passive income streams

Popular Passive Income Streams in Modern Business

Passive Income is a topic that many still struggle with today in 2019. And, I have to admit, while I understand why people aren’t too familiar with the concept, it still kind of blows my mind. Personally, I think it’s been 18 years since I first read Robert Kiyosaki’s Rich Dad, Poor Dad and his second book, Rich Dad’s Cashflow Quadrant. Since then I’ve picked up the basics of developing passive income streams and understanding how it all works. In this post, we’re going to explore the top 8 methods of developing passive income.

Yes, it’s really that simple!

I Quadrant Opportunities

If you’re familiar with Robert Kiyosaki’s work, you’ll recognize his company, Rich Dad, Poor Dad. Robert himself is a fan of all passive income opportunities, however, when he originally wrote his first book, his experience was via Real Estate Investing (REI) and Traditional Investing through Stocks, Bonds, 401k’s, Mutual Funds, etc.

Real Estate Investing (REI)

REI is probably one of the most well represented options out there. However, when most people think of REI, they believe that they can’t get in the game. In fact, I remember starting to read Robert’s book Rich Dad’s Guide to Investing when I was in college and thinking “When I get a real income when I’m out of college, this will be how I make my fortune!”

While I still haven’t gone that route, it’s definitely something I see myself eventually getting into.

If this is a track you might be interested in, I’ve had several REI success stories on the show:

Chris Prefontaine (AoL 155)

Damion Lupo (AoL 125)

Kevin Bupp (AoL 124)

Whitney Nicely (AoL 123)

Traditional Investing

Outside of REI, when most people think of passive income, they think of making money through stocks, bonds, and mutual funds. 401k’s fit in this area as well.


While this isn’t necessarily a bad topic to think about, I will say that if you do the math, it takes about $1.25M to be invested in various assets to yield a comfortable $50k+ per year income.

Thing is, most people won’t ever smell that kind of lump sum amount in their career working a day job. However, there are tactics you can use to save a little bit here and there to eventually make that work out. Fortunately, you can read material by folks like Dave Ramsey to make this more of a reality than a dream.

Also, if this is an arena you’d want to play in, I’d also recommend checking out Tony Robbins’ book Money: Master the Game

B Quadrant Opportunities

If you’re already in the S Quadrant, you should definitely look at the B Quadrant!

In the I Quadrant, we’re mainly focused on making our money work for us to make more money. However, again, not everyone has access to that seed money to get up and running. So what’s one to do if they want to get in the passive income game?

They should totally look at the B Quadrant. The B standing for Big Business or Business Systems. These terms can be used interchangeably because you can’t have a big business without harnessing the power of business systems.

What’s great about the B Quadrant is that it’s the scaled up version of the S Quadrant. The main difference being that while in the S Quadrant you’re capped by the activity you can put in yourself, in the B Quadrant you can grow your business through fractal patterns or fractals. If you’re unfamiliar with fractals, a basic example is a tree in a forest. A tree has a trunk, limbs, branches, and twigs. They all are formed using a pattern of nodes and branches. Depending on the type of tree, however, the pattern might keep going. 

Most trees have a tap root that counterbalances the tree and keeps it in the ground. When the tree is growing, a lot of energy is put into creating that tap root.

However, Giant Sequoia trees have a network of roots that support the entire forest like a mesh. Sure, a tree can grow by itself and support itself, but Sequoias, being the largest trees in existence have evolved to support each other in this network. The trees themselves act as the nodes, while the roots act as the branches. 

So simply saying when it comes to fractals, the larger the network, the more potential for growth.

Traditional “Tried and True” Opportunities

The B Quadrant isn’t anything new. In fact, you probably already know of examples of people who are successful in this quadrant.

Insurance

As long as there’s been insurance, there’s been agencies. And insurance has been around a pretty long time.

When someone takes the leap from being an agent and starting their own insurance agency, then they’re taking a step into the world of the B Quadrant. Those agencies can continue to grow to a point where they train other agents and agencies. At this point they become a Field Marketing Organization (FMO). Their most basic role is to offer insurance products, services and possibly training to insurance agents or agencies.

An example of one here in Indiana is Gordon Marketing.

Franchising

Using the same idea as an insurance FMO, a business can eventually grow to the point where they franchise the model of their business.

Like insurance, the idea of franchising goes way back to the Middle Ages. However, the franchising that we’re aware of today didn’t really start until after World War II.

Of course, one of the most well known franchises is McDonald’s. And luckily for us, a movie was released about the man who built the franchise. The Founder is the story of Ray Kroc and his journey to create the business that we know today.

It’s easy to see that this method of creating passive income works. There’s more franchises today than ever! In fact, there’s so many suburbs of one city resemble those of another city.

Personal Franchising

When it comes to franchising, you can do it one of two ways. The first is the more familiar route we just talked about. However, one issue with this method is that it can take quite a bit of startup capital.

Most people don’t have a spare $10k+ just sitting around.

So they participate in the age old tradition of direct sales. Direct sales is defined as “The direct personal presentation, demonstration, and sale of products and services to consumers, usually in their homes or at their jobs.” With that kind of definition, you could say that just about any kind of sales outside of a traditional store or place of business is a form of direct sales.

Many direct sales companies today allow their sales associates or Independent Business Owners to sponsor other people to do what they do. One of the oldest companies that is set up to do specifically this is Amway. In fact, the reason  Amway was created, was so that anyone could have the capability to start their own business. At the same time, they’d also have the support from those who sponsored them as well as the company itself. 

