Are i as this is Derek Soto, we're gonna talk a little bit about business today. And specifically, we're talking about what you should do with the money that you make from your business. That's such an overlooked topic that I haven't heard anybody really talk about, directly, often. 

And this is important, because what you do with your profits can really determine the trajectory, the trajectory of your business, okay? On recommend to not, in the beginning, when you make your business, try to take as little amount of profits as possible, just take what you need to be able to survive. Okay? 

If you are in a situation where you're working, and you're building your business on the side, until equals your income, then that's one thing, if you can do that, if you're focusing on your business, and you're making enough to pay bills, then you know, need to be very careful with this. 

Understanding that with business, it's not like a paycheck mindset, where it's not a consistent in the fact that you get the same amount every two weeks or so. Okay, you might get a really good month, and then the next month, or two or three or more, could be lower months. So it's very smart, to be able to, you have to be smart with your money, or you're going to find yourself in some hot water a quick. 

And so what I recommend that you do is to definitely stay liquid in the beginning. Don't put your money in anything that you can't access. You know, but you want to, again, it's not financial advice. 

But just my opinions, okay. So what I recommend, that you do is think of percentages, where, you know, if you're, say you're involved in a church and give 10% If you do the tithing thing, then you know, if you make $100, you give 10%, okay, to your church, or to a ministry or to someone in need, you know, any of that confidence tithing, you know. 

I would put 10% into savings and maybe even 10% into, you know, just a regular old bank account, right. And then maybe 10% into some investments, like stocks, crypto, things like that, okay. You really want to diversify your money. But what I would do is, is just scrape by as much as you can and be as minimalistic as he can in the beginning. 

Because the more money that you can put back into your business, so say that you can, you know, live off 50% of what you're making, for example, you know, or even 80% or 90%, whatever it is, okay? 

You just have to find ways to there's two things to do first is to cut out every unnecessary expense in your life, vices, like drinking, smoking, all this kind of stuff, anything that is unnecessary, that causes money, very vital to cut those things out. Otherwise, they're really going to hinder you and perhaps cripple you and stop you from being able to move forward in your business. Okay? 

You don't need new clothes. Most likely, you don't need new clothes. And if you do, just buy a couple outfits and you're good. You don't need the fancy coffees every morning, you know, get a $10 coffee maker at a store and just, you know, buy some filters and whatever it is some coffee, you know, and you're good. 

Like you don't have to you just find ways to save by not spending okay. And then you could take the extra money after you pay your bills. You know, put the remainder of it back into your business so live a very menial lifestyle in the beginning.

Even if you're taking investor money, I don't care if you got $2 million in funding, if you are responsible this way, you know, and even if they offer you a big salary, in the beginning, even though you're you just got funding, still live very frugally, and put the money aside, okay? 

And use it, use as much of it as you can to grow and build that business, and you to look at where to allocate that business and talk to your team about that. Okay, depending on the business that you're at, and look at where the needs are, okay. So, you know, I recommend not to in the beginning to hire a whole bunch of, you know, mentors and things like that. 

But to look at what the things are working in your business, and focus on that, you know, picking one advertising stream, and mastering it is going to be a much better strategy for you, especially in the beginning. Because you don't have a team to have a specialist in YouTube marketing specialist, and Facebook Marketing Specialist and LinkedIn marketing and also other stuff. 

While these platforms are very similar, they do require the nuances, especially with a more competitive market. At this time, the devils in the details, okay, so all these little things and little techniques and stuff, that a person that like a YouTube ad specialist, or Google AdWords specialist, or Facebook, ad specialist is going to charge you through the nose for these things. 

So in the beginning, you will need to, and it's good for you to do this, get roll up your sleeves and master an advertising. Platform yourself, okay? Because unless you have several $1,000, to fork over for someone to, you know, put partial attention on your account, keep in mind that when you hire a company, they're going to be working with a lot of accounts. 

