"Whatever you think you can do or believe you
can do, begin it. Action has magic, grace and power
in it." -- Johann Wolfgang von Goethe
(Note: This article includes information
on website design and profitability.)
Introduction
About 15 years ago I bought a little book by Don Lancaster
called The Incredible Secret Money Machine. It made
a lasting impression on me and inspired a quest for
me to create my own "money machines."
During the ensuing years I've created numerous money
machines, some more successful than others. I learned
a great deal about what works for me and what doesn't.
I believe that the conception of the ideal money machine
I've arrived at, based on 15 years of experience,
is a considerable improvement on the "Lancaster
model." I believe I've made some major improvements
and refinements.
My idea of a money machine is some kind of more or
less automatic "mechanism" that spits out
money without the owner/operator of the machine having
to do much work.
A passive investment is an example of a money machine.
You buy $1,000,000 worth of stock that pays you $100,000
in dividends every year, without your having to do
any work.
Unfortunately, most of us don't have the capital
to set up such a money machine. If you work for money
at some "job" ("just over broke"),
chances are you're just a few paychecks away from
being homeless. Let's see if it's possible to start
with little or no money and create money machines
that take you to financial independence within a year
or so.
The Ideal Money Machine Here are the major improvements and refinements
I've made to Don Lancaster's money machine model:
1. The ideal money machine can be started with little
or no money and doesn't require any special skills
to start, develop, and operate.
2. The ideal money machine does not involve selling
and providing physical products or services to customers
-- there are no dissatisfied customers to deal with.
(Note: If a money machine involves promoting someone
else's product or service, you want to be minimally
involved in getting that "someone else"
to deal with dissatisfied customers.)
3. No customers sending or paying you money. You
don't want the hassles of collecting money from customers,
dealing with complaints, bounced checks, refund requests,
etc. (Collecting money from customers adds risks to
any business. In addition to filing complaints with
"public marauders," customers (and others)
may hire "private marauders" to sue you.)
4. No employees. Maybe a few subcontractors. Anyone
who has started and operated a reasonably-sized business
knows what kinds of problems employees can cause.
(They may also file complaints with "public marauders"
and hire "private marauders" to sue you.)
5. No taxes. The ideal money machine pays no taxes
and all the money it spits out is tax free.
6. No reporting. The ideal money machine does not
report anything to any taxtortion agency or other
coercive agencies. The only records that are kept
are for personal use.
7. No business licences or corporate registrations
required.
8. No physical location or office required. Can be
operated from anywhere, using a computer and the Internet.
(May use a mailing service to receive money via mail
or courier service.)
9. The ideal money machine is for practical purposes
invisible to habitual marauders, both "private"
and "public."
10. The ideal money machine can make money without
involving promoting, or selling, or having to recruit
others. However, you have the facility to make much
more money by recruiting others.
11. Ideal money machines provide 10% per month or
higher returns on capital.
12. The ideal money machine requires minimal time
to operate. It enables you to eventually earn thousands
of dollars per hour worked. It also provides leverage
in that you can reap increasing returns on your capital
and increasing earnings from the capital and efforts
of others. Ideal money machines provide time freedom
to their owners/operators.
Such money machines liberate you from having to work
for money. You can also use them to liberate yourself
from "public marauders" who masquerade as
"government." That's why I call them "Liberty
Money Machines!"
Liberty Money Machine Examples
I'd like to present two examples of Liberty Money
Machines to you. I'd like you to consider these, maybe
examine them further. Maybe the principles and techniques
I've applied to make them profitable for me can show
you the way to create your own superior Liberty Money
Machines.
Even if you don't like some specifics of my money
machines, you may want to use them as examples to
create your own even more profitable Liberty Money
Machines.
Note that "creating" your own Liberty Money
Machine can be as simple "playing" with
someone else's money machine and maybe tell some friends
and acquaintances about it.
Liberty Money Machine #1:
Started with a capital of $150.
Did many hours of website development work.
Have done only minimal marketing so far.
Currently earns about $2,500 per month.
Earnings increasing by about $300 per month.
With additional marketing, earnings can be expected
to soon go up by maybe $500 per month, and within
a few months by $1,000 per month or more.
In a year's time could be earning $20,000 per month.
In two years' time could be earning $50,000 per month.
I believe this money machine can continue running
for many years (even decades), providing ever-increasing
earnings.