If you’d want to know more about this form of direct sales, often referred to as multi-level marketing, you can check out our friend Robert Kiyosaki has to say on the subject. Interestingly, it’s how he met his wife Kim!

Like Robert, I highly recommend checking out this path if you’re stuck in the E Quadrant and want to quickly move to the B. Or even if you’re in the S Quadrant and don’t have enough to pursue the other options we’ve talked about so far.

Here’s a couple of folks I’ve had on the show who are experts in Direct Sales:

Mark Nathan (AoL 23)

Jeff Gamble (AoL 156)

Licensing

I’d be admiss if I didn’t cover the topic of licensing and what that means. Basically, it’s the sharing of Intellectual Property (IP) from one company (company A) to another (company B) in agreement that if the company B uses the company A’s IP, company A gets a commission. While it is similar to franchising, franchises differ in that they are in charge of how company B is actually ran. In licensing, while company A might have recommendations and regulations set, it’s pretty much left to company B to work out their own systems of operation.

As an owner of America Multi-Sport, I’ve had first hand experience to see how this can work out. While on the surface it might seem like a great idea since you’re skipping over some pretty hefty fees to actually make a franchise, there’s a good chance you’re going to fall behind. Since your licensees don’t have to operate to a certain standard, it leaves a lot of room for interpretation. Just with us, we’ve had a handful of licensees come and go in the last couple of years simply because they couldn’t do what we recommended to them.

However, just because it hasn’t been overly successful with us doesn’t mean it can’t be successful. The NFL got started the same way. Even though it’s had its ups and downs,  it’s celebrating 100 seasons!

Internet Powered Opportunities

Now that we’ve covered forms of opportunities that have been around 100 years or more, let’s look at a few things that have popped up in the last 20 due to the advent of the internet.

Scaled S Quadrant Work

If you’re more familiar with the podcast, you know that a number of the guests are simply people who have taken their service to the next level. They’ve found their Ikigai and have used technology to build a lifestyle that they’re proud of. Of the numerous hats I wear as an entrepreneur, one is helping people take their solopreneur business and scaling it through technology if they haven’t done so themselves. 

Of course, there’s different ways to capitalize on technology. You can become a digital nomad where the only work you do is through your laptop as you travel the world. Or you can start a brick and mortar agency that offers a service which can be executed online. Or perhaps you already have an agency and you’re up to your eyeballs in work and need help with all the work that’s coming your way.

There’s ways to do all of this. It really depends on what you want to do. Of course if you’d like help with this, shoot me an email. I’d love to help you get to the next level.

Affiliate Marketing

The internet has brought on another form of direct sales called e-Commerce or internet marketing. Today, most of us no longer go to places of business and buy something on the spot. We opt to do our shopping from the comfort of our own home.

Lots of online business owners get their start in internet marketing by pedaling other company’s products or services. Most of the reviews that you see on YouTube, have an affiliate link in their description that you can buy the product through them and they get a commission. 

In fact, Pat Flynn did pretty much this for years. However, as his platform grew, so did his need to create his own online products.

Influencer Marketing

When I first learned of Pat, I also learned of Brendon Burchard and his course called Expert’s Academy. Today I think he’s called it the Influencer Academy because more people are familiar with that term on Instagram.

The idea of Influencer Marketing is pretty straight forward. If you have an engaged audience, you have a list of potential buyers. The bigger the audience, the more potential buyers.

You make a product specifically designed for that audience, and there’s a good chance they’re going to buy from you. Why? Because of your influence on them through that engagement!

Typically speaking, those products take the form of digital products like courses and eBooks. That said, it’s not uncommon to see books, audios, and videos released by people in this arena.

Anyway, here’s the catch. It’s important that we never confuse three things. 

  • Don’t confuse your platform with your income. 
  • Don’t confuse your income with your career.

When people are getting started in the online entrepreneur space, many times they believe that they need to become an influencer way before they’re successful in making income. Problem is, you can’t really be an influencer unless you have some form of success in your career. They’re putting their platform ahead of their income.

To correct this, we need to learn how to separate the idea of these two. Sure your income will be multiplied as you become an influencer, but if you don’t have any income, you’re essentially multiplying by 0. 

So the next time you hear the phrase “become the next influencer” and think it’s a great idea, make sure that you already have a proven business based on the material that you want to help the masses with.

SaaS Platform

Finally, the last option I’ll mention because it’s the last category I’m personally familiar with is building a Software as a Service (SaaS) Platform. Now, doing this is just like building any other kind of business. You have to start small and in a well defined niche.

What I learned from Dane Maxwell (AoL 56) and his program called the Foundation is that if you’re creating something from scratch, you really need to do your homework up front. Find out what the people really want.

However, because it’s a product and not a service, you’re going to have to learn how to do a little bit of pre-selling the concept. Especially if you’re creating it without using your own funds. Why? Because hopefully, you’re going to hire someone to do the programming for you! 

Once you have the online tool built with the help and funding of your “champions” and early users, then you can market it and build your influencer platform like any other online business.

Action Steps

So, lots of information here! 

Hope that it provides some value and gives you a bit of clarity.

Again, if you haven’t, I really recommend getting started with reading Rich Dad, Poor Dad and the Cashflow Quadrant. Everyone should be financially literate and these are great starting manuals on passive income. 

From there, feel free to connect with me. We can do a strategy session based on where you’re at and what your needs are.

get stuff done

Focus at Work – Keep the Main Thing the Main Thing and Get Stuff Done!