And you know, they they're not going to spend as much time in your account as you think, or not even close to what you think according to what you're paying. 

So at the end of the day, it the best thing is to really sit down, roll up your sleeves and master a advertising platform yourself, if you're gonna do that, we're free, free traffic method yourself if you have zero funding in the beginning, earning your traffic by going to forums and Facebook groups and, you know, Reddit group and other groups, you know, and just being helpful in those groups. 

And then you just have a link to your landing pages, where you can invite them to join your mailing list and stuff like that. But the whole point is to be prudent about what you're doing. And how you're spending your profits. Don't go out and buy flashy things don't go and buy, you know, you're not at that stage yet. Okay. 

So that's the downfall of a lot of people that start business businesses, they immediately once they start making some money, you know, instead of taking the excess money, and I'll tell you from experience, I did this with one of the projects I was doing, and that crippled my growth tremendously because, you know, buying $50 shirts and things like that, you know. 

Like a tassel elbow shirt and stuff like that very soft. But that you have to ask yourself the question with every purchase, will this help grow my business and if it doesn't, you don't need it. And you could easily go down to you know, a big chain store or even $1 store or whatever it is Just grab a shirt. And,

you know, you don't have to worry so much about your, you know, people justify things like, oh, I need this to keep an image. No, it's not about your image, if you look at people like Steve Jobs wore the same outfit basically, like every day and, and Mark Zuckerberg, in all these other people, like, you don't see them dressing flashy, is just regular clothes, you know. 

And the thing is, is because what they love doing is their business and they don't get fulfillment, and, you know, having a massive wardrobe and all that stuff. But keep in mind to be very mindful of where you are in your business and understand like, okay, you know, later on, once my business hits a certain milestone, you know, let's say you set a goal of 100,000 a month, then you're like, Okay. 

I kind of done those a month, I can take 1000 of that. And splurge, you know, and until I hit $100,000 a month, I'm gonna live almost like a monk. Like, just, if you have that mindset, it's really going to help grow your business, especially even if you hit the $100,000 a month and you keep that mindset, it's just gonna grow, you're gonna grow even more. Okay? 

But having a very modest splurge, you know, budget, even if it's $10, at the end, if your business is smaller and still grown, okay? And you're like, Okay, well, my business comes first when it comes to the money, because the business is the lifeblood of your income. And your income is what's going to take care of your family and everything in your life. 

Not everything, but a lot of things. So, very important to a lot of people don't invest nearly enough of their profits back into their business. So I recommend that you do that. Okay, so saving money living frugally? If you look at people like Warren Buffett, who are some of the richest people in the world, and, and, and him, you know, he lived very frugally still does to this day. 

You know, he doesn't find fulfillment in the flashy things, just knowing you can if you get to a level of success, where you can buy those things, but you don't, it's almost more fulfilling than actually buying the thing. You know? And so having a garage full of 50 cars, okay, what was that really get you you have cars, you never drive. Great. 

Now you now you're running a museum, you know. And if that's your passion, great, you know, life is short, do that, do what you want to do whatever. But, you know, at the end of the day, not really the wisest thing. Just keep in mind that when you start buying expensive stuff, you have to protect that expensive stuff and you become a target. 

And so if you dress flashy and you drive flashy You be you draw attention to yourself, unnecessarily draw it, you make yourself a target for criminals, and you're wasting a lot of time on those things and maintaining those things and protecting them. 

It just, it's a lot of hassle you don't need, okay, and takes a lot of focus away from building your business. So saving, cutting costs where you can. Living as though you're living on minimum wage as much as possible.

And putting every penny you can into your business to grow it. That's where you're going to find your business. If you do that for just a few years. You're going to be lightyears ahead of your competition other businesses

as far as growth and you know, or birth potential, and stuff like that, and understand that your time our little units of measurement Your time can be spent. And think about this too, is that if you are making a certain amount of money, and you're like, Well, I don't have to go to the office today are off to work from home today because I, you know, I make certain money, I can go to the beach. 

