In your quest to better yourself financially we have a natural tendency to look so forward to the future that we neglect the present.  If you are in a job now but don't like what you are doing and want to start your own business or get a better position with another company many times you will find yourself not giving your very best at your current gig.  I am definately that way myself. 

   Most every authority on success will tell you to do your best where you are.  When you are doing an excellent job in your current position you are sending the right messages to everyone who perhaps are a part of your future endeavors.  Hold your goals and your aspirations in mind always, but give 100% of yourself to what you are involved with now.  You will find that it makes you feel great too. 

   If you haven't read the book "Fish" you really need to grab a copy.  It is a great read and a real key to happiness in the present.  One of the philosophies in the book is to "be there" for everyone you are dealing with during the day.  Really listen and give 100% of your attention to who you are dealing with.  It really makes a difference.  Keep you dreams of starting your company or running someone elses, but do the best you can today and give it your all.  You will be astounded at the results.

   Many potential entrepreneurs never see their ideas through because they think they can't afford the venture or could never raise the capital needed for it.  There could be a way to get your idea launched with little or no cash.  Before you give up on your dream think of how you could use other people's money or resources to get things going.  Other people's resources is often the angle to try.

   I once put a venture together for a spice that I invented.  I didn't have a spice company or a packaging facility.  I didn't have labels or anything else that I could use to start a spice company.  Many people said they would love for me to market my spice so I found the people who could take care of all the various aspects of the venture.  I found someone to do the labels, I found a spice manufacturer who was willing to mix and package for me at a great price.  Before long I had a product and a drop shipping system to stores in my local area.  All I had to do was take samples to the stores and sell them on the product.  The rest took care of itself. 

   Some would have given up because they didn't have the money for a spice manufacturing facility.  Everything is negotiable.  People are just people.  The person you call is someone's brother, aunt, uncle, mom or dad.  Just be you and go for it.  You may have the idea that will put you on the map. 

Please email Joe Manor with any questions or comments that you might have.  moneypetejoe@gmail.com or joe@moneypete.com

Most people invest with little foresight or, worse, pure hindsight.  Just because a particular security has had a run in value does not mean it will continue to do so in the future.  Conversely, stocks that have had drastic declines may not in the future.  Too few people ‘throw darts at a board’ when investing in stocks and other securities and, should they make some good gains relative to the general market, too often do they attribute their gains to their stock picking savvy when, in fact, it is sheer random luck.    When investing in stocks, it is very important to have a methodology.  [Potential] stock investors should be able to answer these three basic questions when investing in stocks and do so in a methodical, systematic way – anything else is ‘throwing darts at a board’:

1.  What to buy?2.  When to sell?3.  What to buy with the proceeds of the sale? The first question is the most obvious and perhaps the easiest.  There is many ways to identify potential opportunities.  Unfortunately, most investors get caught up in this question perpetually and have no rhyme or reason to when they sell a stock which leads us to our next question… The decision to sell a stock is one of the most critical as any stock investor will tell you.  ‘Buy low and sell high’ is the adage – however, you must be able to identify what low is and then, perhaps more importantly, identify what high is.  A gut feeling is again, nothing more than ‘throwing darts at a board’. Buying something after a sale again poses a question, how can we best utilize this resource (money)?  A methodology provides a platform to be able to readily answer this question and always have your money working for you.   The goal of investing is to perpetually reallocate to have the most optimal portfolio while minimizing risk.  If you can answer those three questions (and put it into practice), you are taking the first steps towards successful stock investing.

Please email Nate Monroe with any questions or comments that you might have. Moneypetenate@gmail.com

One of the biggest misconceptions about mortgage rates is the impact that changes in the Federal Reserve rate (Fed rate) has on 30 year fixed rate mortgages. In reality, there is no correlation.

Let’s begin with an understanding of what the Fed rate is. The Fed rate is the interest rate that the Federal Reserve charges banks when banks borrow money from the Federal Reserve. By law, banks must keep a required amount of cash on hand at all times. If the bank runs low, they borrow from the Federal Reserve. This is basically an overnight borrowing rate.

Another commonly heard rate is the prime rate. This is the rate that banks charge their very best customers for short term borrowing. As a general rule the prime rate tracks the Fed rate.

Another rate is the US Treasury Bill rate or T-Bill rate. Whenever the federal government needs money on which to operate, the government issues treasury bills which are set to mature in 10 years and have a fixed rate of interest. T-Bills are considered by investors to be very secure since they are backed by the US Government.

The 30 year mortgage interest rates are based on the 10 year T-Bill interest rate. Statistics show that on the average homeowners sell their home within 5 to 7 years after purchasing. The T-Bill and the mortgage have similar life times and are both sold to the same large pool of investors. Very, very few mortgages are held by the originating entity. Banks, mortgage banks, mortgage brokers all resell their loans to a pool of investors.

In the first half of 2004 the Fed rate was at 1% and in July of 2004 it started climbing until it reached 5% in July of 2006. It remained at 5% until July of 2007 and then started dropping until it reached the current rate of 2%. The Fed rate went up 4 percentage points and then dropped 3 percentage points which shows a great deal of fluctuation. On the other hand 30 year mortgage rates have fluctuated between about 5.5% and 6.5% which is considered to be relatively stable.

Regardless of what is reported by the media or advertised by various lending institutions to get you to call, mortgage rates have been and continue to be relatively stable and very affordable.

