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Multlle Streums of lncome QulckSturt Culde 2
Coyrlght zcc Robert C. Allen. All rlghts reserved.

No urt of thls ubllcutlon muy be reroduced, stored ln u retrlevul
system, or trunsmltted ln uny form or by uny meuns, electronlc,
mechunlcul, hotocoylng, recordlng, scunnlng, or otherwlse, excet us
ermltted under Sectlon c, or c8 of the ,6 Unlted Stutes Coyrlght
Act, wlthout elther the rlor wrltten ermlsslon of the Author.

Llmlt of LlubllltyjLlsclulmer of vurrunty: vhlle the ubllsher und uuthor
huve used thelr best efforts ln reurlng thls book, they muke no
reresentutlons or wurruntles wlth resect to the uccurucy or
comleteness of the contents of thls book und seclflcully dlsclulm uny
lmlled wurruntles of merchuntublllty or fltness for u urtlculur urose.
No wurrunty muy be creuted or extended by sules reresentutlves or
wrltten sules muterluls. 1he udvlce und strutegles contulned hereln muy
not be sultuble for your sltuutlon. 1he ubllshers und uuthor ure not
enguged ln renderlng rofesslonul servlces, und you should consult u
rofesslonul where urorlute. Nelther the ubllsher nor uuthor shull
be lluble for uny loss of roflt or uny other commerclul dumuges,
lncludlng but not llmlted to seclul, lncldentul, consequentlul, or other
dumuges.

Prlnted ln the Unlted Stutes of Amerlcu.
3
&$*+,!#)!"#-&,-&.!
!
/(,)$",! ! ! ! ! ! ! ! ! ! 0!
1-&(#2%"&1#-! ! ! ! ! ! ! ! ! 3
"'$/&,(!4 Lusy Money: llnunclul lreedom on u Lollur u Luy 45
"'$/&,(!6 1he Mountuln Runge of llnunclul lreedom:
1he 1hree Creut Money Mountulns 43
"'$/&,(!7 Your llrst Streum: Success ln 1he Stock Murket -
lnvestlng lor 1otul ldlots 66!
"'$/&,(!0! Your Second Streum: Acceleruted Stock Strutegles -!
lour vuys to Mugnlfy Your Returns 68!
"'$/&,(!9 Your 1hlrd Streum: Louble Your Money ln the Murket -
Eow to Multlly your lnvestment Lollurs 70!
"'$/&,(!3! Your lourth Streum: vlnnlng 8lg ln Reul Lstute 06!
"'$/&,(!:! Your llfth Streum: A lortune ln loreclosures
und lllers 03
"'$/&,(!8! Reul Lstute Suerchurger: Powerful vuys to Lurn
zc Percent or More on Your Money!!! ! ! ! 97
"'$/&,(!;! Your Slxth Streum: CP1 Euge Proflts by Puylng
Cther Peole's 1uxes 34!
"'$/&,(!45! Your Seventh Streum: Network Murketlng -
1he Ultlmute Money Muchlne 38!
"'$/&,(!44 Your Llghth Streum: lnforeneurlng -
Eow to 1urn u 1lny Clusslfled ud lnto u lortune :4!
"'$/&,(!46 Your Nlnth Streum: 1he lnternet -
Your Next lortune ls Cnly u Cllck Awuy :;
"'$/&,(!47 Your 1enth Streum: Llcenslng - lntellectuul
Proerty ut vur Seed 88
"'$/&,(!40 8ulunclng Act: Cettlng Your Act 1ogether 45;
Multlle Streums of lncome QulckSturt Culde 4
/(,)$",

lor over zc yeurs, through my bestselllng books und lnternutlonul
semlnurs, l've tuught thousunds of eole how to uchleve flnunclul
freedom. Now lt's your turn.

l'm golng to teuch you how to eurn multlle streums of llfetlme lncome.
More seclflcully, you'll leurn severul dlfferent wuys to eurn these extru
lncome streums. 1hese ure not just ordlnury streums of lncome. You'll
leurn how to creute the klnd of reslduul lncome streums thut flow lnto
your llfe z hours u duy even whlle you slee. You'll leurn how to creute
these seclul streums of lncome.

Cn u urttlme busls.
vorklng rlght from your own home.
Uslng llttle or none of your own money.
vlth few or no emloyees
Uslng slmle, roven systems thut reully work.

ln uddltlon, l wlll show you how to.

Culn control of your flnunces
Lurn hlgh rutes of return - 8 ercent, 6 ercent, und us hlgh us c
ercent -uslng llttle known flnunclul strutegles, some even
guurunteed by the government!
5
Lurn us much us s,ccc u duy rlght from your own home.
Muke un extru sc,ccc to scc,ccc u yeur for llfe.
Perhus even become u llfetlme multlmllllonulre.

vhut wlll ull of thls get for you? A llfestyle thut glves you the freedom to
do whut you wunt, when you wunt, und wlth whomever you wunt.

Musslve Success,

Robert C. Allen
Multlle Streums of lncome

Multlle Streums of lncome QulckSturt Culde 6
1-&(#2%"&1#-!

l've got good news und bud news. llrst the good news: lf you're
llke the uveruge North Amerlcun, eurnlng ut leust sz,ccc u yeur, then ln
your llfetlme more thun s mllllon wlll flow through your flngers. 1hut's u
lot of money. ln other words, you're ulreudy on truck to becomlng u
llfetlme mllllonulre.

Now for the bud news: lf you're llke most eole, you'll send lt ull
und, ufter u llfetlme of eurnlng, wlll end u wlth ulmost nothlng. Eow ls
thut osslble?

lrunkly, becuuse nobody teuches us ubout money. ve recelve no
formul educutlon ln the most crltlcul of ull llfe skllls: how to become
flnunclully successful. Lld you ever, ln ull your yeurs of ubllc educutlon,
uttend u cluss culled "Money c?' vhy lsn't such u cluss mundutory ln
every elementury school?

Eow dld you leurn whut you know ubout money? Most llkely, you
lcked lt u, u lece here, u tl there. You ubsorbed uttltudes from your
urents und from the medlu. You ubsorbed the exumles of frlends. You
roceeded through trlul und errorthe school of hurd knocks. vhut you
leurned wus huhuzurd, mostly wrong, und certulnly out of context. lf
you reud books on the subject, robubly they overwhelmed you wlth
detulls or bored you wlth useless fucts. 1he result ls thut, lf you're llke
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most, you're confused und frustruted und wonderlng whut to do, where
to turn next. vell, l huve more good news: 1he unswers ure ln thls book.

Money ls one of the most lmortunt subjects to study ln your
entlre llfe. Some of llfe's greutest enjoyments und most of llfe's greutest
dlsuolntments stem from the declslons you muke ubout money.
vhether you exerlence greut euce of mlnd or constunt unxlety wlll
deend on whether you get your flnunces under control. Your
relutlonshls, wlll be greutly uffected, too. ln fuct, most dlvorces ln our
soclety result from dlsugreements ubout money. 1hus, understundlng
money - how to muke lt und kee lt -ls ubsolutely essentlul to your llfe,
to your relutlonshls, to your hulness, to your future.

Some eole seem to be nuturully good ut munuglng money. 1he
s mllllon flow through thelr flngers, und they seem to know how to kee
some of lt even muke lt grow -ln some cuses, u hundredfold more thun
the uveruge erson. Lo these eole work cc tlmes hurder? Are they
cc tlmes smurter? Cf course not. 1hey just know how to luy the gume.
You see, money ls u gume, ulbelt u very lmortunt one. lf you know the
rules, you wln: lf you don't know the rules, you lose. As hyslclun Ceorge
Luvld suld:

<,$+&'!1.!<',-!.=$++!,))#(&.!/(#2%",!*1>!(,.%+&.?!
!
/#@,(&A!1.!<',-!*1>!,))#(&.!/(#2%",!.=$++!(,.%+&.?!

Multlle Streums of lncome QulckSturt Culde 8
1hls book exlulns the rules for luylng the money gume so thut
you, too, cun become u wlnner. 8y followlng the slmle strutegles luld
out ln thls book, you cun begln to enjoy u bunquet of roserlty, one thut
lusts throughout your worklng llfe und extends lnto u flnunclully secure
retlrement.

1he concet of Multlle Streums of lncome ls the result of huvlng
worked wlth thousunds of successful eole for more thun two decudes.
l huve seen eole go from llvlng on the streets to llvlng ln munslons,
from drlvlng u tuxl to belng chuuffeured ln u llmouslne. ln Multlle
Streums of lncome you wlll dlscover how to creute weulth ln muny
dlfferent wuys und from multlle sources, whlch l cull money mountulns.
1hese three weulthcreutlon mountulns, dlstlnct from euch other yet wlth
slmllur churucterlstlcs, ure the lnvestment mountuln, the reul estute
mountuln, und the murketlng mountuln.

lrom thls runge of money mountulns, ut leust c seurute und
dlstlnct streums of lncome flow lnto your growlng reservolr of weulth.
1he goul ls for you to udd ut leust one new streum of lncome to your llfe
euch yeur, so thut, eventuully, these streums wlll overflow your llfe wlth
roserlty und freedom.

1he flrst questlon eole usuully usk ut thls olnt ls, "vhy multlle
streums?' 1o unswer thut questlon, l'll usk unother: Eow muny streums
of lncome dld lt tuke ln the c's for most fumllles to survlve - even
9
roser? Cne. Comure thut to toduy, when very few fumllles cun survlve
on fewer thun two streums of lncome. And even those won't be enough
ln the future. lt's u volutlle future, und you'd be wlse to huve multlle
streums of lncome flowlng lnto your llfe.

Proserous eole huve ulwuys known thls. lf one streum drles u,
they huve muny more to tu lnto for suort. Soculled ordlnury eole
ure much more vulneruble. lf they lose one of thelr streums, lt wles
them out. And lt tukes them yeurs to recover. ln the future you wlll need
u ortfollo of lncome streums - not one or two, but muny streums from
comletely dlfferent und dlverslfled sources - so thut lf one streum
emtles, you'll burely notlce. You'll be stuble. You wlll huve tlme to
udjust. You wlll be sufe.

lf you don't huve multlle streums of lncome flowlng lnto your llfe
ut thls tlme, muybe lt's tlme to udd them. 1hut's whut Multlle Streums
of lncome ls for, to lntroduce the nlttygrltty strutegles und technlques
for develolng multlle streums of lncome.