In the last post, I wrote about how deep focus might be the key to actually get stuff done in your craft or industry. Focus on the 20% of the effort that makes you the 80% of your income. You simply don’t have the capacity to do everything under the sun.
Since that post, I’ve had a few readers of that post message me and ask why I was going against the traditional advice of building an online business.

And as I thought about it, I realized that while I might be going against the more traditional advice of building a digital business, there are examples in the real world that suggest that less can be more.

So in this post, we’re going to look at just a few such examples.

Is Less Always More?

Now you might be thinking, there are plenty of examples of businesses that have grown after they offered more products and services. One such example is Amazon. Without knowing their history, you might think that they’ve always sold all the products and online services that they offer today.

However, this wasn’t always the case. When the company first started, it was an online book store based out of Jeff Bezos’ garage. Did he know that it was going to become what it is today? Probably not. But as the company offered more products and brought more people on to help manage those products, it is definitely an example of “More is More”.

Sometimes Scaling Doesn’t Always Work as Expected

But for every Amazon who scales correctly from the beginning, there’s also going to be examples where adding more to the menu might not be the best course of action.

Example 1: McDonald’s

Take McDonald’s for example. I remember in the late 00’s when McDonald’s was losing out on customers because people started to get smarter about what they were eating. It was during this time that chains like Panera, Starbucks, and Subway grew like bandits. In fact, it was pretty common to hear about places in large cities that had a couple of Starbucks on the same street.

These companies were eating McDonald’s lunch. So what did the golden arches do in response? They grew their menus and model to include some competitive products to what these other places were offering. By 2013, it had 145 items on its menu.

This was nuts and completely unsustainable. It’s no wonder that they were losing money at this point.

In an attempt to right the ship, they hired their most recent CEO, Steve Easterbrook. What Steve ended up doing was removing the items that weren’t selling as well and went back to the basics of the business. This seems to have worked because in the last year or so, their stock has actually risen.

Example 2: Apple

While this might not be the best recent example, it wasn’t too long ago that Apple was the tech company to watch out for – as an investor and a competitor.

In the Beginning…

Personally, I’ve always been an Apple user. My first computer was one and currently I’m writing this on a Macbook Pro.

During that time, the company has seen its ups and downs. I remember when I was first learning about computers, I found out the hard way that Windows 95 would not work on my Mac. How could this be? I thought everyone was going to be able to use it!

Nope, I was in the minority. Windows based PCs were what everyone else had. I can’t tell you how many conversations I had in high school answering questions about why I had a Mac… even when Steve Jobs came back as the CEO!

As I got involved in the Purdue University Mac Users Group (PUMUG), I started to learn how awesome of a group Mac users actually were. I had found my people! But interestingly, we were still a small group. All the clones had been taken off the market by that point. Those of us who were still users were because we were creatives or simply loved the Mac.

The Epic Growth of Apple

However, it was also during this time that the iPod was released. And interestingly, this was about the same time that I started paying attention to the stock market. I remember in 2001 watching the AAPL stock rise almost 50% until 9-11. 

Of course, stocks were down for just about everyone at that point. But as new and better versions of the iPod came out, their stock rose. And then, the point where everyone became familiar with Apple was in 2007 when the iPhone debuted. Wow… I really should have got some shares then. (Unfortunately, I thought I had already missed the boat. Ha!)

But there’s a point in me telling you this personal story of watching Apple rise. No one would have believed it would happen when I first got my computer – an Apple Performa 575. Had they stuck around trying to compete directly with Microsoft PCs, I think the company would have folded. Even to this day, but especially back then, they were known to jack up the price on products that were matched by less expensive PC options.

But it was because Steve was able to focus on building the next best thing (as he originally did with the original Mac) that they were able to be as great as they did during his time as CEO.

On a Smaller Scale

So, there’s a couple of examples of large companies that righted their ships after bloating to try and be everything to everyone. But it’s not something that just companies that size have to deal with. There are much smaller companies that struggle simply because they don’t focus on keeping the main thing the main thing.

And because they often don’t have the necessary resources or connections to keep going, they tend to not have the time to get their act together in time.

Example 3: Marsh

One such example is a local grocery store chain here in Indiana which was named Marsh. Like many local groceries, it folded in the last couple of years. It couldn’t find its niche in the market. I believe the main reason is that they tried to be everything to everyone. Instead of focusing on having its stores in certain profitable locations, it kept trying to keep open stores that were underperforming due to local competition – no matter what the cost.

Even after the company folded a couple of years ago, there are still locations that have not been bought by other chains. When I see them, I’m reminded of the struggles they had before going belly up. 

Interestingly, though, the places that were bought by other chains seem to be doing pretty well if not better than they did while they were under the Marsh banner. Some were bought by Kroger while others were bought by a regional chain called Needler’s. In fact, the Needler store in downtown Indy is considered by many to be one of the best groceries around!

Had Marsh realized that they should just cut anchor and focus on these stores that were actually making them income, they might be around yet today!

Action Steps

So, hope that gives a little more perspective on why it’s important to focus. If you’re good at building sales funnels, do that until you can outsource it. But don’t try to do that AND build a Fulfilled By Amazon (FBA) business AND build a podcast AND build a YouTube channel.

Pick one, get a handful of clients. Once you’ve done that, scale that business using ads on social media. Then from there, you can think about doing something else when the first job is sustainable.

deep focus

Profit or Popularity? How Deep Focus Might be the Key to Your Success

Deep focus and work is a topic which is really popular these days. However, it tends to go against the prevailing advice on how to become an online entrepreneur/personality. Personally, I’ve seen a lot of benefit by incorporating it in my schedule. In this post, I’ll share with you how I learned the hard way about the benefits of deep focus as a creator.

