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Discussion Starter · #102 ·
Update:
We are almost 5 months into 2019 and the restoration is doing what it did the last few years... and that is lose money. I am having to liquidate assets to keep it going, which I am not enjoying. This is year five and we are yet to break even.
So, you know what - I am feeling like the Restoration is a burden and a dead weight slowing me down from getting me where I want to be.

Instead - I am going to liquidate as much as I can and put the consulting as the primary focus. I use some of the liquid funds to invest in training programs from successful entrepreneurs to make the consulting a 7 figure a month business.

It is a tough choice, but if it isn't pushing me forward, I would be better cutting it lose.
 

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First rule of business. Never beat dead horses. If this thing is losing money even after 2 years you should move your saddle to another horse. I thought your resto business was profitable just needed a little attention. The problem I see with restoration is that it requires highly skilled labor. They do not come cheap so unless you have reached the status of doing resto for the rich and famous, it seems a tough way to make a buck. If they get really good, they will just open their own shop. If for example, you own an automotive machine shop, how many employees will ever get the capital needed to go in business for themselves. Plus you get to write off 100% of the machinery you buy in the year you buy it. Great tax shelter. Buy good used machines and you will never get hurt. Most good shops are months behind.
 

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Discussion Starter · #104 ·
First rule of business. Never beat dead horses. If this thing is losing money even after 2 years you should move your saddle to another horse.
Couldn't have said it any better.

I am tired and perturbed of not being where I want to be. I considered in the fall/winter of 2018 of closing it down, but was unsuccessful with selling off some assets. I also keep repeating to myself "I cannot drive a Rolls Royce, if I own a Volkswagen".

Lee - Considering my skill set, do you have any suggestions or advice for picking a niche create a huge impact with a premium service?
Or any self-reflection questions I can ask myself to help niche down (as this will be the fourth time for the consulting).
 

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Buy the book What Color is my Parachute. You have to get good at something to make really good money. There are several steps to becoming successful. First you need to do something you are good at or be willing to learn to be good at. Secondly, it MUST have high earning potential. So many people waste years chasing businesses that will NEVER make a lot of profit. For example a florist has very low profit potential even if they are large and successful. An oilfield service company on the other hand makes huge profits WHILE THE MARKET IS GOOD. You can ride a racehorse for all it is worth then jump off or walk behind a plowhorse and steadily build your fortune. The problem with racehorses is that they are temperamental and often lose even when they should win. (If track conditions change) It is the same with Market dependent businesses. It is great while things are good but if the economy or market conditions change , you must adapt quickly. I have the same problem with development. You must gamble to win big. Right now I am negotiating a large land deal that could be worth Millions developed but it is a city that is very difficult to deal with. No one has bought the deal because of the risk of dealing with an unpredictable development department and an unpredictable city council. I could sell all the lots quickly and make millions on the deal. However , if they will not cooperate, I will be stuck with a multi million dollar note payment and huge taxes . The other risk is that it will take so long to develop that it will go into another election cycle and potential downturn. If the market turns down , the profit evaporates and I am holding the bag . You must look at every potential deal or business and weigh the risk vs reward. I have made an offer on the land low enough that even if the market craters, I will at least be able to get out without a blood bath. The sellers may not take it. I will not move on my price as it is the only amount that balances risk and reward.I still may opt out after contracting and meeting with the city if the risk looks too high.Every venture must be assessed for potential gain and loss. You must be realistic and not use pie in the sky numbers. The threshold for profit should be low and the earning potential high. You should do something you are very well informed or skilled in. Check your competitors. Are they driving Land Rovers or Kias? The example I gave on Machine shops is because they ALL make money have huge backlogs and never advertise. Google automotive machine shop in your area and see how many ads there are. Companies that do not advertise are usually so busy that they don't need to. All word of mouth. Find something you like, are good at and has huge profit potential. You will find success. Good luck, Lee
 

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Everyone has that great one idea, but they can never follow it because they have a job that they don't like. This is 95% of people out there. Overnight success doesn't happen, and if it does, it's usually from the lottery. If you have an idea or business you want to start and be your own boss, most people can't quit their main job to do this. So, you start slow on the side and nurture it like a baby and if you stick with it, water it, feed it, it will grow. Then someday you can quit your main job and give 110% to your real passion. I went to college and without it, I wouldn't be where I am now. Everyone has a different story to tell on how they got to where they are. Ok, I'm going to write a book. This threads has motivated me.

Great post and hope it continues to get replies for many years.
 