Multlle Streums of lncome QulckSturt Culde 10
,$.A!=#-,AB!)1-$-"1$+!)(,,2#=!#-!$!2#++$(!$!2$A!
!
lt ull sturts wlth u slngle unlt of money. vherever you ure, reuch
lnto your wullet or urse und dlg out some of your own uer currency
und exumlne lt. Rub lt between your flngers. leel the texture. 8rlng lt
to your nose. Loes money smell? Lxumlne the lmuges. 1urn lt over.
Notlce the strunge symbols. 1hls slmle lece of uer doesn't ueur to
be worth much. lnflutlon erodes lt's vulue dully. vho cures lf you wuste
lt or lose lt or throw lt uwuy.

8ut wult u mlnute. Cun thls ordlnury lece of uer money be
worth more thun meets the eye. Could lt be u muglc tlcket to u more
ubundunt llfe of unywherejunytlmejunythlng you wunt? Cne thlng's for
sure: Eow eole feel ubout these sllly leces of uer mukes u huge
dlfference ln how they enjoy llfe's greut bunquet of roserlty.

You see, roserous eole don't thlnk of money us just colored
leces of uer. 1hey lmuglne lt us seeds - money seeds - wlth the
ower to grow lnto money trees, beurlng frult to fulflll every one of thelr
dreums. And they ure ubsolutely rlght. Lvery dollur blll ls u money seed.
'ust us u tlny ucorn contulns the ower to grow lnto u mlghty ouk tree,
euch dollur blll hus the ower to grow lnto u mlghty money tree. You cun
grow one of these money trees on us llttle us u dollur u duy.

Could you ufford thut?
11

8y leurnlng multlle streums of lncome, you wlll soon huve your
own mujestlc money tree, growlng rlght ln the center of your future
dreum home. Your money tree roduces frult z hours u duy. vhlle you
slee. vhlle you work. vhlle you luy. vhlle you eut. lt never stos. An
endless streum of cushflow.

So how much ls one of those seeds reully worth? 1hut deends on
how long you let lt grow und ut whut rute of growth. Let's suose you
tuke u slngle dollur und ut lt lnto u seclul bunk uccount thut wlll let the
dollur grow, untouched. Eow long wlll lt tuke for thls slngle dollur blll to
grow lnto s mllllon?

1hut deends on the lnterest rute. At lt wlll tuke 68 yeurs for
thut dollur blll to grow lnto s mllllon. At c lt wlll tuke yeurs wlth
just u slngle dollur blll. 1hut's greut lf you were uround to enjoy lt, so how
do we suerchurge lt? Ruther thun just luntlng one money seed, could
you lunt them more often? Could you ut uwuy u dollur u duy? s dollur
u duy ut grows lnto s mllllon ln , yeurs. At c lt grows to s mllllon
ln 6 yeurs. At leust you muy be uround to enjoy lt. 8ut suose you
don't wunt to wult for 6 yeurs. 1here's unother wuy to seed u the
rocess. Could you lunt two or three seeds u duy? Cr flve? Cr ten?
vhut does thut do? lf you ut uwuy c lousy bucks u duy und ut lt ln the
rlght mutuul funds or stocks or reul estute und let the clock tlck ut zc
ercent, you're u mllllonulre ln just zc yeurs! Lxclted yet?
Multlle Streums of lncome QulckSturt Culde 12

l'll bet you'll thlnk twlce before you throw uwuy one of those sllly
green leces of uer. lt's llke throwlng uwuy the seed to u s mllllon
money tree.

Lvery tlme you suve one of those money seeds, you sturt sowlng
your wuy to weulth. 1he most lmortunt lesson ls to chunge your
uttltude ubout money, eseclully those s bllls.

1he reul key ls to kee socklng uwuy the money. Let the numbers
whlser thelr sllent but relentless messuge. Conslstency. Luy ln, duy out.
Suve. lnvest. Suve. lnvest. lt mlght be borlng. lt mlght be dull. lt mlght
be hurd to do. No mutter. 'ust do lt.

l met u young mun ln Chlcugo who hud mude the declslon to muke
hls future brlght by dlmmlng hls deslres toduy. Ee worked full tlme, us
dld hls souse. lf they hud been llke normul (broke) young murrled
coules, they would huve ooled thelr two uychecks und bought u new
cur (wlth u fut monthly uyment), stretched themselves lnto "too much
house', und stressed out for the next c yeurs. lnsteud, thls young
coule mude u very smurt cholce. 1hey llved on her uycheck und suved
hls entlre monthly sz,ccc uycheck. 1hey ut the money lnto well
selected mutuul funds und wutched the cush begln to lle u. 1hls ls true
roserlty. Cur urents were rlght. ve crlnged when they told us, "Llve
on less thun you eurn. lnvest the surlus. Avold debt. 8ulld longterm
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securlty.' 1hls muy not be the excltlng getrlchqulck rubblt, but the
tortolse luughs slowly ull the wuy to the bunk. So, wlth thut tortolse
mentullty flrmly ln luce, lets sturt bulldlng some seclflc luns for the
future.

Settlng some seclflc und reullstlc flnunclul gouls.

llrst of ull, you huve flve declslons to muke ubout your money seeds:

. 1urget: Eow much totul money would you llke to uccumulute?
z. Amount: Eow muny dollurs u duy cun you squeeze out of your llfe?
. Rute: vhut lnterest rute cun you eurn on your lnvested dollurs?
. 1lme: vhen would llke to reuch your goul?
. Purose: vhut ls your flnunclul urose?

lor exumle, suose you declde you wunt u s mllllon dollur nest egg
ln zc yeurs. Your urose ls to qult your job und send your llfe worklng
wlth the youth ln your church. Muke sure you send some quullty tlme
usklng yourself these questlons. "vhy do l reully wunt thls money?
vhut ls my ultlmute urose?' Your moneymuklng wlll be much more
successful und meunlngful lf you huve u cleur urose. lf lt's just "to
muke u lot of money,' you muy flnd yourself one duy wlth u lot of money,
wonderlng, "ls thls ull there ls?'

Multlle Streums of lncome QulckSturt Culde 14
1he Sooner you sturt, the rlcher you ure lmmedlutely! Eey, wult u
mlnute! 1hls sounds too good to be true! A few dollurs u duy und you
cun become u mllllonulre? lf thls ls so eusy, why uren't ull of us
mllllonulres? vell, the truth ls, we ull could be mllllonulres, but most of
us luck the slmle dlsclllne to muke smull dully deoslts over long
erlods of tlme. And then, of course, we rocrustlnute gettlng sturted.

Lo lt now. Lo lt regulurly.

Cne flnul word: conslstency. Eow much you lnvest ls not us
lmortunt us conslstently lnvestlng thut umount over u long erlod of
tlme. lf you mlss u uyment or two, no blg deul. 8ut let me tell you whut
huens when you mess wlth the formulus. Suose you could lnvest
szcc month for zc yeurs wlth u turget rute of return of zc ercent. You
ure retty good ut socklng the money uwuy for u few months, und then
you reud un ud ln the uer for u greut deul on u new cur. ln order to be
uble to ufford the new cur, you declde to lower your suvlngs rute from
szcc u month to scc u month. ln zc yeurs, lnsteud of huvlng s6z,ccc
slttlng ln the bunk, you'll huve only s6,ccc und u very old cur. 1hut's
s6,ccc less. ls your new cur worth thut much? lf you lnvest wlsely
toduy, you'll be uble to uy cush for uny cur you wunt zc yeurs from now.
Leferrlng grutlflcutlon for u whlle wlll ullow your money tree to grow.
vhen you remuturely lck the frult from your money tree, you stunt lt's
growth und drumutlcully reduce the tlme lt tukes for you to enjoy u fully
mutured, frultbeurlng money tree.
15

vhen you leurn the secrets of multlle streums of lncome,
eventuully you wlll be uble to leuve u legucy thut wlll outllve you.
Although leuvlng u scc mllllon fortune muy be the furthest thlng from
your mlnd toduy, l encouruge you to lmuglne whut your future mlght
look llke.

ln the urest sense, money ls u slrltuul concet. lt contulns the
ower to do so much good. lmuglne the beneflt thut you could rovlde
to future grous of worthy eole. lmuglne your own osterlty - your
own greutgreutgrundchlldren - u century from now. Eow could they
beneflt from your wlse flnunclul, slrltuul, und lntellectuul legucy?

Now, let's look ut thut dollur blll one more tlme. 1hls slmle money
seed contulns the ower to bless you und countless future generutlons.
8ut only lf you'll sturt now. 1he future ls countlng on you. A weulthy
future ls uwultlng you. lt's worth the sucrlflce. Remember, lt ull sturts
wlth u slngle unlt of money.

Now thut you huve the rlght resect for euch of those rlceless
money seeds, let me show you seclflcully how to turn euch of them lnto
s mllllon money trees.
!
!
!
Multlle Streums of lncome QulckSturt Culde 16
&',!=#%-&$1-!($->,!#)!)1-$-"1$+!)(,,2#=B!
&',!&'(,,!>(,$&!=#-,A!=#%-&$1-.!

1here ure three greut flnunclul freedom mountulns. Luch mountuln
ls unlquely dlfferent from the others. Yet euch mountuln ls extremely
lmortunt to your longterm flnunclul success. lnvestlng ln the entlre
mountuln runge wlll glve you both the sufety of dlverslflcutlon und
constunt exosure to the hottest oortunltles.

lrom euch of these mountulns flow seurute streums of lncome.
1he goul ls to huve severul streums from euch money mountuln flowlng
lnto the reservolr of your uccumulutlng roserlty.

Remember these streums ure not just ordlnury streums of lncome.
You wunt streums thut flow lnto your llfe z hours u duy - even whlle you
slee. Luter l'll show you how to creute these streums of lncome on u
urttlme busls, worklng rlght from your own home, uslng llttle or none
of your own money, wlth few or no emloyees, uslng slmle, roven
systems thut reully work.