Setting the Stage

If you’ve been following the blog and podcast, you’ve probably realized that I’ve cut back on how many of each I publish. For a few months now, I’ve been on a schedule where I post a blog post one week and then the next week, I publish an interview.


But that wasn’t how I did things when I first started my online journey. In fact, I posted a blog post and an interview each week.

Even though I felt like I was doing what I was supposed to do as a new entrepreneur/thought leader, I didn’t feel like I was getting anywhere. But I kept pushing through for two years, believing I was doing what I was supposed to do.

However, towards the end of that two year period, I started hearing and seeing signs that I had to change things up.

And eventually those signs lead to the discovery of the M-6 Business Evolution Plan.

Signs to Change

So what were these signs? Here’s three I can definitely remember:

The Importance of Deep Work and Focus

One of the earliest signs I can recall is hearing Jordan Harbinger’s interview of Cal Newport discussing his book Deep Work. In the interview, they discuss why focusing on your work for long periods of time is the only way to create anything meaningful. The reasoning behind this is because it takes awhile for our brains to snap into the right gear to create. If our days consists a lot of checking email, posting to and checking social media, you’ll never get into this deep work or deep focus state.

I knew I wasn’t getting into that deep state because I was EVERYWHERE!

Profitability vs Popularity

The second sign I remember was when one of our guests mentioned that her coach constantly has to ask her a simple question: Do you want to be profitable or do you want to be popular?

It had never occurred to me that in the online digital space, there was a choice. I thought that the only way to create revenue was to be popular. The more people who knew of you, the more chances you had to make a sale, right?

Apparently, that’s not the total idea.

Even more interesting is that in another interview we had, our guest mentioned how there are plenty of popular people on the web who can barely afford to keep their own business doors open. In fact, there’s way more of them than there are people who have followers and have an income from that following.

Start Where You’re At!

The third big sign was during my research of this whole thing about having a Personal Mission.  This course of interest started when I heard David Anderson share about how important it is to him in his interview in session 92. I knew it was a piece I was missing. Uncover Your Personal Mission is the result of this 6 month study to figure out what my starting point should be. I now fully believe it’s imperative for someone to know where they’re at

Using the Right Road Map

So, it’s interesting how traditional online business advice suggests that you should be everywhere. I think it makes sense in the long run. But the market is so saturated with other entrepreneurs and thought leaders, that we have to realize we don’t have a chance in that game by ourselves. There’s just so much work we can do in a given day.

So what’s that mean for us? What’s our course of action? Well, this is where we need a new road map.

Road maps for entrepreneurs are nothing new. Fizzle has theirs, Pat Flynn has his in Will It Fly?, and then there’s the one featured in the documentary Generation: Freedom.

There’s a lot of good content in each of these. However, I think they get ahead of themselves a little in the beginning stages.

So, let’s look at this new road map:

The M-6 Business Evolution Plan

There are 6 parts of this new plan which can be used simultaneously with the previously mentioned road maps.

However, the main difference is that this particular plan, again, focuses on early growth and sustainability of your business. So, once you get to a certain level of success, then maybe it’s a good time to start “Being Everywhere” as Pat Flynn talked about way back in session 28 of the SPI Podcast. Because, remember, in today’s market, you have to have a team to compete with the other names out there because they probably have teams themselves! 

So, here’s the new plan:

Mastery of Self

The reason that I start with Mastery of Self is because there are a lot of examples of folks who jump into a business idea because the marketing of a specific course said they’d have the potential to make all kinds of money doing that particular business. All they have to do is follow a step by step method.

Problem is, many people get burned out of these half-baked businesses because they didn’t do the inventory on themselves or they didn’t have the right frame of mind starting the business. They might have expected awesome results in a week or month and now it’s way beyond that point.

Mastery of Self is important because not only do we need to figure out who we are, but where we and our skills fit in the world.

From there, as we naturally build on ourselves and our skills, we have the potential for amazing growth.

So, for example, if you didn’t know that you’re good at writing copy, then you wouldn’t know that you should be helping people do that. Without doing what it takes to figure out where you are in relative to everyone else, you might decide that your “calling” is to sell products on Amazon. At that point, any instructions sound like good instructions but they just don’t get you anywhere you want to be.

Monetize Your Natural Talent

Before we even think about hiring anyone else to help, scale in other ways, or saying our expertise is helping people do something, we need to make sure that we can successfully add that value while being paid for it.

If you do the homework on yourself, you already know what you’re naturally inclined to help people do. If you are just starting a business, instead of working for free, start at a monetary number you feel comfortable asking for your services. Then, as you get more clients, you can play with the numbers and find out what’s asking too much or just right for what you’re offering.

Here’s a secret: The longer you do things for free, the more people think you’re A.) Training Perpetually or B.) have a bad service or product.

Also, you’ll want to look into is a book called Win Without Pitching Manifesto. In this book, you’ll learn why it’s important to position yourself in a certain way and how you can successfully do that. If done right, you’ll become the buyer and your clients will have to prove to you why they need your help!

Another thing that makes this whole process even easier is starting to work on a script. It’s ok to use scripts while doing sales meetings/calls/webinars. That’s one of the biggest things that made Jordan Belfort, the Wolf of Wall Street, as good as he was! His team used the script he used to make calls!

Market for Sustainable Business

Let’s say that you have an awesome product and you just happen to be really great with getting the word out there – say a video of yours went viral.

Is that a good thing when you’re first getting started?

