Hurdles are the hardships we face in any activity, be it corporate, education, or even investment. They hinder us from achieving our goals, and therefore must be overcome even before we get to them.
Hurdles are classified into four main categories:
This simply means being aware of the need you have. We all have a need to be financially independent, to be able to finance our needs, wants, desires, and ultimately, our purpose.
Sometimes, disproportionate influence is needed. This means making yourself or others see and/or experience the need firsthand. For instance, you know that there’s no way you will be able to do what you want to do later in life without enough financing, so in realizing that you begin to build a pipeline which will work for you when the time comes.
The more you realize that you will need to finance your early retirement, the more the investment mindset will sink in. the more it sinks in, the wiser you will be about money. The wiser you get about your money, the better your investment decisions will be the better your investment decisions are, the easier your retirement will be financed. An effective relay.
2. Limited resources
Real estate is a field associated with money, and large amounts of it. This is a hurdle to those who are unable to pay the amount that goes into real estate.
Blue Ocean describes hot spots as activities with low resource input and high potential performance gains, and cold spots as activities with high resource input and low performance impact. Investment is a matter of moving money from cold spots to hot spots for the best gain.
Identifying what your cold spots are is the first step in overcoming this hurdle. Redirecting money spent on activities that are expensive and offer no value/performance gains to something that can generate you more income, passively of course, will show you the magic of compounding. If you’re patient enough to wait.
Human beings are social creatures, therefore, most of our influence comes from the people we surround ourselves with. Kingpins. These are the most influential people in and out of our circles.
Having kingpins that understand the philosophy behind investment, the types of investment, or even with a similar purpose gives you a sense of kinship and motivation to continue doing what you do believe in.
The goal must be attainable, otherwise the motivation will be for naught. Financial Independence is the end goal and is definitely attainable. Therefore, how can you achieve it with the help of the kingpins in your arsenal?
This hurdle is overcome by leveraging angels and silencing devils. Angels refer to those who have the most to gain from this, while devils are those who have the most to lose from it. The irony of this is that sometimes, the realization is that the person in the angel and devil stage is one and the same: you.
Only you have the most to gain from your investment, and only you have the most to lose. The gain comes in the form of Financial Independence, and the loss in the form of choosing the wrong investment.
It is only when we actively overcome these hurdles that our plans and strategies fall in place. In our realization of FIRE there is no room for waiting. We must act carefully and act now.
You can watch the webinar on the same by clicking this link.