'ust u word of cuutlon before we begln. Luch of these three broud
money mountulns contulns thousunds of legltlmute oortunltles, wlth
hundreds of seurute moneymuklng technlques und dozens of
moneymuklng formulus. Any one of the mountulns could tuke yeurs to
leurn und muster.
17

1he urose of thls book ls not to glve you un encycloedlc grus
of the entlre mountuln runge of money. lf you're llke most eole, you're
ulreudy lnunduted wlth too much lnformutlon. 1oo muny vull Street
'ournuls left unreud, too muny Money muguzlnes lled hlgh ln u corner,
too muny flnunclul offers stuffed lnto your mullbox, too muny web sltes
overbrlmlng wlth dutu, too muny books stucked on your nlghtstund, too
muny flnunclul udvlsors clumorlng to udvlse you. lt cun be overwhelmlng.
Peole who ure overwhelmed generully do nothlng. As the suylng goes,
"A confused mlnd ulwuys suys no.'

vhenever you get overwhelmed, just remember the 8cjzc
rlnclle: Cnly zc ercent of the thlngs you do glve you 8c ercent of
your results.

You don't need to know cc ercent of the fucts ubout money.
You need to know only zc ercent of the fucts thut wlll glve you 8c
ercent of your results. locuslng on u few crltlcul uctlvltles wlll glve you
enormous leveruge. Your goul ls to be confldent enough to luunch ut
leust one new lncome streum u yeur. 8y dolng thls, you'll generute
umuzlng results whlle ulmost everyone uround you ls drownlng ln detulls
or urulyzed wlth feur.

!
!
Multlle Streums of lncome QulckSturt Culde 18
&CD!(DEF!,GHEHD!=IJKHELK

lor exumle, let's tuke the reul estute mountuln. 1hls ls u
tremendously lmortunt lece of your llfelong flnunclulfreedom lun.
1here ure hundreds of books on how to muke money ln reul estute. l
should know. l've wrltten three of them. Luch of these books ls fllled
wlth dozens of strutegles, technlques und tls. Qulte frunkly, there ls too
much to know. l've been studylng the reul estute fleld for zc yeurs und l'll
never know lt ull.

Eowever, unyone cun know enough to tuke uctlon, becuuse uny
brunch of reul estute lnvestlng bolls down to the zc ercent of
lnformutlon thut glves you 8c ercent of you results. vhut ure the crltlcul
few fuctors ln reul estute lnvestlng? 1here ure three:

llNLlNC
lUNLlNC
lARMlNC

lf you wunt to be successful ln reul estute lnvestlng, you need to know
how to flnd burguln roertles, how to fund those roertles, und then
how to furm them -or to hurvest the roflts from euch deul. ln you own
clty there ure thousunds of roertles for sule, yet you cun ellmlnute
ercent of them from conslderutlon by flrst determlnlng whlch of them
ure the best burgulns. 1hen you focus on how to rulse the funds to
19
ucqulre them. llnully, you declde whether to kee them for longterm
roflt or fll them for shortterm guln. lt muy sound overslmllfled, but
frunkly, thut's the world of reul estute lnvestlng ln u nutshell. llnd lt. lund
lt. lurm lt.

&CD!1KMDGHNDKH!=IJKHELK

1he sume ls true for the lnvestment mountuln. 1here ure over
c,ccc lndlvlduul stocks ln the stock murket und ulmost us muny mutuul
funds (u seclul selectlon of u vurlety of lndlvlduul stocks). 1here ls u
bewllderlng ussortment of moneymuklng methods to uly to these
stocks. Lo you use fundumentul unulysls or technlcul unulysls? And whut
ubout the bond murket? Cr certlflcutes of deoslt wlth vurylng terms und
lnterest rutes? All of thls lnformutlon gets uduted und chunged every
mlnute of every buslness duy. You cun't know lt ull!

8ut you cun determlne the zc ercent of the fucts thut wlll glve
you 8c ercent of your results. 'ust us ln reul estute, there ls u buslc
formulu. No, lt's not buy low und sell hlgh. Most llkely, you'll be buylng
hlgh und selllng even hlgher. Eere ls whut you need to know:

SCRLLNlNC ANL llL1LRlNC
1lMlNC lN
1lMlNC CU1

Multlle Streums of lncome QulckSturt Culde 20
Uslng slmle, understunduble fllters, you cun slft through the gruvel
of the murket und uncover u nugget or two. Uslng the ower of
lnexenslve (how ubout free?) tools, you cun know exuctly when to buy
und reclsely when to sell. 1he results wlll ustound you. vhen you're
flnlshed wlth thls uudlo rogrum you muy know less overull dutu ubout
the murket thun the uveruge lnvestor, but you'll ossess the key
knowledge for muklng conslstent roflts.

&CD!=EOPDHLKQ!=IJKHELK

Eow cun you select the rlght buslness oortunltles for thls tlme ln
your llfe? 1here ure tens of thousunds of "deuls' floutlng uround out
there. l've done some of the screenlng for you und nurrowed your
cholces to just four emerglng flelds of buslness. Luch fleld hus the
otentlul to creute untold numbers of success storles. l exect you to be
one of them.

1EL lN1LRNL1
1EL llLLL Cl NL1vCRl MARlL1lNC
1EL CCNCLP1 Cl lNlCPRLNLURlNC
1EL lLLAL Cl LlCLNSlNC

1he fundumentul uctlvlty behlnd ull of them ls murketlng. 1hut's why l
cull lt the murketlng mountuln und not the entrereneurlul mountuln or
the homebused buslness mountuln. vhether you're selllng u set of
21
ldeus, u servlce, or u roduct, nothlng huens wlthout murketlng.
vlthout murketlng, your web slte ls nothlng more thun u multlmedlu
blllbourd ln u corner of your busement. vlthout the oxygen of
murketlng, your buslness ls LCA (Leud on urrlvul).

ln the murketlng mountuln, you'll leurn the three key murketlng
uctlvltles:

1ARCL1lNC
8Al1lNC
LllL1lMlNC

You'll leurn whut these words meun und how to lmlement them ln
uny buslness thut you're lnvolved ln - from lurge to smull.

As you reflect buck, whlch of the money mountulns do you wunt to
cllmb? 1he unswer ls, of course, ull of them. 8ut euch mountuln ls
dlfferent und thus requlres u unlque set of skllls. Some of these skllls you
ulreudy ossess. Some you wlll be requlred to develo. vhere should we
begln?

1he flrst und most buslc of the money mountulns ls whut l cull the
lnvestment mountuln. lt ls where you should sturt.

Multlle Streums of lncome QulckSturt Culde 22
AIJO!)LOGH!.HODENB!
.JRRDGG!1K!&CD!.HIRP!=EOPDH!S!1KMDGHLKQ!)IO!&IHEF!1TLIHG!
!
l huve shured wlth you the seven skllls or secrets of roserous
eole. 1he flrst three were () vulue lt, (z) control lt, () suve lt. You wlll
now leurn ubout the fourth sklll: lnvest lt.

lnvestlng ls dlstlnctly dlfferent from the flfth sklll - muklng lt.
lnvestlng ls rlmurlly u usslve rocess. lt doesn't lnvolve the uctlve
buylng und selllng of roducts or servlces. lt slmly lnvolves the buylng
und selllng of usslve flnunclul lnstruments such us stocks, bonds,
otlons, certlflcutes of deoslt, und so forth. 1o be u greut lnvestor, you
don't huve to trunsuct buslness ln the normul sense, und you don't huve
to deul wlth eole. You cun be unonymous. You cun do everythlng from
behlnd u comuter screen wlth u modem und u telehone. Although
lnvestlng cun be done ln mlnutes u duy, the results ure uccumuluted und
comounded over long erlods of tlme.

Let's exlore the myths und reulltles of the world's flnunclul murkets.
1here ure thousunds of stocks und mutuul funds to choose from, und the
dutu ubout these lnvestment vehlcles ls chunglng every mlnute of every
buslness duy. You cun't know lt ull, so don't even try. Lon't let the
overwhelmlng umount of dutu cuuse you uny concern whutsoever. locus
only on your three slmle tusks:

23
lllterlng!
1lmlng ln!
1lmlng out!

1hese three tusks reresent the three crltlcul questlons thut you need
to unswer lf you're golng to be extremely successful ln the stock murket:

Eow cun l know whlch stocks to buy? (lllterlng out the good ones)!
Eow cun l know when l should buy them? (1lmlng your urchuses)!
Eow cun l know when l should sell them? (1lmlng your sules)!

1hls chuter wlll unswer euch of these crltlcul questlons. vhen you've
flnlshed reudlng thls chuter, you're golng to feel confldent und well on
your wuy to stock murket success.

&CD!(IET!HI!<LKKLKQ!
!
l'm golng to show you u method for wlnnlng ln the stock murket. lt's
the ldlot's urouchthe luzy wuythe slmlest wuyund, lronlcully,
the best wuy. lf you study the hlstory of the stock murket for the ust c
yeurs, you should be uble to leurn three owerfully obvlous lessons:




Multlle Streums of lncome QulckSturt Culde 24
4? &CD!+IKQDO!UIJ!1KMDGHV!HCD!+IWDO!AIJO!(LGP!
!
Suose you huened to slnk your entlre lnherltunce lnto
the murket just ut the tlme lt euked und just before u huge dl.
vlth the hlndslght of hlstory, lt's obvlous thut the storm would
eventuully blow over. Lven though lt doesn't seem so ut the tlme.
1he best strutegy would huve been to just stru yourself to the
must und hold on through the gule. 1hls would huve brought you
through sufely to u contlnulng cudence of esculutlng roflts. You
cun ulwuys wln lf you just hung on long enough"#"$%!&'()*"!+',"-!
!
1he shorter your lnvestment horlzon, the greuter your rlsk.
Suose you got lnto the murket und thlngs sturted to look bud.
lnsteud of holdlng for the longrun, you got sooked und jumed
out ufter only u yeur. vhut would be the odds of your success?

lrom through zcc, there huve been only yeurs ln
whlch the overull murket (us meusured by the S&P cc) lost
ground. 1hut's ubout one loslng yeur for every four wlnnlng yeurs.
Cver three quurters of the yeurs huve been wlnners. vhut does
thut tell you? 1he odds of wlnnlng ure ln your fuvor, nonetheless,
on u shortterm busls, you huve ubout u zz ercent chunce of loslng
ull or urt of your moneyone chunce ln four. 1hut's too hlgh u
rlsk to tuke ln the short run.

