Creating Value Comes First
Many people feel as if they’re adrift in the world. They work hard, but they don’t seem to get anywhere worthwhile.
Before wealth and assets can be managed and protected, they must be created. Too much of financial planning focuses on the investment and management of funds yet fails to build and manage the long-term viability of the very strategies needed to create the assets. We’ve all seen fortunes come and go, because the income stream does not continue to flow. It is important to plan and implement financial strategies that are designed specifically around your most valuable asset – yourself and your business enterprise. This means taking time out to reflect and review what you want from life by addressing your, your business’ and your family’s current financial health and setting formal goals and objectives.
After all, would you set out on a major journey with no real idea of your destination? Probably not!
It’s all about the – What, How and Why….. Writing down your expectations and figuring out what’s important to you and your business and being honest. Let’s start with the What –
- What is the most important thing to you, to your family, to your business?
- What does success look like to you when all this is working?
- What are your biggest fears? What will happen if you lost your house or you needed to sell your business assets which are linked to your house?
- If you had a magic wand, what would you wish for? Is it having enough money to look after your family or transitioning your business in the most efficient way after having created value in the business to be able to sell it for a million dollars.
- What do you want to be remembered for? Is it leaving a legacy for your children, having enough money to live and retire well?
We often talk about our priorities in life. But how many of us have ever stopped to really think about which things are most important to us, let alone how much time we spend on our priorities compared to less important things?
Imagine that you’re at the end of your life and have a chance to give your present self some advice. What would you say?
And even if we are clear on our priorities, are we actually living in a way that is consistent with them right now?
The starting point for any goal creation is understanding What’s most important to you, what strategies need to be put in place and be accountable in order to achieve the desired outcome.