Yesterday afternoon as I was leaving the Crowne Plaza in Warwick Rhode Island, I bid adieu to my co-author of Profit First for Real Estate Agents, Mike Michalowicz.
Mike did a masterful presentation on how Profit First worked.
I’ve been involved with Profit First for about two years now and it was a real treat to spend time with the Mike, inventor of Profit First.
During Mike’s presentation he shared the four fundamentals of Profit First.
Mike took what he learned from the fitness industry and applied it to fiscal health.
Here are the four fundamentals of Profit First:
- Smaller plates – the way to reduce wasteful spending is to reduce the amount of money available.
- Veggies first – the business owner needs to get paid before anyone else.
- Remove temptation – profits and taxes are stored in a separate bank account. Out of sight -> out of mind.
- Frequency – transfer your money to your profit account twice a month and take a profit distribution quarterly.
Profit First is the best money management system for business owners.
I met a lady who is a realtor from Maine yesterday and she’s been using the Profit First system for the last year. She had major family medical issues that took her out of work for a couple months.
Despite missing a lot of work, she was able to weather that storm because she built up a war chest of cash for what life threw at her.
I’ll begin writing Profit First for Real Estate Agents this summer.
I’m super excited about the book.
I plan to have the first draft of the book written by the end of the summer.
In two weeks, I travel to Pennsylvania to build out the book launch plan for the book.
I can’t wait to share more about this new journey.