25
vould you llke to lnvest your money wlthout rlsk? 1hen, the
most lmortunt declslon you could muke toduy ls to get lnto the
murket und &+.%!+/"$" for ut leust z yeurs. Lock thut declslon ln
your mlnd, und throw uwuy the key. 1uke u lesson from the
smurtest stock lcker ln hlstory, vurren 8uffet: "My fuvorlte
holdlng erlod ls . . . forever.' 1hut's why 8uffett ls u bllllonulre,
und your stockbroker ls just u broker.

ve just unswered one of the three crltlcul questlons for the
beglnnlng lnvestor who ls lunnlng to ut some money lnto the
stock murket:

01"&+'2(3!!vhen should l sell?
4(&5"$3!!Sell somewhere between c und z yeurs from now.

lf you're not golng to do thls for the longterm, don't sturt.

6? 1X!AIJ!"EKYH!*DEH!ZDNV![ILK!ZDN

ln the ust c yeurs, out of 6,ccclus rofesslonully
munuged mutuul funds, only ubout zc were uble to beut the c
yeur erformunce of the S&P cc ufter exenses und fees.

vhenever l mentlon thls short llst of wlnners, eole ulwuys
erk u . . . for the wrong reusons. 1he lesson ls not to bet your
Multlle Streums of lncome QulckSturt Culde 26
money on the to zc rubblts ln the ruce. 1he lesson ls thut ,8c
other rubblts, ruclng wlth ull thelr mlght, couldn't outuce the
lowly tortolse. 1he rlsk of lcklng the rlght rubblt ln 6,ccc ls
rldlculous comured to the nobrulner of slmly luclng your bet
on the tortolse. ln stock murket terms, whut ls the tortolse? lt's the
S&P cc.

8y now, you've heurd of lndex funds. Cne of the most
oulur lndex funds ls u seclul mutuul fund mude u of ull cc
stocks ln the S&P cc. vhut u greut concet! lf you cun't beut the
murket, then buy the whole murket. 8et thut the entlre murket wlll
contlnue to go u . . . '(!+/"!*2()6$1(7!of course. 1here ure so muny
udvuntuges to lnvestlng ln lndex funds comured to the uveruge
rofesslonully munuged equlty mutuul fund.

lor the uveruge unsohlstlcuted lnvestor, the nobrulner
urouch ls to buy u few curefully selected lndex funds und forget
ubout them. Eere's the unswer to unother of the three crltlcul
questlons.

01"&+'2(3!!vhlch stocks should l buy?
4(&5"$3!!All of them.

8uy un lndex fund mude u of ull the stocks ln the murket.
Cdds ure, wlth thls urouch you'll do just us well us the vust
27
mujorlty of rofesslonul fund munugers und erhus much better.
You don't huve to ugonlze for months over whlch stocks to buy
und when. 'ust choose one of the to lndex lunds und forget
ubout lt for c to z yeurs.

And, thut brlngs us to the flnul questlon: vhen should l buy? 1he
obvlous unswer ls - ',,"8'.+"*%-!
!
1he sooner you buy, the longer you huve your money ut
work und the more money you huve to comound. 1uke c
ercent of your monthly suvlngs und sock lt uwuy lnto your chosen
lndex fund(s). Lo thls every month wlthout full for the rest of your
llfe.

lf you'll do thls, even lf you do (2+/'()!"*&" l descrlbe to you,
then, ln due tlme, the flood gutes of roserlty wlll our lnto your
llfe. My goul ls to hel you oen those floodgutes much sooner.

So, let's revlew whut we've leurned:

You must sturt your lnvestlng rogrum lmmedlutely,
lndex funds ure the sufest, slmlest wuy to lnvest ln the murket,
Longterm lnvestlng ls fur less rlsky thun shortterm lnvestlng.

!
Multlle Streums of lncome QulckSturt Culde 28
AIJO!.DRIKT!.HODEN!
$RRDFDOEHDT!.HIRP!.HOEHDQLDG!S!)IJO!<EUG!HI!=EQKLXU!AIJO!(DHJOKG!
!
So, you wunt to be more uggresslve wlth your lnvestments? vell,
hold onto your hut. ve'll sturt slow, but soon we'll be flylng ut Much ! l
wlll teuch you how to lnvest the ortlon of your stock ortfollo
deslgnuted for your moderutely uggresslve buslneurnlng zc to zcc
ercent on your money unnuully.

l wlll shure wlth you four wuys (or systems) for flndlng funds und
stocks thut huve the hlghest robubllltles for not only beutlng the
murket, but ulso trounclng lt. Let's begln wlth the euslest suggestlon:

.UGHDN!4B!!+DH!HCD!=EGHDO!'LNGDFX!=EKEQD!AIJO!=IKDU!
!
vho ls the muster of the lnvestment world? vurren 8uffett. Ee ls,
wlthout questlon, the greutest stock lnvestor of ull tlme. l flrst leurned of
8uffett when the stock of hls holdlng comuny, 8erkshlre Euthuwuy wus
selllng for un ustronomlcul sc,ccc u shure. lt wus then, und stlll ls, the
slngle most exenslve stock ln the world. 8uffett doesn't belleve ln
sllttlng hls stock rlce, so lf you wunt to own u lece of lt, you must
wrlte u very lurge check for even u slngle shure. ln essence, 8erkshlre ls
8uffett's own mutuul fund.

!
29
.UGHDN!6B!!.DFDRH!=JHJEF!)JKTG!WLHC!HCD!+IKQDGH\HDON!&OERP!(DRIOT!
!
lf you don't wunt to bet on 8uffett's selectlon of stocks ln
8erkshlre Euthuwuy, then erhus you'd llke to choose unother mutuul
fund to beut the murket. Let's ussume you could select only one of two
funds. Cne fund hus conslstently beuten the murket wlth u zc ercent
er yeur comounded unnuul return for the ust c yeurs ln u row,
comured to ,.z ercent for the S&P cc. 1he second fund eurned u
wholng , ercent ln the ust z months ulone, outuclng the entlre
cyeur truck record of the murket ln u slngle yeur! You're ut the bettlng
wlndow, trylng to choose between these two horses. Lo you go wlth the
hot horse or the conslstent wlnner? Muke your cholce. 1he horses ure ut
the gute, restless ln thelr stulls. You ruldly juggle the numbers ln your
mlnd. lf the hot fund could reeut lts erformunce for only u few more
yeurs, you would be rlch. lmuges of yuchts und jewels und exotlc luces
bounce uround ln your bruln. You could get used to thut!

Chooslng u fund bused on u shortterm truck record slmly doesn't
work. ln fuct, lt mlght even be un lndlcutor thut thls ls the *.&+ fund you
should be uttlng your money lnto. Lxcellent shortterm results muy be
the clue thut you should run for cover. lt would be nlce to be on the
horse when lt surges to the front of the uck und then rlde lt for ull lt's
worth. 8ut how cun you flnd thls fund 9":2$" lt mukes lts move? 1hut's
the trlck. 1here ls u wuy to do lt, but lt's fulrly rlsky. lor now, let's go for
the more conservutlve ulternutlve over the ust c yeurs.
Multlle Streums of lncome QulckSturt Culde 30

1here huve been funds thut huve beuten the murket, yeurln und
yeurout, over u long erlod of tlme, und, lt's relutlvely eusy to flnd them.

.UGHDN!7B!!.DFDRH!#KFU!)LKEKRLEF!$TMLGIOG!WLHC!HCD!!
+IKQDGH!&OERP!(DRIOTG!
!
l've been to u ruclng truck only u few tlmes ln my llfe. A frlend of
ours owned u rucehorse und lnvlted us to Lel Mur to wutch lt run (lt
flnlshed flfth). As we wulked onto the grounds, there were severul
booths of eole huwklng hundlcuer newsuers thut offered udvlce
on whlch horses to be on. Suosedly, these exerts hud tuken ull
fuctors lnto conslderutlon (the horse, the jockey, the truck, the weuther,
etc.) und were wllllng to shure thelr to lcksfor u rlce. Although the
stock murket ls not u bettlng truck, there ure hundreds of exerts who
wlll sell you thelr unulyses.

You'd huve to huve llved ln u cuve for the ust yeur not to huve
recelved u boxcur full of junk mull toutlng thls or thut exert's system for
muklng huge returns from the stock murket. 1hese offers sound ulmost
too good to be true. l've gone through my junkmull flle of ust
newsletter offerlngs und culled u hundful of heudllnes und clulms for you:

!;<25!+2!=.>"!.!='**'2(!?2**.$&!'(!+/"!@+2A>!=.$>"+B![Cost for
the system, s|
31

!;C("!&"*"A+!)$21D!2:!+$.8"$&7!1&'()!2("!&"A$"+!+$.8'()!&%&+",7!
D'*"8!1D!.!/1)"!EFG!,'**'2(!82**.$!D$2:'+!'(!HIIJ!K!K!K!L(!:.A+7!
+/"&"!5'(('()!+$.8"$&!/.#"!,.8"!.+!*".&+!HMM!,'**'2(!82**.$&!
D"$!%".$!:2$!+/"!*.&+!8"A.8"--B!![Cost for the semlnur, sz,cc|
! !
Eey, who needs vurren 8uffett? All you need to do ls lunk down
u few hundred bucks, und you, too, cun be u mllllonulre. Are uny of these
offers legltlmute? l don't know. Eere's whut l do know: 8efore l send u
dlme on uny udvlsory servlce, l'm golng to buy some lowcost
lnformutlon.