I’d personally say that it’s a “Hard no.”.

Why?

Well, let’s say that your offer goes viral. Sure, that might be great in a Kickstarter situation or with a course (which you shouldn’t have at this point…), but if you’re offering a service or real product, you’re simply not going to have the capacity to keep up.

So, you want to find those first 3-5 clients who are ok with a price point that’s been proven. Once you do that, then it should be time to take it to the big market! You should have enough extra money to put into advertising on social media.

Mechanize Your Process to Scale

There’s something to be said about systems when you’re moving to the big market. The better our systems are when we’re working on scaling, the bigger that scaling can get before we have to hire someone to help us manage it.

So, Facebook ads, Instagram Ads, LinkedIn ads, Google… wherever your clients are, make sure you keep track of all the work you’re doing. What ads work? Which don’t? What audience works? Which doesn’t? Where should you put in pixels in your funnel? How long should your funnel be? Etc. 

Make sure when you’re doing this work that you’re only changing small parts at a time and you keep track of those changes. Changing everything at once doesn’t get you the experimental data you need. For example, if you’re changing an ad, only change the copy, the audience, or the image – NOT ALL THREE!

Also, don’t go overboard with your systems either. There’s a fine line between being creative and creating chaos.

Make Use of Other’s Talents

There’s going to be a point where we can’t do everything in our business anymore. Eventually we’ll have to either hire someone to help as an employee or bring on a contractor.

This is when we have to do what John Maxwell says all the time: “Play to your strengths, and hire help for your weaknesses.”

Just as you know yourself and how you fit into the world, the ideal people that you bring on your team should have that figured out as well. This means, besides them taking over a job you don’t want to do (or have the time to do) anymore, that they also have similar values and are internally motivated to do the job as well as possible. 

You’re not doing yourself or them a favor if you feel like they’re not committed to the vision and mission of the company.

Multiply Your Business

As we continue to scale, this is when we can go out even further. We can find other ways to market ourselves and our team’s talents. 

There might be products that you couldn’t do on your own, but now that you have a small team, you might be able to start a video series on YouTube or a podcast that goes out 3 times a week.

Also, this might be the time to package your skills into a course if you feel the demand is there. That way you can still get paid for your skills, but don’t have to put in the time factor into it.

There’s all kinds of ways to multiply your business. But just so you know, you can’t expect to start here. You have to actually have a proven system of success. I wish I had known that before I started my podcast, but hey, at least you guys understand why only publish one session every other week now! 🙂

Action Steps

As a lot of my posts go, you fall somewhere into this list. You’ll need to figure out where.

Personally, I thought I was going to be a podcaster and be like Pat in a year or so. Well, that’s not going to happen. For one, even when he started his podcast back in 2010, he already had a fairly good number of people following him on his RSS feed for his blog (check this out for numbers at the top!). I didn’t have that when I started my show. Another thing is that there weren’t nearly as many online entrepreneurs in the market. Nearly 10 years later, the market has been completely saturated.

This plan consists of parts of the more traditional way of doing things, true. But, we have to realize that if we don’t start from the foundation of figuring out where we fit in the world, then we really don’t have much to build our future success on. 

We can’t scale from nothing.
So, put in that foundational work if you haven’t. Find out what interests you and how you can add value to others. Again, you can start with the guide if you need help.

when life gives you lemons

When Life Gives You Lemons… – How Embracing Your Personal Niche Will Get You Through the Tough Times with Kim Trathen (AoL 153)

Life has a way of making us rethink the actions we’re taking. Whether it’s in school or on the job, in life, or even while we’re working on our business. That’s where the saying “When life gives you lemons, you make lemonade!” comes from. Because it’s when we have these obstacles in our life, we often wonder if we’re doing the right thing. We wonder if maybe the universe is trying to tell us something.

This is why knowing who we are, what our strengths are, and how we can help others is so vital to our success.

It’s because we know how we fit in the world, that we’re able to justify doing the work we’re meant to do – even when it gets hard and we’re given reasons to not do it.

In this conversation with today’s guest, Kim Trathen, we learn about all the things she had to go through as she was developing her business in 2018. She had plenty of reasons to put her blossoming business on the back burner. However, because she knew what she was good at and how she could help others, it gave her the strength to keep pushing forward.

So join Veronica and I was we talk with Kim about this journey of hers and how you can apply it to your own life and business.

Enjoy!

SPECIFICALLY, YOU’LL FIND OUT MORE ABOUT:

  • What was the process that Kim went through to start her business? 7:38
  • How has she been able to deal with life’s challenges as she’s been starting her business? 13:36
  • How does she address limiting beliefs with her clients? 25:35
  • In what way does passive income factor in her business? 31:08
  • How does social media come into play with her clients? 39:46
  • What is Kim looking forward to the rest of the year? 44:32
  • What is one song, one book, and one film that should be added to the national curriculum? 47:48
  • What’s the best advice that Kim has ever received? 50:58
  • Which social custom is Kim’s favorite? 51:24
  • What advice does she hear adults giving children she’d call BS on? 52:04
  • What’s the secret to achieving personal freedom? 53:08

ITEMS and PEOPLE MENTIONED IN THIS EPISODE:

Right click here and save-as to download this episode to your computer.

SHOW NOTE EXTRAS:

How to show up when you’re busy, tired, or just don’t feel like it…

The #1 Reason You Aren’t Where You Want to be In Life

How to Really Use Social Media as a MLM’er

#GirlsTalkBusiness 25 with Kristen Lynch


Thanks for Listening!

