. I developed a bad gambling habit ($250,000 per year) and eventually lost my wife and kids. I acept full responsibility for my actions and have always supported them, financially and emotionally. We remain close....even though they are in another state.

Losing my kids (now 15 and 16) was the final straw. I do not party, rarely socialise and have not placed a bet in 3 years. I re-dedicated myself to the company and brought on a couple family members to do the administrative tasks I was not experienced in. With competition here in the islands VERY heavy, I took one more "gamble" and abandoned the company model. I started a new, but related service and it took off.

Suddenly I was back on top. My plan was to stay healthy, focused and in the black. My motivation was in getting my kids a better life (education) than mine. They are very bright and deserve such an oportunity. In fact...they are both star athletes and on the national honor roll. My daughter has been contacted by Eileen (?) Ford about a modeling career. *All appears well....but

I invested everything in new equipment for this new operation. Everything was going great and everyone was making money again....then I blew out my back in an accident at home. I have had MAJOR sciatica despite two surgeries. I even had to hire a driver to get from job to job. I decided to force myself to undertake office duties that I always loathed ie, bookeeping. It was at this time that I discovered my new partners (family!) had tore thru my money like gangbusters. Taxes were not paid and i remain in serious jeopardy of losing the company.

As I started this post: I'm not the smartest guy in the world. I cannot take legal action for a couple different reasons. Blackmail being one. I did however circle the wagons immediately and paid off the state and IRS of all back taxes and penalties. I paid over $150,000 in credit cards and that again to my suppliers. Because of my injuries....these people, mostly friends, failed to tell me that they were not being paid. This is what allowed so much damage to occur. I just didn't know what was going on.

Today:

1)My back is still messed up.

2)I have minor stock investments....maybe $10,000, I lost about $100,000 in 2000 and remain gun shy.

3) No 401K

4) $600,000 in real estate equity

5) $300,000 after tax in the bank earning zilch.

Not only has the company suffered greatly...but I am jaded. I don't think I can go thru this rebuilding process again.I am down to 5 employees and they are about to jump ship.

This is getting very long (I apologise) but I was hoping someone could help direct me to a first step. Shall I seek a financial advisor / planner? In all honesty, this whole thing has caused me a bit of paranoia. I am having a very hard time trusting anyone with the money i have left and may not be making much more. It is clear to me....(and friends) that depression is getting the best of me. I am typically very optimistic and I am having a hard time with these new found emotions. Any suggestions would be greatly appreciated, if anyone is sill awake.

Thanks in advance.

[JPatrick]

Wow * So other than that, how are things going?
The first thing that jumps out at me is that despite all you have said, I don't see any specific* goals regarding your financial future.* Are you ready to hang it up and retire?* Or, are you looking to use to cash in an accumulation mode?

One obvious step you should take is to get that 300K into a money market account.* It is safe and will earn you ,say 4.2%* *That's about a $1000 per month compared to zilch assuming zilch is under 1%.

[haha]

Thanks for trusting us with this very frank and difficult story. I never lost anywhere near this amount of money, but I did lose a business because I was embezzled by an employee who had also implicated me in some shady situations.

I too was depressed, angry and scared.

It seems that instinctively you are doing the right thing. Make sure there is an airway and a heartbeat. Then treat shock and stop the bleeding. When you are safe from the law the IRS and from those who have been harming you, take a little time off to figure out your next step. The paranoia may be the best thing to ever happen to you. * I would avoid any long term commitments of any kind, except what you are forced into by the situation you are in. And resist these!

Lastly, I assume you have *good accountant and lawyer – if not, get both!

ha

[nomo-aloha]

uhem...That folks was a very emotional post for me.. I will try to tighten it up here:

The "real estate equity";

I have a condo worth $400,000 free and clear (more or less). Maintenance fees are $400 per mo.

I have a piece of land worth $400.000 and I owe $200,000 on that. I think my payments total about $1500 per mo.

I have $300,000 sitting in the bank, doing nothing...but I have been comfortable with that in the event I needed it for the company. I don't hink I need it in the bank anymore.

Here's the real dilemna I have: The company still has great potential. Someone better than myself could probably profit close to 1 million per year. I have about $300,000 in new equipment and decent contacts.

The last 3 years I have had sales of of $700,000, 800,000 and 2005 brought in about 950,000. I do not feel I will do so well this year.

I wonder if I should'nt sell this thing before it starts going downhill? One problem with the operation is the fact that I am basically the company. The license is in my name and I don't know about how that would transfer over. I know similiar models that have sold...so it can happen..I just don't know how.

I did contact a broker that told me such an operation is worth only 1/3 of the years gross revenue. That sounded like much to me. Anyone know about selling companies?

Also..I am prepared to sell the land if necessary. I feel like the real estate market here has leveled off and maybe, in my situation, I should be in something else.

I would also consider moving out of Hawaii. It is too expensive here and frankly....too many bad memories.

That's why I say..no-mo-aloha.

Thanks again.

[kat]

Quote:

Originally Posted by justin We also have two members with 170+ IQ's both of whom are the Smartest Man in the World.

You forgot the women.

[nomo-aloha]

Sorry JPatrick and Haha...I was typing that last post when you replied. Thanks for both of your tips and my last post might have better answered your questions.

I will definately look into a money market, Jpatrick. Any advice on where to get started?

Haha...I am sorry to hear you too were robbed. the fact that m family did this to me is unbearable. They were WELL taken care of...apparently they harbored some bad feelings for me...but I have no idea why and they cannot explain what I ever did to make them feel this way. Despite my gambling and other indescretions, I never intentionally hurt anyone.

That is why my business succeeded...and so rapidly. I was always up and up. It's just too much to even grasp. They have some petty stuff on me that can really hurt my current relationship as well as my relationship with my ex and kids. Nothing illegal...just not stuff I want to get around (the gambling is part of it).

One problem I have is my lack of education. I don't know how to do anything other than what i do now. I have no computer skills, either. A bigger problem is nobody really knows this and I am ashamed. I have always been very proud and while not arrogant, definately confident. I know there are many (competitors) that would like this information so they could bury me.

Luckily, I have zero legal problems. But if I don't do something quick...the cost of being in business, while NOT doing any business, here in Hawaii will eat me alive.

Thjanks again.

[nomo-aloha]

Quote:

Originally Posted by kate You forgot the women.

I would have much more if I did. j/k....and just trying to smile.

[JPatrick]

Quote:

Originally Posted by nomo-aloha Luckily, I have zero legal problems. But if I don't do something quick...the cost of being in business, while NOT doing any business, here in Hawaii will eat me alive.

Thats an interesting fact about business isn't it.* You can't stop doing business and generally you can't be content to stay the same size. It's grow or die.

As far as the money market there are many and the yields and terms vary somewhat.* I use Fidelity Cash Reserves (FDRXX) which currently yields 4.13%.* This is taxable as dividends and you can get a check writing feature where you can write as many checks as you want so long as they are for minimum $500.* These accounts are not insured, but no one has ever lost a dime in a major MM account.
It is a good way to generate some monthly cash and still have access to the money.

[JPatrick]

Something I was trying to remember earlier and kept drawing a blank.* A couple of Coronas and I've got it.

Have you considered asking SCORE for some advice regarding your business challenges?
I'm sure you've heard of them, but if not, they are groups of retired execs who will assist you in your business basically as consultants.
There are chapters everywhere.
Why not check it out.
http://emc.score.org/index.cgi?partn...E&action=first