.UGHDN!0B!!"IKGLTDO!'LQC\]IWDODT!.HIRP!.DRHIO!)JKTG!
!
So fur, we huve tulked ubout three strutegles:

.HOEHDQU!4: Rldlng the couttulls of u slngle tlmetested brllllunt
lnvestor, the legendury vurren 8uffett.
.HOEHDQU!6: Relylng on the munugement of mutuul funds wlth the
best longterm truck records.
.HOEHDQU!7: Relylng on the flnunclul udvlsors wlth the best long
term truck records.

Multlle Streums of lncome QulckSturt Culde 32
l usked my frlend und mutuul fund guru, 8lll Lonoghue, ubout one
of hls fuvorlte ucceleruted stock lnvestment systems. 8lll ls one of the
world's remler flnunclul udvlsors over the ust zc yeurs und uuthor of c
nutlonul bestsellers, wlth .z mllllon coles of hls books ln rlnt.

Accordlng to 8lll, when u rofesslonul lnvestor looks ut the entlre
murket, he or she cun vlew lt elther vertlcully or horlzontully:

789:;<=>>?!N!8y slze or murket cultullzutlon. You choose umong
vurlous lndex funds (lurgecu, mldcu, und smullcu domestlc
stock lndexes, Luroeun or Aslun stock lndexes, or returns tled to
the vulue of the cyeur 1reusure 8ond).

0@9;A@B:=>>%!N!8y lndustry or murket sector. You choose umong
vurlous sector funds (Utllltles, Lnergy, Lnergy Servlces, Llectronlcs,
llnunclul Servlces, 1echnology, etc.).

Remember thut chooslng u fund bused on u shortterm truck
record slmly doesn't work. lt would be nlce to be rldlng the horse when
lt surges to the front of the uck. 8ut how cun you flnd thls fund us lt
beglns to muke lts move? 1hut's the trlck. Eow cun you know whlch of
the sector funds ls golng to be hot ln the neur future? Cnce uguln, we
turn to our mutuul fund guru, 8lll Lonoghue, for the unswer. Ee wrltes:

33
L(!5/.+!'(#"&+,"(+!:1(8O&P!&/.**!L!'(#"&+Q!4/7!+/.+!'&!R<S!)$".+!
'(#"&+,"(+!T1"&+'2(K!R/"!.(&5"$!'&!.A+1.**%!&1$D$'&'()*%!
&',D*"K!U2**25!+/"!&+2A>!,.$>"+V&!D$'A"!+$"(8&K!R/"!,.$>"+!
'+&"*:!5'**!+"**!%21!5/"$"!'+!'&!D.%'()!+/"!9"&+!$"+1$(&K!
W").$8*"&&!2:!&+2A>!,.$>"+!;"XD"$+&VB!D$"8'A+'2(&7!+/"!&+2A>!
,.$>"+V&!,2#","(+!'&!+/"!$".*'+%!5'+/!5/'A/!5"!52$>K!R/"!
,.$>"+!'&!.*5.%&!$')/+K!@2,"+',"&7!:'(8'()!+/"!&+2A>!,.$>"+V&!
8'$"A+'2(!.(8!:1+1$"!+$"(8!'&!&',D*%!*22>'()!.+!5/"$"!'+!/.&!
9""(!$"A"(+*%K!

1he *2()6+"$, trend ln the stock murket ls obvlously uwurd.
lnflutlon ulone wlll most llkely drlve the murket u over tlme. ln the very
&/2$+!+"$,!(duytoduy), the stock murket cun be very unredlctuble.
Some duys lt ls u, some duys lt ls down. 8ut, contrury to whut most
belleve, even ln u bull murket, the stock murket ls down ubout c ercent
of the duys.

lnvestlng strutegles us the new mlllennlum rogresses ure golng to
be very excltlng, und well they should be. ve ure ull fuclng the reullty
thut we wlll "llve longer und roser.' Emmm, thut hus u fumlllur rlng to
lt.

Multlle Streums of lncome QulckSturt Culde 34
AIJO!&CLOT!.HODEN!
2IJ^FD!AIJO!=IKDU!LK!HCD!=EOPDH!
'IW!HI!=JFHL]FU!UIJO!1KMDGHNDKH!2IFFEOG!
!
ve huve been dlscusslng how to lnvest 8c ercent of your
lnvestment dollurs lnto long und lntermedluteterm lnvestments, such us
lndex funds, uggresslve mutuul funds, und stocks. l wlll now tell you
where l belleve some of the remulnlng zc ercent of your dollurs should
be lnvested. 1hls ls your most uggresslve ortfollo. 1o do thls, we'll
shorten our tlme frume, nurrow our focus, und (hoefully) double our
money. Yes, there ure wuys to double your money ln the murket lf you're
wllllng to tuke some extru rlsks und emloy the ower of leveruge.

Y"#"$.)"!K!K!K!lnterestlng word. vhut does lt meun? ln the flnunclul
world lt meuns controlllng u lurge umount of weulth wlth u smull umount
of money. Eow does leveruge work? llrst, let's tulk ubout u reul estute
exumle, und then we'll dlscuss the stock murket.

Let's ussume thut two fumllles buy thelr flrst scc,ccc home. Mr.
und Mrs. Cush use u scc,ccc lnherltunce und uy cush for thelr home.
Mr. und Mrs. Leveruge ut down sc,ccc und urrunge for u sc,ccc
mortguge. Let's ussume thut both homes ureclute s,ccc ln vulue
ulmost lmmedlutely.

35
1he Cush fumlly eurns u return on thelr lnvestment of ercent
(s,ccc scc,ccc = roflt). 1he Leveruge fumlly hus the ower of
leveruge on lts slde. Slnce they lnvested only sc,ccc, the return on thelr
lnvestment ls c ercent (s,ccc sc,ccc = c roflt). Cf course,
rlces could decllne und then leveruge would work ln reverse. 8ut
becuuse reul estute rlces tend to lncreuse over the longterm, most
homeowners end u wlth longterm gulns.

1he ower of leveruge glves the beglnnlng lnvestor the ublllty to
control u lot of reul estute wlth only u smull umount of money. 1he
ower of leveruge emloyed wlth the stuble nuture of reul estute ls u
longterm sureflre wlnner. lt ls, wlthout questlon, the reuson thut u lurge
ercentuge of the ersonul weulth ln the world ls uccumuluted ln the
uveruge fumlly's slnglefumlly home.

Cun you uly leveruge to the stock murket? Absolutely! Any stock
lnvestor, uslng hls or her stock us colluterul, cun borrow u to c ercent
of the vulue of the stock to buy more stock. 1hls ls culled 91%'()!2(!
,.$)'(K!1he roblem wlth buylng lndlvlduul stocks on murgln ls thut,
unllke reul estute, stocks ure volutlle. 1hut ls, stocks often show wlde
swlngs ln rlce over u short tlme sun. Reul estute ls generully exemted
from thls degree of volutlllty. ln the short term, thls volutlllty ln stocks
cun be very dungerous to your weulth. lt's llke bettlng your rent money
on the sln of the roulette wheel. Eowever, the use of leveruge ln the
stock murket cun be very owerful.
Multlle Streums of lncome QulckSturt Culde 36
l um golng to shure wlth you u wuy to use leveruge ln the stock
murket thut, lf used wlth rudence, cun roduce sectuculur returns.

Let's go buck to reul estute to rovlde un exumle. ln the
beglnnlng of my reul estute lnvestlng exerlence, l stumbled onto u
technlque thut mude u nlce roflt for me. l wus leurnlng the roes of reul
estute lnvestlng by worklng us u llcensed reul estute ugent. My boss wus
u reul estute urulser numed Puul 8rown. Cne duy u cllent cume ln to
request un urulsul on u fourucre lece of vucunt ground. As he wus
leuvlng, he stoed to chut und mentloned thut the lund hud been
donuted to u locul church muny yeurs eurller when the roerty wus
nothlng but u cow usture. ln the ensulng yeurs, develoment hud
croed u uround the usture, und lts vulue hud slgnlflcuntly
urecluted. 1he church wus ln no hurry to sell the roerty und just
wunted to determlne lts uroxlmute vulue. 1he mun hlnted thut the
church mlght be wllllng to sell un otlon on the roerty. "vhut's un
otlon?' l usked. Ee exlulned lt to me thls wuy:

@1DD2&"! %21$! 92&&! .DD$.'&"&! +/'&! D$2D"$+%! +28.%! .+! ZFMM7MMMK!
R/"! A/1$A/! /.&! +52! A/2'A"&K! L+! A.(! *'&+! +/"! D$2D"$+%! 5'+/! .!
W".*+2$! :2$! ZFMM7MMM! .(8! 5.'+! :2$! .(! 2::"$K! @1DD2&"! &"#"$.*!
,2(+/&! )2! 9%! .(8! &2,"2("! 2::"$&! 1&! ZFMM7MMMK! 4:+"$!
A2,,'&&'2(&! 2:! .921+! ZHF7MMM7! 5"V**! ("+! .921+! ZHJJ7MMMK!
R/.+V&! +/"! :'$&+! A/2'A"K! R/"! &"A2(8! A/2'A"! 521*8! 9"! +2! &"**! .(!
2D+'2(! 2(! +/"! D$2D"$+%K! @1DD2&"! .(! '(#"&+2$! 5.(+&! +2! )'#"! 1&!
37
ZHM7MMM!:2$!+/"!$')/+!+2!*2A>!'(!+/"!D$'A"!:2$!.!%".$!.+!ZFMM7MMMK!
L:! +/'&! '(#"&+2$! '&! .9*"! +2! &"**! +/"! D$2D"$+%! +2! &2,"2("! "*&"! :2$!
,2$"! +/.(! ZFHM7MMM7! +/"(! +/"%! )"+! +2! >""D! +/"! 8'::"$"(A"! .&! .!
D$2:'+K!<25!82"&!+/"!A/1$A/!5'(Q!L+!)"+&!.!:1**!ZFMM7MMM!'(!A.&/!
D*1&!+/"!2D+'2(!,2("%!2:!ZHM7MMMK!4(87!'+!82"&(V+!/.#"!+2!D.%!.!
D"((%!'(!A2,,'&&'2(&K!C9#'21&*%7!+/'&!'&!.!5'(65'(!&'+1.+'2(K!
!
l wus lntrlgued, but sketlcul. ve urted comuny, but l contlnued
to stew over the numbers. As un ugent, l hud been trulned to huve sellers
glve me u llstlng. 8ut thls seller wunted me to uy hlm sc,ccc u front. lf
l couldn't sell lt, l'd lose everythlng. lt seemed extremely rlsky, but l hud u
owerful hunch to move forwurd.

l went to vlslt the gentlemun und mude one of the most futeful
declslons of my llfe. l told hlm thut l dldn't huve sc,ccc, but thut l would
glve hlm s,ccc lf he would lock ln the rlce ut szcc,ccc for one yeur.
After u moment's thought, he ugreed. ve shook on lt, und l left.