Thanks so much for joining us again this week. Have some feedback you’d like to share? Leave a note in the comment section below!

If you enjoyed this episode, please share it using the social media buttons you see at the top of the post.

Also, please leave an honest review for The AoL Podcast on iTunes! Ratings and reviews are extremely helpful and greatly appreciated! They do matter in the rankings of the show, and we read each and every one of them.

If you have any questions feel free to email them over via the email mentioned in the show or by our contact form.

And finally, don’t forget to subscribe to the show on CastboxiTunesStitcherPodBean, and/or Google Play Music. It’s absolutely free to do so.

A huge thank-you to you guys for joining us!

Cheers!

self growth

How Self Growth and Your Filtering Process Affect Your Life and Business

They always say, you attract who you are. When I was at the start of my self growth journey, I really didn’t know what this meant. I remember exactly where I was when I first realized it though. I was in grad school. And, interesting to me, it wasn’t too long before I realized that not everyone is looking to climb a mountain in their career.

Up until that point, I thought just about everyone worked like I did.

I couldn’t have been further from the truth.

What I’ve realized since then is that there are different personalities, different motivators, and even different needs that we have to consider when we’re interacting with other people.

Because of this, we have to be aware of where we are on this personal journey so we can understand how they see us.

The better we can use this power, the easier it is to get what we want in the long run.

Or as Zig Zigler said, “If you help enough people get what they want, then you automatically get what you want”.

Here’s a few things to think about…

You Attract Who You Are

Recently, I was listening to a lesson that fellow John Maxwell Team member and future guest of the AoL Podcast, Jeff Gamble, was talking about on his FB Live show “Going Executive Director”. 

In the video, he was talking about how people tend to attract others like themselves. 

Here’s the thing. Jeff might have been using the MLM world as a reference, but it’s true across the board. And it’s especially true in life and business.

For example, when I was in college 10+ years ago, I was pretty insecure about my future. Like many engineering students, even though I liked having a good time, I learned to prioritize studying. I never had time to party.

Many of the friends I had in college were that same type, especially early on. 

After I changed majors, I felt more at ease and because of that, I started attracting new friends who didn’t fit this previous mold. They were confident in where they were going. And because of this, I started to see that I had decent control over my own future.

It was during this time that I started getting involved in clubs and other organizations on campus. Interestingly, I started to understand that not everyone is wired the same way I am. And like Jeff was talking about, I started to understand that not only are there different personalities, but different people have different needs.

Start with Your Needs

In the video, Jeff talks about Maslow’s Hierarchy of Needs and Tony Robbins’ 6 Human Needs. It’s uncanny how similar they are:

self growth

Early on in college, my esteem took a beating. It seemed like no matter what I tried, I just couldn’t be the student I was used to being in high school.

What I later realized is that I just had no idea how to study. And once I figured that out when I changed majors, I’d put in the needed work to fix that. As a result my confidence rose and I allowed myself to venture out and do other things. Interestingly enough, I started trying to connect with other students around me by becoming part of different organizations (that’s the next level of needs!)

So, here’s my question for you. Where do you fall? Do you have the basics figured out? Do you have safety figured out? How significant do you feel?

If you’re still in search of those, as Jeff was saying, you’re going to attract those people into your life – either as friends or as clients.

Setting Up Your Business for Success by Filtering

That being the case, as a business owner, you might not necessarily want to attract those who are in your own situation.

This is where the importance of setting up a filter comes into place. 

A filter is nothing more than a system used to qualify potential matches. Most businesses should use a filter when they’re trying to fit people to certain roles.

Here’s a few examples of where filters could be used:

Recruiting In Direct Sales

For example, if you’re affiliated with an MLM company like Jeff was talking about, then you’ll want to filter the right people in. You’re looking for people who want to learn about the system and how to leverage it properly to grow their own business. What you’re not looking for is people who are naturally not coachable and rebel about everything. You want to surround yourself with other students of the craft.

As a Consultant

Likewise, if you’re a consultant, then you’ll want to use a filter to see if someone really wants to achieve a new version of whatever you’re helping them with. You’ll need to learn how to ask them qualifying questions about themselves, their business, and what they’re looking to achieve.

As a Doctor

Another example, let’s say you’re a doctor. You’d need to filter people based on their needs on whether or not you can help them. If you misdiagnose someone and give them bad advice on their next step, there’s a good chance you might be sued for malpractice.

In an Everyday Situation

Or here’s a final example. Let’s say you’re actually in HR for a company. Do you think you should hire people like yourself to fill in jobs in the company, or should you hire people who fit the characteristics of the role that needs to be filled. Obviously, you want to hire to the role and to do that, you’ll need a filter to find out if they fit. Otherwise, you’ll hire someone and they’ll either quit or be fired.

Action Steps

So, I hope those examples give you a bit of an idea of the importance of a filter in your business and perhaps in your life as well. My trajectory changed completely for the next 10 years after college. If it wasn’t for the input I received those years, I wouldn’t have started on my current path.

And because of that, I wouldn’t have been able to eventually realize that these people had used a filter on me – whether consciously or subconsciously.

So don’t throw people at the wall and see what sticks. Otherwise, you’ll get more people like yourself. If you’re trying to become a new version of yourself, that might not be ok.

Instead, learn to consciously use filters in your day to day life. If someone isn’t going in the direction you are and doesn’t have the same standards that you want, then there’s a good chance they’re going to be a drag on your life and your business.

big picture thinking

How Big Picture Thinking Makes You Good but Small Habits Make You Great

As creatives, we’re taught to start with the end in mind. We’re taught to look at the big picture. If we keep that in front of us, we’ll eventually get to where we’re wanting to get to, no matter where we start.