Email Ray with questions or comments at moneypeteray@gmail.com

Here are some other links for Ray LaGrange, owner of Remax Evansville, In. 

Find My Evansville Home

Evansville Real Estate

   Have you ever heard the adage that a sale is made even before the call is made?  Another good one is the sale is made between the ears before you even see the prospect.  Both of these statements are true.  Regardless of the latest trend in sales science, the nuts and bolts remain the same.  Sales, as so eloquently stated by the one and only Zig Ziglar, is a transference of feeling.  It is a transference of feeling about the product or service from the salesperson to the prospect.  If you believe in what you sell and convey that to whom you are selling, you have a much better chance of leaving with an order.

   Speaking of Zig Ziglar, I have a true story that happened to me recently.  I was chatting with a sales person in my industry and asked him what he thought about Zig’s books.  He told me that Zig was fine for his time.  He said that Zig was great back in the 80s but is now outdated in our day.  I really feel sorry for that guy.  The gems that Zig and his contemporaries share with us are relatively timeless.  A good solid philosophy in the world of sales works then, now and tomorrow.  The guy I had the discussion with is almost always struggling with his quotas and goals.  He can’t see the forrest.  There are too many trees for him. 

Much has been written about Entrepreneurship.   Most of what is written addresses what it takes to be an entrepreneur and what it means to be an entrepreneur.  This material is written for people who want to better themselves and be their own boss.  People devour this material in hopes of catching that phrase or article that will flip the switch in their head and give them the magic they need to succeed or the idea that will push them over the top.  Good luck.  Maybe it is out there, but I doubt it. 

   What you need to be looking for is what is inside you.  If you are an entrepreneur there will be no denying it.  You will get ideas for businesses all the time.  If you love talking to people who have started their own businesses and long to start one yourself don’t worry, you have the entrepreneur spirit.  I have talked with many people who wonder if they have what it takes to succeed.  If you are a true entrepreneur you will try and try again until you do succeed.  If you have seen the research from the Kauffman foundation and others you know that only one out of ten or twenty businesses really succeed.  The exciting thing is you may be planning the one that succeeds right now. 

   Once you start the business that succeeds the next one comes easier.  It comes easier because you now have the practical experience and knowledge of what works and what doesn’t.  Don’t give up!  If you have the yearning to be your own boss and the spark inside you to be an entrepreneur, you are.  Keep on going and keep on learning.  You will succeed!   You will get that idea and begin the venture that works, and works well.

When going for financing on a new venture idea, be it with a venture capitalist, angel investor or bank, the most important thing to have in your hands is a well thought out business plan.  Your business plan may change many times during the process of seeking out funding, but the first version needs to be well thought out.  The investors are looking for a person or company that will be thorough in planning and implementation.  Have an answer for why you planned the way you did. 

   Getting the financing you need can also depend on the relationship you have with a banker or investor.  If you are just starting out as an entrepreneur or real estate investor for example, get to know your banker.  If your banker knows you are a credible individual, honest, hardworking and sincere, he or she will naturally give your idea more consideration.  If you are new to the business world, maybe you know someone who has a good relationship with an investor or banker.  Maybe you can have lunch with them and get to know some people who can help. 

   There is a new richest person in the world.  Mukesh Ambani.  He is at least the richest until Warren Buffet’s stock goes up or Carlos Slim installs some more phone lines.  Mukesh heads up Petrochemicals giant Reliance Industries, India’s most valuable company by market cap.  His stock drove up his net worth about 20-Billion dollars worth last year and has virtually done the same this year so far pushing him out in front of the Richest list, at least for a money moment. 

   His brother Anil is not doing too badly either.  The two don’t get along very well because of some business issues.  They inherited their late father’s fortune, sharing the assets after their mother dealt them out a few years back.  Mukesh has a bachelors degree in chemical engineering from the University of Bombay and received a Master of Business Administration degree from Stanford.   He is worth watching.  It is lots of fun too.  We will keep you updated on his progress here in the Moneypete Wealth Creation blog.  By the way Mukesh is building the most expensive home in the world right now in Mumbai India.  Check the video page of Wealth Creation here at Moneypete.com for a sneak peak from Forbes.com video.  What a house. 

You can email Joe Blair at moneypeteinfo@gmail.com or info@moneypete.com

Wouldn’t you love to know what Warren Buffet knows?  How does he do it?  Does he have the Midas touch or what?!  Investing in stocks isn’t rocket science according to Mr. Buffet, but it does require a little work and research.  To succeed in Stock investing, like anything else you succeed in, you need to have a passion for doing it.  You can’t just throw a dart at a stock chart and buy shares.  If you don’t have a desire to do the needed research don’t buy stock.  Invest in what you are interested in. 

   If you are excited about investing in stocks here is the Warren Buffet secret in a nutshell.  Buy stock in a company that has a stock with a price that is lower than it’s intrinsic value.  The intrinsic value of a company is comprised of the things about that company that are good and solid.  The company may have some great managers.  It may have a great product that will have value for years to come.  The company may also have some great ideas for the future that will keep it viable in the market.

   Warren bought lots of stock in Coca Cola when the price was right.  He knew that Coke wasn’t going to go away.  He also buys stock in companies that he understands.  He doesn’t buy technology stocks because he doesn’t understand the tech business.  He also believes in buying stock and holding it long term.  If you are into buying stock as your investment, be in it for the long haul and relax.  If you love it, you will be successful.