5 Proven Strategies to Get Rich in 5 Yrs [Backed by Data]

most people want to become wealthy someday but if you are like me you don't want to wait until you are old and great to enjoy your wealth so that poses the question can you become wealthy even a millionaire in five years or less or is that just a fantasy here's my take you can become a millionaire in five years but the only realistic path to achieving this milestone in so short of time is by starting a business it can be a traditional brick and mortar business or an online business but the key is to start one that has a realistic chance to succeed and grow within that period of time you may point to crypto millionaires and other people who have invested in high risk investments as examples of folks who have done this without starting a business but that is not a realistic path because your chances of repeating their success or slim in many cases they invested in the right thing at the right time which means your window of opportunity to do the same has probably passed there are some people who advise that you can become rich in five years by observing traditional rules of personal finance things like spending less than you earn saving the difference and investing in the market this is a personal finance channel so i fully support developing good financial habits but you won't get rich in five years by relying on these types of conventional strategies that's because your earning potential is capped if you follow this advice how much you can save and invest is determined by your income which is determined by your job and in most cases your job can only bring in so much for example let's say you earn fifty thousand dollars per year this is around the median income in the us let's say you save twenty percent of that each year at the end of five years you will only have fifty thousand dollars it's decent money but you are far from being rich you might be asking what about returns on that money unfortunately the outcome does not change much even when you factor in reasonable returns if you do really well and invest that money at fifteen percent per year you will still only have a little over sixty seven thousand dollars that's hardly setting the world on fire and not even close to that million dollar mark but a business has no such cap if you strike on the right idea and execute it well the sky's the limit on how much your business can make so now that we know that a business is the right vehicle to obtain wealth in a relatively short period of time the question becomes what business should you start we will cover five businesses that have the potential to generate significant income for you in less than five years when available i have provided real-world examples of how much these businesses can make and in many cases how quickly they can make it i have also provided links below to resources showing you how you can get started in each of them blogging let me begin with my favorite business to start if you want to be rich in five years or less as you probably know a blog is just a website filled with articles around a particular topic i operate multiple blocks so i have some experience in this business what i love about blogging is that you can basically start for free so there's almost no financial risk on top of that the ongoing costs and maintenance responsibilities are almost zero what's even better is that you can do it at home in your spare time but what makes blogging the ideal business to get rich in five years is its ability to generate huge cash flow within a pretty short period of time i am talking about thousands or even tens of thousands of dollars each month i want to be clear that i am not talking about mega blogs like nerdwallet and the huffington post those sites make millions per month i am talking about sites started by regular people like you and me if you don't believe that a small blog can make this type of money check out empireflippers.com they are a platform that buys and sells websites when you browse through their offerings you will see blogs that started just a few years ago making tens of thousands of dollars per month i would note that empire flippers is pretty rigorous about the businesses they list on their site and perform significant due diligence on the numbers they require clear proof of traffic and earnings before you can even list on their website here's a representative sampling of blogs that i found on their site on the day i produced this video all are under five years old and make over ten thousand dollars per month of course these specific blogs may no longer be available by the time you are watching this but these types of businesses are there all the time i have no doubt that there will always be relatively new businesses that are making tens of thousands of dollars per month selling on that site at any given time to be fair not every blog is going to generate this type of money or do it so quickly many failed to make any money at all but what do you really have to lose as i mentioned before you can get started for very little money and it costs almost nothing to maintain your site if you are willing to invest the time and effort why not take a shot so let's say you take the plunge and it turns out you have a knack for it if you are able to grow a blog into something that generates around twenty thousand dollars to twenty five thousand dollars per month your blog is going to be worth one million dollars because your blog is generally worth between forty times and fifty times its monthly income you are now a millionaire as you saw from some of the examples above this is possible within a five year period although i admit it will be challenging but even if you fall short and your blog only makes one thousand dollars per month that yields a valuation between forty thousand dollars to fifty thousand dollars that's the equivalent of saving fifty thousand dollars like we discussed earlier but it's a lot less painful if you are interested in learning more about blogging and how to get started check out my full article on passive income blogging in the description below amazon fba business you can start an e-commerce business and sell your products on amazon through their fba program fba stands for fulfillment by