Does thinking about investing fry your brain? No worries; Philip Michael is here to break down all your questions. In this segment of Ask Philip, we cover how to get financial information, the perks of investing in pre-IPO stocks, drop shipping, and figuring out if real estate investing is right for you. For the full responses, check out the video above!
Q. Where do you get all your information?
A. Here’s what you may not know or understand: The information I share is widely available. If you Google how to buy a property with 3.5% down, a lot of stuff will come up. So, a lot of times, these financial institutions and writers don’t necessarily do the best job of putting it into a perspective that someone on the outside can understand. But it’s widely available. In terms of how I know? I started with complete ignorance … I just said, “I want to do this. How do I do it?” And then I did it. Once I’ve done it, I now have the information.
Q. I never invested in Facebook or Tesla. But with a minimum investment, if the company is valuable, the investor will get a benefit, right?
A. What you’re asking me about is basically pre-IPO stock opportunities. A lot of the big money you hear about is when early investors make a ton of money by getting in early, and when it hits the public, it’s too late. The big money has been made.
So, I get what you’re saying: You invest in a pre-IPO company. And then if and when it goes public or gets sold, it’s called an exit, and that’s when you get your returns.
Q. We have our LLC and have 10K to start a business and or invest in property. Do you recommend drop shipping or investing in property?
A. What you really have to ask yourself is what you are passionate about. Do you think that drop shipping will be something you would like to do? Unless you’re all in and immersed into it, you’re not going to be making money. You have to really care about that process.
If you don’t, you can go into real estate. I really recommend people start with an FHA property because you can get multiple apartments for very little money. You can live rent-free, and you can really, truly figure it out. You can understand how an asset works, how it is dealing with tenants, and so on … You’ve got to look at your passion. And how can you figure out how to channel your passion into something that can make you even more money?
If you want to hear your finance, economy, real estate (or any) question answered live, make sure to follow us on social media. Ask us a question on Facebook, Twitter or Instagram @Bold TV, and you may be featured in our Bold Business show.
Want more money knowledge from Philip? Check this out.