Keys to success #8: Focus on what works

With persistence, you will find what works for you in creating cash flow and subsequent wealth. Once the cash flow is created, you can invest in your wealth creation plan.

In my case, I had a business that created the cash flow, and the business profits were then distributed and invested in property with a buy and hold strategy.

Property ownership was my wealth creation plan, BUT, what made it possible was the business. What I didn't realise until mid way through my business and investing life, was that the two together were the wealth creation plan. One is useless without the other!

You cannot create wealth with no investment plan, nor can you create wealth without cash flow.... you need both.

No cash flow = nothing to invest.

Cash flow without investing = loss in value over time due to inflation.

It does not matter what your wealth creation plan is, as long as it works and you stick to it.

My issue was that my wealth plan was working, but I got bored with my business and lost focus. As a result, my cash flow was reduced and my investing stalled. I looked for, and started another two separate businesses - becuase they were more "exciting and challenging". However, my original business continued to produce cash flow, though somewhat reduced.

I soon realised that each of my two new ventures would take up just as much of my time, and would need to grow for a few years before I could draw cash from them at any worthwhile rate. However, my "unexciting" original business still continued to create cash flow!

After closely looking at my real goals in life and what I wanted to achieve financially, it eventually dawned on me that I wanted early retirement without jeopardizing my current lifestyle. Hence, I sold one business and shut down the other and focussed once again on my original business, that was always reliable, always (after initial set up) had great cash flow and provided my investment funds year after year.

Once I figured out that my original business was the "goose that laid golden eggs", I just looked after the "goose" collected the "golden eggs" and invested them consistently year after year and let the "Gods of Compounding" do their thing!

Lessons:

• Know what works, and focus on it. Don't lose sight of what makes you money.

• The grass is NOT always greener on the otherside of the fence. Most often, all you really need to do is stay where you are, and just fertilise and water your own grassy patch. You will be surprised how much greener you can make it!

• Do not spread yourself too thin.