This thinking process applies to creating just about everything.

In fact, Think Big, Start Small, Keep It Going was the topic of Amplify’s event last week. We had several speakers who have done just that. Here was the lineup:

Special VIP Guest Host: Mr. Richard Samuels

Featured Musician: Icie Marie Hinton

Artist Spotlight: Rebecca Robinson – Artist, Author, Fashion Entrepreneur

Featured Nonprofit: Community Action of Greater Indianapolis (C.A.G.I.) with Val M. Tate

• Keynote Speaker: Colin Martin – Founder of ViceRays

These individuals had incredible talent. Rebecca had some pretty interesting pieces (one of which I’m pretty sure was of Jack Sparrow – she just didn’t know it!). Icie had an impressive singing voice. And Val – wow, the organization she’s a part of (C.A.G.I.), I didn’t even know existed. They’re all about empowering individuals within the community to figure out how they can enrich themselves and their lives.

But then there was Colin. 

Wow. Dude has had the life that many of us in the online entrepreneurs crave. But, interestingly enough (and I’m hearing this more and more), he got burnt out by it. A lot of the building he did was to simply keep an image of success. Always wanting and doing more. 

Once he figured that these actions were what was tearing him up, he reallocated how he works. Today he has much less stress in his life than he did not too long ago.

Between all four speakers, you could see the talent oozing from them. You can see that they’re all headed towards great things.

But here’s the catch, talent or the potential for great things isn’t everything. It’s just that – potential.

We need to figure out what actions we can take now, to eventually get us to where we want.

Until then, we’re not going to get too far.

Football and Business

Over the weekend, I had the opportunity to go to an LTD conference in Greensboro, North Carolina. There were lots of great speakers but one that stood out to me was David Cutcliffe, head coach of the Duke football team.

As you guys probably have realized, I love comparing the inner workings of football to business development. So this was a treat for me.

As he was going through his presentation, I thought, this is great stuff! In the past I’ve written about this topic in a little detail, but not as detailed as he was presenting it.

So here’s a little bit of what David knows about thinking big, starting small, and building the right habits to succeed.

Raising Enthusiasm Leads to Successful Results

In the presentation, David started with a quote from Winston Churchill. He said “Success is the ability to go from one failure to another with no loss of enthusiasm”.

If he was to stop there, I’d be like “Yes, that is correct”. Interestingly, David changed it up a little bit. He said, “Success is the ability to go from one failure to another while gaining enthusiasm and passion”.

While the difference between those two statements might seem small at first, if you think about it, his perspective is powerful.

Let’s say you have two players training for a particular sport. They’re going through drill after drill, honing their skills.

One of the players goes from drill to drill, task to task, with little change of emotion.

The other player gets more emotional after each drill, determined to be better whether he fails or succeeds.

If you took these two individuals and placed them in a competition with each other? Who do you think would win? The first or the second?

For me, I believe the second would have a better chance to win. And that’s what I believe David’s quote is referring to.

Results Speak For Themselves 

With that being an underlying value of David’s beliefs, how does it translate to the field and the team he’s in charge of? How does he put it into action?

Well, before we get there, let’s look at the results of his work with his team. This will give us a bit of perspective when we get to his methods.

From 1997 to 2007, Duke football was horrible. They had:

  • Only 19 wins
  • No bowl appearances
  • Four or fewer wins each season
  • Three no-win seasons
  • A 25-game ACC losing streak
  • And in December of 2007, the cumulative GPA of the team was 2.46

Since David came in 2008, they’ve had:

  • 67 wins (which is more than a 360% of winning)
  • Six bowl appearances
  • Three consecutive bowl victories
  • 31 ACC wins since the beginning of 2008 season
  • ACC Coastal Division Champions in 2013
  • And in May of last year (2018), the cumulative GPA was 3.126

It’s pretty apparent that the program got better.

Focus on the Little Things to Build a Foundation of Success

So what are the things that David changed to help his team find success? In fact, there’s three things he told the audience that he focuses on:

  1. Climate 
  2. Practice Habits
  3. The 55

Here’s what he had to say about each one:

Climate

The atmosphere that a coach and staff create within a program to enable players to develop to their greatest potential. Great attitudes and a positive approach are critical to the proper atmosphere. It’s the nucleus of the program and will dictate the ability to be successful with the rest of the tangible values. It also gives a sense of hope and accomplishment to everyone involved.

In a recent post, we talked about how the new climate and expectation to win is a big reason why the Colts had a successful season last year. 

Practice Habits

These are instrumental in allowing us to compete at the highest level. We must achieve excellent practice habits in order to achieve our goals.

Furthermore, he adds, that Power is equal to Work/Time (P = W/T). Work, then is equal to Our Habits (W=OH). So, in the end that means that the power that we produce is equal to the habits that we have over time.

Practice Makes Permanent!

The 55

Not entirely sure why David called this group of practices The 55. I think he said something about giving it a unique name that stuck. But what it consists of are practices he said were basic fundamental parts that if done right, they can hang with any other football team.

  1. Alignment
  2. Assignment
  3. Effort
  4. Execution
  5. Finish

He mentioned that if he watches film on the next opponent and they don’t do one of these parts perfectly, such as alignment, he knows right away that his team should be able to beat them.

In business and work, we need to realize what it is that we fundamentally have to do right each day, each week, etc. What are our core values? Our core habits? Are they getting us to where we want to be? If not, then we need to figure out what needs to be changed to get there.