I can kind of just fool around and all that other stuff. Now, you're not being prudent with your time that's this, that's worse than even wasting your money. Okay, because you get more money, but you can't get more time. So the best thing also is to rest well have a good life balance and set, you know, I would set you know, a good rule of thumb is eight hours of work a day. 

And be like, Okay, I'm going to work from nine to five, I made my own job for myself, I love my job, but I'm going to stop it. I'm going to start this time and stuff at this time, no matter what I don't care for in the middle of a project. I'm going to stop at this time. So you figure out ways to get things done within the time that you set for yourself. 

Otherwise, you're going to get burnt out real quick. If you're working 12 hour days, 20 hour days. Most people can't function that way. And long term, you have to think long term. Okay, and so by making your hours, eight hours a day, you will figure out how to get stuff done. If you know that's the only allowable time especially if you have a family, you can't neglect your family and use your business as an excuse. 

You have to figure out how do I get done everything you need to do in eight hours. And this will this will this limitation you put in yourself will force you to figure out how to optimize your time so that you can actually get everything that you need to get done in those eight hours. So there was a guy that he would have one of his employees put a roll of quarters in his car. 

This way he didn't have to go to the bank and you know, get quarters to pay the parking meter to park wherever you need to park at the office or whatever it was. All these little optimization things add up time savers. How can I save time here? How can I save time there? What am I doing? 

That's wasting time? Do I watch too much TV? Am I playing too many video games? Am I doing this stuff cut those things out of your life. Not just skimping on time on money. But all you know, and living very thrifty, thrifty, right. But also being very tight with your time. Not hanging out with friends all the time, not going out on dates all the time. 

And also other stuff, schedule these things for the weekend and stuff like that. And really kind of keep yourself focused during the week on your business, you need to take it seriously, you need to take it take that approach. 

And when you are responsible, you know, fiduciary with your money and you're responsible with your time when those two things merged together, what's going to happen is that and you're consistent. Okay? So if you have those things in place, being responsible with your money being responsible with your time, okay? 

That's going to help you to succeed in your business. Okay, so doing the right actions, okay, consistently, will equal success. Okay. So it's a very simple little formula that you can follow. Think about, you know, you really need to examine your business and say, what is making us money right now?

Or what's making me money right now? Okay, great. Let me focus on that. Maximize that before jumping, and diving and other things. And also in your business. It should be said, to not jump from opportunity to opportunity, opportunity hopping and stuff like that. Pick something that's working. 

If you haven't found something that's working, pick something until it works before you hop to another thing. And, you know, at that point, I wouldn't even hop to another thing. And you could hire someone to work on that other thing. And you could purchase a training for them to go through that to go through that training, and then have them learn that thing, okay. 

And you can go through the training yourself, if you want to be in the know of how the pieces in your business work, and I recommend every business owner know or have a rudimentary understanding of how every part of their business works, you may not be an expert in it, and you should hire people that know more than you entrust them to do their job. 

But at the same time, you should have a rudimentary understanding of what they're doing and how it works to a degree. 

Okay. So at the end of the day, saving money, spending it wisely. spending as much as you can back into the business. This will help to accelerate it and being responsible with your time and focusing on your business and, and really, I'd even recommend on your off time, when your eight hours are done. 

Spend a lot of your time that's not on work on Education of self maximizing by reading books on how to maximize your sleep, how to maximize your energy, how to maximize your efficiency. These things a lot of beginner businesses, owners do not think about. 

But if you do this stuff, you will start to see a noticeable change not only in your quality of life, which is important, but also the quality of everything in your life will start to change over time. 

And your business will become more successful more easily when you have more energy when you're more focused. And you have that knowledge from those books. So I recommend that and of course take care of your body take care of yourself. And that's it. All right. God bless