For the actual earnings so far, click here. Liberty Money Machine #2:
Started with a capital of $6,000 during December
'98.
Did a few hours of website development work.
Have done a moderate amount of marketing so far.
Currently earns about $30,000 per month.
Earnings increasing by about $5,000 per month.
The dynamics of the game involved with this money
machine are such that it may become difficult for
any individual player to extract more than $10,000
a month from the game.
I don't have the same longevity confidence in this
machine that I have for machine #1. But this money
machine is superb for "quick profits."
For the actual earnings so far, click here.
We currently (April 2000) do not recommend participation
in Stockgeneration.
Life Cycle of Money Machines
Some money machines start small, then grow until they
reach maturity. There they may operate on a high plateau
for some time. They may reach a size where it becomes
difficult for them to maintain an adequate level of
customer service. They may experience problems caused
by "public marauders." Then they may decline
and eventually fail.
For such reasons it's prudent to be always on the
lookout for additional money machines. It works best
to have multiple income streams. It's wonderful to
be in a position such that the decline and/or failure
of any particular money machine(s) do not adversely
affect your overall prosperity.
We regularly add new money machines to BigBooster.com.
Personal Financial Health
Recently, as a result of reading Rich Dad, Poor Dad
by Robert T. Kiyosaki, I realized that for practically
all of my life I had been in certain respects a "financial
cripple." I had had certain misconceptions that
handicapped me financially. Though I had made considerable
money at various activities and ventures, I had also
lost a great deal because I suffered from "financial
illness."
Reading Robert T. Kiyosaki's Rich Dad, Poor Dad:
What the Rich Teach Their Kids About Money That the
Poor & Middle Class Don't changed that. I suspect
that more than 90% of people suffer from some of the
factors of "finacial illness" identified
and described by Kiyosaki. I believe that the probability
of your success with any money machine will most likely
increase dramatically if you study Rich Dad, Poor
Dad. You may also want to check out Kiyosaki's website.
This area is covered in greater detail in
my article Basic Money Skills.
Passive and Active Mode
You can utilize or create your own variations of the
above two money machines. You can operate in "passive
mode," merely risking your own money and not
promoting your money machines, nor even telling anyone
else about them if you like. (The history of money
making that depends on people recruiting/selling others
seems to indicate that about 95% of people fail. So
most readers should consider passive mode, particularly
in the beginning.)
You can also operate in "active mode" without
risking your own money. This depends on recruiting
and selling others. To succeed, you need to persuade
others to get involved with your money machines. If
you're good at selling, then active mode enables you
to create substantial incoming money flows without
risking your own capital.
A third way to operate is "combination mode"
-- you put some of your own money into the money machines
and you promote them to others. You could start in
passive mode, making some money, and establishing
a successful track record that makes it easier to
persuade others. Once you have a steadily improving
track record, you may find it much easier to sell
others -- or to create Liberty Money Machines that
sell themselves!
Marketing Your Money Machine
With the advent of the Internet, it's in many respects
much easier to create a money machine than it used
to be. You can set up a website at little cost. You
can do a number of things that result in visitors
coming to your website that require only your time
and effort.
There's free information on Don Lancaster's
website on how to promote websites. See also:
Website Hosting & Free Hosting
Domain Registration & Service Providers
Website Design & Maintenance
Website Promotion
How to Make Websites Profitable
Once at the website, visitors can find something they
like to do that makes them money and makes you some
money too.
Now, if you already have a website that's attracting
visitors, you're just a few steps from the "clover."
You can simply add one or more Liberty Money Machines
to your website and soon start collecting the lucre!
And, if you have a website that's not getting many
visitors, then you can use your money machines to
attract many more people -- or you can simply operate
your money machines in "passive mode."
"Bandwagon" Marketing
Take a look at Economic Means to Freedom - Part VIII,
particularly the table with the growth in earnings
from World Network Holdings. Also have a look at the
growth in our earnings from BIG and Stockgeneration.
By repeatedly promoting a program to prospects, each
time showing how the results are improving, a kind
of "bandwagon" effect is eventually created.
To some people, something has to be promoted seven,
fifteen, or more times before they eventually "bite."
The cumulative effect of every week or month seeing
how someone is doing better and better, while they
continue to miss out, eventually helps persuade them
to decide to "get on the bandwagon."