1here wus only one roblem. l dldn't huve the s,ccc und l dldn't
know where l could get lt. Aguln, on u hunch, l took u dentlst frlend over
to look ut the roerty. l told hlm thut lf he ut u the money, l would
hundle flndlng u buyer. Ee dldn't huve s,ccc elther, but he thought he
could borrow lt from hls bunker. So, we formed u urtnershl. Ee would
come u wlth the money, und l would guuruntee hlm u cc ercent roflt
Multlle Streums of lncome QulckSturt Culde 38
lf there wus u roflt, or l would guuruntee to uy hls loun to the bunk lf
thlngs dldn't un out.

A few duys luter, when l slgned my nume to thut otlon, l knew my
neck wus reully on the llne. lf l couldn't move the roerty, l would be
suck for the entlre s,ccc loss.

1o my greut rellef, months luter l found u bullder who wus
looklng for just such u roerty on whlch to bulld un uurtment bulldlng.
Ee offered sz,,ccc ln cush. l reudlly ucceted. At the closlng, the church
recelved lts szcc,ccc ln cush. My dentlst frlend recelved sz,ccc, whlch
uld buck hls bunk loun und ut u nlce roflt lnto hls ocket. After costs,
my broker und l sllt the remulnlng s6c,ccc ln cush. (l wus stlll slngle, so l
took my sc,ccc roflt, bought u vv bus ln Cermuny, und toured Luroe
wlth u coule of buddles.)

S#"$%928%!won. 1he church mude more money thun lt would huve
by llstlng the roerty for sule. My urtner doubled hls money. And,
lnsteud of u smull commlsslon, l mude u sc,ccc fee for tuklng the rlsk
und uttlng the trunsuctlon together. 1hls wus my flrst exosure to
otlons.

vhen lt comes to the stock murket, the concet of otlons ls
exuctly the sume. Some owners of stock ure wllllng to sell un otlon on
thelr stock for u fee. 1he seller of the otlon gets lmmedlute lncome
39
from the sule of the otlon, und the buyer of the otlon gets the rlght,
but not the obllgutlon, to buy the stock ut u future dute ut u flxed rlce. lf
the stock lncreuses ln vulue enough, the erson who bought the otlon
cun roflt. lf the stock doesn't lncreuse ln vulue on or before u future
dute, the otlon exlres, und the money ls lost.

Sounds rlsky und lt ls. 8ut just us ln my reul estute exumle, lf you
luy your curds rlght, you cun wln, und wln blg.

A flnul word of wurnlng ubout trudlng ln the otlons murket:
Although l've glven you enough lnformutlon to brouden your
understundlng of u few of the strutegles ln the excltlng but
otentlully dungerous world of otlons, you obvlously need to do
much more study before you commlt uny of your reul dollurs to
thls urouch. Eere ure slx rules:

. &=C89( :9=D8( E;9F:K! ! You should uer trude for ut leust three
months. Never lnvest reul money wlthout u successful uer
trudlng truck record.

z. .8G89(;BG8F:(H@B8?(?@I(<=BJ:(=EE@9D(:@(>@F8K!!llrst, estubllsh u
survlvul fund. 1hen commlt 8c of your stock murket funds
to long und medlumterm lnvestment urouches. Conslder
otlons only for the shorttermjhlghrlsk ortlon of your
ortfollo.
Multlle Streums of lncome QulckSturt Culde 40

@+18%7! &+18%7! &+18%-! ! Your flrst luce for free lnformutlon
ubout otlons ls the web slte of the Chlcugo 8ourd Ctlons
Lxchunge (www.cboe.com). Cllck on the Lducutlon llnk,
where you'll flnd lenty of free tutorluls und some free
softwure1he Ctlons 1oolbox. lf you're u beglnner, the
tutorluls here ure u blt dlfflcult to follow, but us you leurn the
llngo, you'll do flne.

. 'F:=K>;FL( =( H8B:@9;BM( 98>=:;@BFL;CK! ! llnd someone who not
only understunds the world of otlons, but who ulso
conslstently mukes money trudlng ln the reul world . . . und
uy them to teuch you how to do lt. 1he money wlll be well
sent. 'ust one ldeu or strutegy or money munugement
system could uy for your tultlon cc tlmes over. 1he best
luyers ln the world need couches. Lven the Lone Runger
hud 1onto. Lon't go lt ulone.

. 3@BJ:(@G89N<@HH;:K lnvestlng ln otlons cun be excltlng. 8ut don't
get +22!"XA'+"8. 8e rudent. Lr. Cooer's rules for money
munugement wlll kee your enthuslusm ln check: Commlt no more
thun z ercent of the funds ln your hlgh rlsk bucket to uny slngle
trude lf your uccount ls under sz,ccc. lf your uccount ls over
sz,ccc, buy flve or more contructs u to u dollur umount of no
more thun c ercent of the uccount. Cther exerts lnslst on even
41
tlghter money munugement rules. Lr. Alexunder Llder
recommends rlsklng only z ercent of your uvulluble cultul on uny
one trude.

. 3@BJ:(<@BEIF8(K9=;BF(E@9(=(KI>>(H=9O8:K Any system ls golng to look
good durlng u bull murket. vhen thlngs go south, slt on the
sldellnes ! or return to uer trudlng. lt muy be thut the system ls
not broken ! erhus lt's just not the rlght tlme to be trudlng wlth
thls system.

Cood Luck ln doubllng your money.

!

Multlle Streums of lncome QulckSturt Culde 42
AIJO!)IJOHC!.HODENB!
<LKKLKQ!*LQ!LK!(DEF!,GHEHD!

Lo you remember the story Acres of Llumonds, told so fumously
by Russell E. Conwell? lt's ubout u mun who dreumed of ownlng u
dlumond mlne. Ee sold hls furm, took the money, und wusted hls llfe ln u
futlle seurch. lronlcully, the mun who bought hls furm wus looklng ln the
streum behlnd the furmhouse und notlced u brllllunt, shlny stone
glltterlng ln the wuter. Yes, lt wus u dlumond. 1hus wus dlscovered the
fumous dlumond mlne from whlch cume muny of the crown jewels of
Luroe. 1he furm wus slttlng uto ucres of dlumonds! 1rue story.

Muny of us ure llke the mun golng off ln seurch of dlumonds. ve
wuste tlme, money, und energy ln endless moneymuklng schemes whlle
the greutest source of weulth ls lylng rlght ut our feet - reul estute.

Lverybody knows thut one of the smurtest wuys to muke serlous
money ls ln reul estute. ln the long run, the lurgest usset most eole
ever huve ut retlrement ls the equlty ln thelr own home. Accordlng to un
urtlcle severul yeurs ugo ln Reuder's Llgest, the uveruge net worth of the
uveruge North Amerlcun homeowner wus s6,ccc. 1he uveruge net
worth of the uveruge renter wus only s,z. About c tlmes less.
Cbvlously, you've got to get lnto u home. And lf you've ulreudy
urchused your own home, you've got to leurn how to turn lt lnto u cush
muchlne.
43
1he medlun roerty rlce ln zccc wus s,6cc rlslng to szz,cc
ln zcc,, neurly doubllng ln seven short yeurs. 8ut even lf roerty vulues
don't contlnue to lncreuse, l'll show you technlques for buylng roertles
so fur below murket thut you won't cure whether rlces ln your clty ever
urecluted uguln.

'IW!UIJ!REK!^JLFT!E!ODEF!DGHEHD!XIOHJKD!GHEOHLKQ!WLHC!FLHHFD!IO!KI!NIKDU!
TIWK?!

1he secret to buylng roerty creutlvely ls to look for hlghly
motlvuted sellers, whlch l cull "don't wunters.' 1he rocess ls more thun
mere burguln huntlng. lt's huntlng for the rlght klng of seller, then trylng
to determlne lf the roerty ls u good vulue. 1hls rocess conslsts of
three crltlcul uctlvltles.

. llndlng
z. lundlng
. lurmlng

So whut ure some wuys to flnd hlghly motlvuted sellers or those once
ln u llfetlme deuls? 1here ure nlne sources of lnformutlon for flndlng
hlghly motlvuted sellers.

. Newsuer clusslfled uds
z. Reultors
Multlle Streums of lncome QulckSturt Culde 44
. Your own shere of lnfluence
. locused wunderlng uround
. 8unks und llnunclul lnstltutlons
6. Your own uds
,. Llrect mull
8. lnvestment clubs, ussoclutlons, und exchunge grous
. Cther rofesslonuls

Cnce you've found u motlvuted seller you stlll need to verlfy the
roerty ls u deul. l've creuted u reul estute burguln flnder thut ullows
you to score u roerty before you even conslder buylng lt und wlll hel
you determlne lf lt's u good deul. You cun go to
www.multllestreumsoflncome.com : keyword burguln flnder.