amazon the options are endless you can sell iphone cases high-end cameras you name it under this program you provide the inventory and amazon takes care of fulfillment this means that amazon will store your products in their warehouses they'll pick pack and ship them to your customers and provide customer service for your products as a beginner the key is to find the right niche product to sell you will also need to juggle a lot of things like finding suppliers who can reliably make the product for a good price organizing deliveries to the amazon warehouse wisely managing inventory getting great reviews and fighting off competition it won't be easy but if you can do it you can make a ton of money and you can make it fast this is evidenced by some of the listings that you see for amazon fba businesses on empire flippers here are some examples if the thought of making money with amazon is intriguing to you check out my article on how to make passive income with amazon it covers amazon fba as well as other ways to make passive income through amazon these strategies include affiliate marketing through amazon associates selling designs through merch by amazon and much more publishing ebooks you can also start an amazon kdp business kdp stands for kindle direct publishing through this program you can publish your own books and sell them on amazon if you have always dreamed of being a published writer this can make that dream a reality and the money can be good too check out these amazon kdp businesses that i found on empire flippers to see what i am talking about learn more about amazon kdp and how you can begin publishing and selling your own ebooks check out the official amazon site for this program which i also have provided in a link below start an atm route business atms are also a great way to generate very high returns on investment within a short period of time you can buy a new atm for just a few thousand dollars and start generating passive income and the returns can be spectacular you can be looking at rois in excess of one hundred percent per year if you find a good location for your atm this type of roi is supported by information from companies in the atm industry according to lieberman companies you may be able to make your money back on an atm within six months of buy which equals a 200 percent annual roi if you want to learn more about how to start a passive atm business check out my detailed article on this topic below real estate investing another great way to achieve meaningful wealth in five years is to invest in real estate although most people view real estate as a slow and steady way to accumulate wealth there are unconventional strategies you can use to fast track your road to wealth the burr strategy one of the most popular strategies is the brr strategy which stands for buy rehab rent refinance and repeat the idea is this let's say you find a beat up property for one hundred thousand dollars but after fixing it up it is worth two hundred thousand dollars you only put twenty thousand dollars as a down payment you then rehab it for twenty thousand dollars more and then rent it out for one thousand five hundred dollars for monthly cash flow then you refinance it which means you replace the existing eighty thousand dollar loan with a cash out refinance of one hundred forty thousand dollars that's assuming you get a seventy percent loan to value on the cash out refinance that means you will get sixty thousand dollars out when you refinance you can use that money to repeat the process but this time with two or three properties instead of one you can imagine how quickly you can grow your wealth by doing this sandwich lease options another real estate strategy to quickly grow wealth is by using sandwich lease options a sandwich lease option is an arrangement where you buy a lease option from the owner of a property and then sell a lease option to a tenant what is a lease option you might ask it is basically just a contract actually it's two contracts the first contract is the option that allows you to buy the property from the existing owner at a certain price the second contract is the lease you enter into a long-term lease for the property including the right to sublease it out to another tenant as i mentioned earlier in a sandwich lease option you are the middleman in the transaction you make money by negotiating a lease option with the owner that has a lower rent and a lower option price than the lease option that you negotiate with your tenant here's an example of how a sandwich lease option works step one under your lease option with an owner you pay a three thousand dollar option fee to buy the property for one hundred thousand dollars within three years your rent is one thousand dollars step two you then structure a lease option with your tenant buyer where they pay you four thousand dollars as an option fee under your lease option with them they can buy the property for one hundred twenty thousand dollars and they pay you one thousand two hundred dollars per month in rent step three you pocket the difference between the two contracts obviously you capture the spread between your option fee and the tenants option fee you also pocket the difference between the rents so in our example you get one thousand dollars for the difference between the option fees and two hundred dollars per month for the difference in rents if you land the trifecta your tenant will buy the property from you by using their option and you will then get to pocket the difference there too which would equal twenty thousand dollars i know it's a bit complicated and a lot to take in if you want a more detailed explanation of sandwich lease options including the risks and benefits of using this strategy check out my article on sandwich lease options below so there you have it five strategies that you can use to get rich in five years if you found this video helpful please press the like button if you want to get more great content like this please consider subscribing to the channel by clicking the subscribe button it really helps us out thanks for watching

Channel: RLT Finance

Views: 49,892

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Id: 6XBRuQOTNJQ

Length: 11min 33sec (693 seconds)

Published: Thu Feb 03 2022