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Discussion Starter · #111 ·
Short Update:
May 31st scaled back the restoration business and laid off my employee, saving me the wage expense. I have two clients I still need to get done which are over time and the business reputation (which I thought may happen) is that we are a "Slow Shop" - which is not good.
I looked for what color is your parachute when I was at the bookstore last - it sold lol. Figures. I did get: Deep work, Subtle art of not giving a F*ck, Purple Cow, Millionaire success habits and the 5am club to name a few.

I am working on something this summer to get me out of the hole I am in due to inefficiency in the restoration shop, causing me to lose more than I made. I am also working to repair my credit after this F- up, I am skeptical I can finance the lambo I want with my credit score currently.
-----

What does that video have to do with me?
 

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Discussion Starter · #112 ·
Ok - the shop is paused currently... which is great as there is little expense while I am not in there. Working to get two clients out which are over time and over budget - so I am going to foot part of their bill due of the inefficiency of the guy i hired.
I also have 3 new clients lined up for the new year, so I am not worried about not enough work.

At the moment I am focusing on building a business in the information product space and self education space to move myself forward. By doing so - I am going to be to reduce and eliminate all the debts I am incurred over the last few years.

I am planning on getting the capital together so I can build my dream home I designed 10 years ago (have been updating the design since then) and also build a large garage to hold my classic car collection along with a few Lambo's. THEN I am getting my Murcie's.
 

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Discussion Starter · #114 ·
Build your business and income then your dream home. INCOME then expenditure. Lee
Yes I understand and get it. My dream home isn't a 16,000 sq ft mansion. All I want to build is a 4,000 sq ft PassiveHause/Living Building with a nice size office, Library and huge kitchen. I have estimated construction costs at 500k (calculated it out came out to 388k).

Also once I am out of debt - I want to get a positive cash flowing property.
 

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How much are you planning on putting down? If you cant buy the land cash then you cant afford it. You should not finance more than 75% of the total . In a crash it could lose 25% easily. Why not build offices that you own and could lease out later and a smaller house.
 

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Discussion Starter · #116 ·
How much are you planning on putting down? If you cant buy the land cash then you cant afford it. You should not finance more than 75% of the total . In a crash it could lose 25% easily. Why not build offices that you own and could lease out later and a smaller house.
I own the land already, as I built my home-based restoration business on it. I am just living in a 784 sq ft modular home - which I am finding is too small.
 

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Discussion Starter · #118 ·
so wow.... forgot to update it for the last 3 years. A lot has changed since 2019. Had to deal with the fallout of poor hiring process and poor screening process during 2020 and 2021. Almost honestly gave up on the car due to all the stuff I had the deal with from 2019, 2020 and part of 2021.
Ended up shutting down the business idea Lee you suggested in 2019 due to lack of sales and income - it was just taking up space. Tried to build a consulting businesses but that kinda fell flat on it face and never really got anywhere.
I have connections in my network of a few other restorers who can work with me in my garage - when they aren't too busy.
2020 I built my first iteration of my new online business after going thru courses and mentorship from 2017 to 2019. However lacked marketing to push it to its full potential. Last year revised the online business - building it out so to say to be more in depth and hold more info. Got 90% of it complete before having to deal with other family related stuff/moving which took the rest of last year.
This year has been like catching up on getting stuff done which was not completed last year, which again took longer than planned.
Now; the only difference from this time 2021 and today is that I have hundreds of people who have expressed interest in my online business (leads) from working with a marketing company in the USA. I just happened to check out the Murci listings across Canada and well, what are the chances there is a car in the spec i would love to have.

My only two concerns are...
1) when is the everything bubble gonna burst (which could directly affect the car market)
2) How bad will the crash be/will it last?
 

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so wow.... forgot to update it for the last 3 years. A lot has changed since 2019.
This will be my first post ever in this forum, but I've been lurking on Lamborghini-Talk for years now. In particular, I've followed your thread for years now because it's a really interesting one. It seems you're the only one that has posted real-time updates of your progress towards a Lamborghini and that includes your business progress.

And I just want to encourage you to not give up if you are still dreaming of a Lamborghini someday, because your thread was actually what engaged me in the Dreamers' forum here and it's something I've never seen on any other car forum. I've only managed to get into Porsches and I doubt I'll ever have enough money for a garage full of Ferrari, Lamborghini, and Aston Martin cars I like... however, maybe I can someday afford one of them, too.

I know I can't be the only one lurking on this forum and feeling inspired every time people like you post here. So I want to say thank you. Good luck and keep up your hard work to reach your dream car!
 
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