After you've verlfled lt's u good deul, you need to know how to
flnunce burguln roertles.

vhen l flrst wrote Nothlng Lown, the number one ulltlme best
selllng reul estute book, very few eole belleved thut you could uctuully
buy roerty for llttle or no money down. l hud to rove lt by lssulng my
nowfumous chullenge to the Los Angeles 1lmes:

"Send me to uny clty. 1uke uwuy my wullet. Clve me scc for llvlng
exenses. And ln ,z hours, l'll buy un excellent lece of roerty uslng
none of my own money.'
45
vlth u LA 1lmes reorter by my slde, ln , hours l bought seven
roertles worth s,zz,,. And l stlll hud szc left over. 1he heudllne
reud

"[1%'()!/2,"!5'+/21+!A.&/3![2.&+:1*!'(#"&+2$!.AA"D+&!+',"&!A/.**"()"!N!
.(8!\'(&'

Yes, these technlques work. Nothlng down doesn't meun there ls
no cush lnvolved. lt just meuns thut lt's not your cush. l wunt to oen
your mlnd to the osslblllty thut solutlons exlst besldes those of
conventlonul lendlng.

8ecuuse there ure so muny nothlng down technlques, l'll need you
to vlslt my webslte to get u comlete llst und exlunutlon of the c
greutest nothlng down technlques.

Aguln thut webslte ls www.multllestreumsoflncome.com keyword:
Nothlng Lown

Now thut you've been uble to fund your lnvestment roerty, lt's tlme
to hurvest your roflts. 8efore you buy, you should huve un ldeu of how
to lntend to hurvest your roflt. You cun do lt z wuys.

. 8uy und Eold wlth the lntentlon of becomlng u lundlord.
Multlle Streums of lncome QulckSturt Culde 46
z. llllng wlth the lntentlon to buy below murket und resell lt
qulckly for roflt.

8uylng und holdlng ls ubout cushflow roflts. llllng ls ubout equlty
roflts. l've ulwuys udvocuted thut my student should do both: 8uy ut
leust one roerty er yeur to hold ln your longterm ortfollo, und fll ut
leust one roerty er yeur for shortterm roflt.

47
AIJO!)LXHC!.HODENB!
$!)IOHJKD!LK!)IODRFIGJODG!EKT!)FL]]DOG!

1he stutement l mude ln my flrst book stlll holds true. "Lon't wult
to buy reul estute. 8uy reul estute und wult.'

ve know thut, glven enough tlme, u roerty we buy below the
murket toduy cun eventuully be remurketed for u roflt. ln the
meuntlme, we muy huve to muke monthly uyments, resolve u bud
tenunt sltuutlon, ugrude or renovute the roerty, resolve u zonlng
lssue, or flnd u solutlon to u myrlud of other roblems. ln other words,
we muke money by solvlng roblems. 1he more roblems we solve, the
more money we muke.

1here ure severul roblems thut muy force eole to sell thelr
roerty. 1he more deserute eole become, the qulcker they need u
sule und the more flexlble they wlll become. 1he only wuy to offer u
qulck sule ls to do one of two thlngs: Lower the rlce, or come u wlth
uttructlve flnunclul terms, such us u low down uyment. As u reul estute
burguln hunter, you must huve somethlng ut wholesule, rlce or terms
und referuble both. lf not, don't buy.

More burgulns ure uvulluble ln the ureu of foreclosures thun ln uny
other ureu of reul estute.

Multlle Streums of lncome QulckSturt Culde 48
vhy would lndlvlduuls wulk uwuy from u erfectly good roerty?
vhy would they be wllllng to rlsk rulnlng thelr credlt rutlng? vhy would
they fuce the emburrussment of huvlng to be forced out of thelr home?

vell for whutever reuson, uccordlng to Reulty1ruc, .z mllllon
homes went to foreclosure lust yeur. 1hut's cc,ccc u month ln North
Amerlcu. Eow muny of those do you need to buy to eurn enough roflt
to equul or exceed your current yeurs sulury?

'ust one.

Cne good roerty bought und sold could suort you for u yeur!
ln fuct, lf you erslst long enough, l belleve you'll flnd ut leust one
burguln roerty thut's good enough to set you u for llfe. 8ut you're
robubly not wllllng to belleve thut yet. So let's lower the exectutlons
und ussume thut sometlme ln the next flve yeurs, wlth conslstent
seurchlng, you'll flnd one excellent roerty thut you cun buy ut zc
ercent below the murket. Lo you thlnk thut's reullstlc? Lven lf reul
estute ls not you "thlng'. You should ut leust be wllllng to leurn u few
buslcs so you cun buy your ersonul resldence ut u substuntlul dlscount.

*EOQELK!CJKHLKQ!LK!XIODRFIGJODG!
!
Cne of the most effectlve wuys to flnd u wholesule roerty ls to
look for foreclosures. vhen roerty owners full to muke the monthly
49
uyments on thelr mortguges, thelr louns become dellnquent. Luch
lendlng lnstltutlon hus dlfferent guldellnes for hundllng dellnquencles.

lt usuully sturts wlth u nlce remlnder letter usklng the customer to
brlng hls or her uyment utodute. 1hls ls followed by serles of
lncreuslngly threutenlng letters leudlng u to u formul notlce of defuult.
Leendlng on where you llve, the tlme frume between the notlce of
defuult und the uctuul foreclosure sule cun be c to 6 duys. 1here ulso
muy be u erlod of redemtlon ufter the foreclosure sule. Cenerully
seuklng, however, most stutes huve cduy foreclosure rocess wlth no
redemtlon erlod. After mlsslng u uyment, most homeowners ure
technlcully c duys uwuy from loslng thelr home.

1here ure four lmortunt huses ln the foreclosure rocess:

! Presule, before the lender flles the notlce of defuult ut the
courthouse.
! Presule, ufter the lender flles the notlce of defuult
! At the foreclosure sule
! Postsule

!
!
!
!
Multlle Streums of lncome QulckSturt Culde 50
/ODGEFDB!*DXIOD!KIHLRD!IX!TDXEJFH!

Luch huse hus lts udvuntuge und lts dlsudvuntuges. lor exumle,
the leust cometltlon wlll occur before the bunk flles notlce of defuult. ln
essence, the only eole who know of the dellnquency ure the lender
und the roerty owner. Unfortunutely, lt ls very dlfflcult to flnd these
eole. You huve to flush them out wlth your own uds ln the newsuer
und your own blrddogglng.

/ODGEFDB!$XHDO!KIHLRD!IX!TDXEJFH!
!
After the notlflcutlon hus been flled ut the courthouse, lt becomes
u mutter of ubllc record. 1here ure severul foreclosure servlce
comunles thut seurch out these notlflcutlons und sell u subscrltlon to
those who ure wllllng to uy for thls lnformutlon. Cenerully, the sellers
become lncreuslngly flexlble us the foreclosure dutes druws neur. Stlll,
there ure other buyers to comete wlth.

$H!HCD!XIODRFIGJOD!GEFD!
!
lf the roerty mukes lt to the foreclosure sule, you huve only one
otlonto uy off the mortguge holder ln full. 1herefore, lt tukes u lot
of cush to be blddlng ut u foreclosure sule: lf you wln the bld, you huve
only u short tlme to uy for the roerty. l encouruge you to vlslt your
courthouse, flnd out when the next foreclosure sule tukes luce, und
51
show u to wutch. You'll flnd muny of the roertles due to be sold thut
duy huve been wlthdruwn for vurlous reusons. Cf the roertles
remulnlng, the vust mujorlty huve llttle equlty und therefore no one blds
on them und the lendlng lnstltutlon tukes them buck. A smull number of
roertles ure reully worth blddlng on.
Cccuslonully, there ls un excetlonul burguln. Sometlmes you end
u ln u blddlng wur wlth unother lnvestor. Cne of my beglnnlng students
begun blddlng wlth u seusoned lnvestor. vhen the blddlng stoed, my
young student hud won the bld. Ee wus then urouched by the
seusoned lnvestor, who mude hlm un lmmedlute cush offer of sz,ccc to
tuke over hls osltlon on the roerty. Ee ucceted sz,ccc ln cush for
mlnutes of work. l don't recommend uttemtlng to buy your roertles
ut u foreclosure sule the flrst tlme uround, but lt ls lnstructlve to wutch
whut goes on.
/IGH!GEFD!!
Cnce lenders huve foreclosed on u roerty, those lenders become
remurkubly more flexlble. Now lt's thelr roblem und they wunt to get rld
of ltthey uctuully show muny slgns of "don'twunterltls." 1hey cun even
be convlnced, under the rlght clrcumstunces, to sell the roerty to you
for less thun the mortguge. 1hls ls referred to ln the lndustry us u short
sule. lor lnstunce, suose u lender foreclosed on u scc,ccc house wlth
u s,ccc mortguge. lf no one blds ut the uuctlon, the lender gets the
house buck. Muny tlmes the lender wlll conslder un offer for less thun
Multlle Streums of lncome QulckSturt Culde 52
s,ccc und tuke u loss to get rld of lt.
*EOQELK!#]]IOHJKLHU!6B!)FL]]DOG!
!
vhenever you muke un offer to urchuse u roerty ut rlce ln
number of duys, you slgn u slmllur legul document. lt's culled un offer to
urchuse. ln essence, un offer to urchuse ls u shortterm otlon. lt ls u
legully blndlng ugreement thut obllgutes the seller to sell the roerty to
you wlthln u seclflc tlme frume. lor exumle, suose you offered to
buy u scc,ccc home wlth u closlng dute 6c duys ln the future. ln
essence, you huve u 6cduy otlon on thls roerty wlth u lockedln rlce
of scc,ccc. vhut lf someone urouched you durlng thls 6cduy erlod
of tlme, before you hud uctuully tuken tltle to the roerty, und offered
you sc,ccc for your osltlon? Could you sell your "osltlon" to thls new
buyer und ocket the sc,ccc roflt? 1he unswer ls muybe. (Cf course,
these klnds of questlons should ulwuys be dlscussed wlth u cometent
reul estute uttorney.)
ln theory und l emhuslze "ln theory," you should be uble to
sell your osltlon to unother lndlvlduul, who then comletes the
urchuse ln your luce. 1o strengthen your legul osltlon, l
recommend thut whenever you flll out un offer to urchuse uny
roerty, you udd these words to your contruct: "undjor usslgns."
lor exumle, when l buy roerty ln my own nume, l wrlte my
nume us follows: "Robert C. Allen undjor usslgns." ln theory, thls enubles
me to "fll" my contruct to someone who muy wunt to buy lt. vhen you
53
slgn your nume to un offer you should ulwuys lnclude, those three muglc
words ufter your nume: "undjor usslgns." 1hls glves you the rlght to
urchuse u roerty undjor to usslgn your contruct to someone else.
vhether you're flllng for cush or flllng for cush flow (us dld
our Phoenlx lnvestor), flllng cun be one wuy to creute substuntlul
roflts und extru streums of lncome.
Multlle Streums of lncome QulckSturt Culde 54
(DEF!,GHEHD!.J]DORCEOQDO!
9!/IWDOXJF!<EUG!HI!,EOK!65_!IO!=IOD!IK!AIJO!=IKDU!

l'm golng to show you wuys to suerchurge your reul estute
lnvestments to yleld ut leust zc ercent er yeur RCl, regurdless of whut
huens to the overull murket. l hoe you're beglnnlng to reullze thut
reul estute ls un umuzlng und versutlle lnvestment vehlcle us long us you
ure flexlble und creutlve enough to try dlfferent urouches.