Action Steps

So, that’s pretty much it for this post, guys. As I said, it was a good conference. A lot was learned and discussed with those that I went with. Very motivational.

If you’re counting on motivation and talent to get you through, then you’re not going to get far. We have to work our craft regularly whether or not we want to. 

It’s when you can do that, when you know you’re onto something great.

Or as Coach Cutcliffe said, If you focus and follow through with the small stuff, the larger stuff will take care of itself. 

reinvent yourself

Cross the Thinking Gap and Reinvent Yourself!

How do you reinvent yourself? For the longest time, I questioned how this is possible. Aren’t we are who we’ve always been? How do we get another identity than the one we’re so familiar with?

A book that I found during my years at Purdue, called Reinventing Yourself made me start thinking more and more about this. And I realized that I had started on this path early on.

When I was growing up, I understood competition. In fact, I remember the first time I “lost” in the real world. It was in 4H in a shooting sports competition. And frankly, I hadn’t practice – and apparently it showed. I ended up getting 7th out of 10 competitors in my age range.

reinvent yourself

I was pretty upset when I heard the news. Up until that point, I felt that I was good at about just anything I put my mind to. I just couldn’t believe that I didn’t do as well as I thought I was going to do.

I vowed that next year I was going to be better.

That next year, I made it a point to get up super early on Saturdays and go out to the firing range with the club.

That next year, I didn’t do much better. In fact, if I remember right, I got 5th place. Still not nearly as good as the champions and grand champion ribbons I was seeing in my other projects.

However, one thing did stand out to me. Everyone at this event, which was supposed to be highly competitive, got a small trophy.

This was the first time I was exposed to the idea of all participants get a trophy.

I remember being pretty ticked off. Why should they get something for not even placing? I worked at my loss!

So the next year I opted to focus more on Dog Club and left the shooting sports group all together.

Generation Entitlement?

Many argue that Millennials are the most entitled generation. In fact, there are all kinds of books and articles that suggest that the reason for this is because of the rampancy of participation trophies.

Whether that’s truly the case is unknown. However, a lot of Millennials have been told their entire life that they can do anything they want if they put their mind to it.

Well, that’s simply not the case.

What’s worse, is that when things don’t go a certain way, many blame others for their downfalls.

It’s my parents’ fault.

The professor screwed us!

The government needs to do something about that!

Society teaches us that using phrases like this are ok. Unfortunately, they’re only ok if we plan to stay stuck where we’re at in life and in our careers.

Owners Win & Victims Lose

You might have heard the phrase “Own up to it!”. If so, you know that this is slang for taking responsibility for one’s actions.

When you own up to doing something wrong or incorrectly, you’re acting in a space of courage. You say something like “This is my fault. I will do better next time”.  

When we’re denying that we didn’t do something we’re accused of, we’re shedding responsibility. We think “I didn’t do anything wrong. Why should I change?”

Here’s the thing. We can only get better if we acknowledge our failure. If we don’t acknowledge that failure, we’re setting ourselves up for that same failure in the future.

So, really, it’s not much of a stretch to say that what you say on the outside starts with what you think and feel on the inside.

Become an owner and reinvent yourself

If you’re tired of losing, then it’s time to turn things around. But how? How can you reinvent yourself?

Well, here’s a few things that you can become a bit more aware of as you’re living your daily life. Once you break your habit of doing these things and turn it around, you automatically set yourself up to win.

1. Life is Hard! It’s Me vs the Rest of the World!

No, it isn’t. It really isn’t. Life is what you make out of it. 17 years ago, I believed that the world was acting against me and my goal of graduating. It felt like all professors were conspiring against me.

Truth is, engineering is just super tough and I wasn’t putting in enough work to get it done. Once I realized that it wasn’t working out, I switched majors and life started getting better. I got into a study group and started making the grades that I knew I was capable of. Heck, I even had time to do extracurricular activities for once!

2. I’m Not My Fault. They Made Me Do It!

Here’s a phrase that you’ll hear in movies quite a bit. Often times, you’ll hear it from a villain who’s trying to get back at the government or some kind of company.

We as the audience know that while they might have gotten a bad rap, it’s their fault that they’re acting the way they are. They’re making active choices to take the actions that they are.

Soon after, the villain gets what he deserves and the hero rides off into the sunset.

In our own lives, while using this phrase might not involve high stakes as a building exploding or aliens from another dimension being released into our own, it does have the same effect.

It’s our job to realize that we can totally change our perspective of the world at any time.

For example, there are plenty of people out there who have lost a limb and think they can’t be their former selves. That might be true, but it’s also totally possible that they could now be a better version of themselves now.

Also, there are homeless people who are constantly miserable and there are others who are fighting to get out of their funk. I’ve interviewed two people fairly recently who were both homeless in high school and now, years later, are living their dreams.


3. Why Should I Take Responsibility of Something I Didn’t Do?

I’ve mentioned this before, but Andrew Luck is a great example of a leader. In all of his post game interviews, he always takes the responsibility of a loss. And when the team wins, he sheds the glory to his teammates.

We all should try to be this humble in our own lives. Take responsibility even if it’s not our fault. And when we’re awarded, give thanks to those who have supported us.

Action Steps

As far as additional action steps to reinvent yourself, it might be worth your time to listen to a couple of interviews from those who had plenty of reasons to be a victim.
David Anderson, Antonio Smith, Jr., and Kristian Aleixo.

Also, you can learn more about crossing the thinking gap by checking out the newest version of Reinventing Yourself by Steve Chandler.