Cne of the most obvlous wuys to luy the reul estute gume ls to
seurch for burgulns. You certulnly don't wunt to get cuught uylng full
rlce the wuy most eole do. lf you uy full rlce for your roerty,
then you're seculutlng thut the roerty wlll ureclute ln vulue.
Eowever, whut lf lt doesn't? l chullenge you to muke money the duy you
buy euch roerty. 1hut's lnvestlng. 1hls requlres some burguln
huntlngslftlng through hundreds of shlny, cublc zlrconlun, fuke gems
to flnd the reul dlumonds ln your murket. Revlew the llst of reusons why
some eole ure wllllng to sell thelr roerty qulckly. 1hen suy uloud
wlth me now, "l refuse to uy retull, l refuse to uy retull, l refuse to uy
retull.'

vhut klnd of dlscount cun you exect? Let's ussume lt's osslble to
buy u roerty ut c ercent below murket. lt won't be eusy. lt wlll
requlre some serlous slftlng. 8ut u c ercent dlscount ls certulnly
osslble. Sometlmes even more. A tylcul sc,ccc slngle fumlly home
55
could be urchused for s,ccc. Let's ussume your down uyment on
thls dlscounted roerty ls s,ccc, whut would be your return on
lnvestment on the very duy you wulk out of the escrow huvlng urchused
the roerty?

Your s,ccc equlty roflt dlvlded by your s,ccc cush lnvestment
glves you cc ercent return on you money.

vhut?! Cne hundred ercent!

No wonder eole become exclted ubout reul estute. My flrst und
most fumous book ls tltled, Nothlng Lown: A Proven Progrum 1hut
Shows You Eow to 8uy Reul Lstute wlth Llttle or No Money Lown. vhut
would be the return on the recedlng exumle lf you mude the sume
s,ccc roflt, but lnvested only s,ccc of your own money?

Llvlde s,ccc by s,ccc und you huve three tlmes your money, or
cc ercent.

Remember, thut's on the duy you buy lt.





Multlle Streums of lncome QulckSturt Culde 56
&CD!65!]DORDKH!.HOEHDQU!`6B!&CD!*LOT!2IQ!

Muybe you don't huve uny of the trudltlonul bunkers' cultul
requlrements, culled the four Cs: cush, cush flow, credlt, or colluterul.
1hese ure the externul trulngs of weulth thut your ungel urtner must
rovlde. Your urtner rovldes the cultul. You become the cutulyst.

Leurn the roes of reul estute lnvestlng und murket yourself us the blrd
dog. Your motto ls, "lf you've got the cush, l've got the deuls.'

lt'll be your job to flnd the burgulns, negotlute the trunsuctlons, flx u
houses when necessury, munuge the roerty, hundle the tenunts, und
so on. 8ut for thls uctlve effort, you exect your usslve urtner to shure
c ercent of the roflt. vhut, then, wlll be the return on your
lnvestment?

Suose you ut u s,ccc to leurn the skllls und systems necessury to
be come u reul estute lnvestor. Your lnvestment would yleld you u blrd
dog return of hulf of your flrst s,ccc roflt. s,,cc dlvlded by s,ccc
equuls z.

vhether you're the sole lnvestor or slmly un ungel or u blrd dog, you
cun wln ut thls gume.

!
57
&CD!65!]DORDKH!.HOEHDQU!`7B!)La!J]!

ls there unyone who husn't heurd of ordlnury lnvestors buylng u
roerty, ulylng u cout of ulnt or other cosmetlc lmrovement,
lnstulllng new curet und kltchen shelvesund drumutlcully lncreuslng
the vulue of thut roerty? 1hls muy not be your seclulty. lt certulnly
lsn't mlne. l've often suld thut golf clubs flt my hunds but hummers just
don't seem to. Eowever, just becuuse you're not good wlth tools doesn't
meun thut you cun't hlre un exert to do these tusks for you. 1he Yellow
uges ure fllled wlth contructors und seclullsts who ure more thun
wllllng to glve you u nonblndlng bld. 1hey'll tell you whut, ln thelr exert
olnlon, you would need to lnvest to brlng u roerty u to snuff. You
cun muke your urchuse of the roerty contlngent on huvlng these
estlmutes comleted to your sutlsfuctlon.

Stlll, u reusonuble lnvestor cun exect to eurn ut leust u dollur ln
equlty roflt for every dollur of flx u lnvestment. Reusonuble return: cc
ercent on your lnvestment.

&CD!65!]DORDKH!.HOEHDQU!`0B!.J]DO!"EGC!)FIW!

Let's look ut u scenurlo for suer cush flowconvertlng the home
from u monthtomonth rentul to u vucutlon rentul to be rented on u duy
to duy or week to week busls. Cne of my fuvorlte students, Puulu Reld, ,
bought u beuutlful und exenslve home ln the Lus vegus ureu. lts vulue
Multlle Streums of lncome QulckSturt Culde 58
wus much hlgher thun the medlun ln the clty, so she wus golng to huve u
dlfflcult tlme rentlng the home wlthout substuntlul negutlve cush flows.
lnsteud of rentlng by the month, Puulu becume un exert ln vucutlon
rentuls, where her cllents would rent her home on u week by week busls.
lt requlred u totully dlfferent murketlng strutegymuch more
comllcuted thun luclng u clusslfled ud ln the "Eouses for Rent' sectlon
of the locul newsuer. 1hrough the school of hurd knocks, she
eventuully leurned how to rent to truvellng buslnesseole und fumllles.
1hey could rent her lurge home for much less thun the rlce of u lurge
sulte ut u funcy hotel. ln fuct, wlth only u few rentuls er month she wus
uble to uy her monthly exenses und stlll huve substuntlul osltlve cush
flow.

lt's somethlng to conslder, eseclully lf you llve ln hlghrlced reul
estute murkets where negutlve cush flows ure the norm.

&CD!65!/DORDKH!.HOEHDQU!`9B!"EGC!*ERP!

vhut lf you're one of those lnvestors who elther cun't or who
would refer not to glve u lurge down uyment to buy u roerty? vhut
lf there were u wuy to uctuully get cush buck every tlme you bought u
roerty? vell, lt doesn't huen every tlme, but lt certulnly ls osslble
under the rlght clrcumstunces. Eere's u true story.

59
8ob und lltty lokott suw un ud ln thelr locul vlsconsln newsuer
for u c unlt uurtment bulldlng. 1he roerty wus free und cleur of uny
mortguges und wus owned by u senlor gentlemun who wunted to move
to llorldu. 1he roerty wus llsted for s6cc,ccc. 1he lokotts felt thut
the rlce wus u blt low so they mude hlm u very creutlve offer. Purchuse
rlce: s6cc,ccc. Seller gets s8c,ccc ln cush ut closlng. Seller ugrees to
curry szc,ccc second mortguge wlth uttructlve lnterest rute.

Slnce thls wus the only offer ut full rlce, the seller wus wllllng to
be more flexlble wlth the terms. After ull, he wus golng to get u huge
umount of cush ut closlng, und hls remulnlng equlty would be currled ln
the form of u second mortguge wlth un lnterest rute substuntlully hlgher
thun he could get unywhere else. lor hlm lt wus u wlnwln offerlots of
cush und u hlgh lnterest beurlng note.

lor the lokotts, lt wus u dreum come true. 1he roerty wus
urulsed ut s6,,ccc und becuuse of thls, thelr bunker (wlth whom they
ulreudy hud u greut relutlonshl) wus wllllng to lend them s8c,ccc on u
flrst mortguge even though he wus uwure thut the lokotts would be
uttlng u none of thelr own money. 1he seller's mortguge of szc,ccc
wus secondury to the bunk's flrst mortguge. ln essence, there were two
louns on the roerty totullng s6cc,ccc. 1he lokotts dldn't ut u dlme
of thelr own money to close thls trunsuctlon.

Multlle Streums of lncome QulckSturt Culde 60
lt gets better. At the closlng, the rent deoslts und credlts, the
lokotts uctuully wulked uwuy wlth over s6,ccc. 1o thls wus udded the
rent collected from euch of the c tenunts. 1herefore the lokotts
ocketed over sz,ccc ln cush wlthln u few duys of closlng. 1o reeut,
not only wus thls nothlng downlt wus cush buck ut closlng.

1uke out your culculutor und flgure out the lokott's return on the
lnvestment on thls roerty. Slnce they hud no lnvestment, thelr rute of
return ls too hlgh to culculute. 8ut for fun, let's just ussume thut they hud
lnvested s,ccc ln reseurch und fees to flnd thls roerty. 1hus, on the
duy of the closlng, they were uble to eurn cc ercent on thelr
lnvestment dollurswlthout huvlng to wult for u yeur. 1hls ls the ldeul
scenurlo. You muke money the duy you buy.
Eere ls u summury of the wuys of generutlng zc ercent or more
from your reul estute lnvestments.

. vholesule 8urgulns
z. 8lrd Log
. llx u
. Suer Cush llow
. Cush buck
61
AIJO!.LaHC!.HODENB!
'JQD!]OIXLHG!^U!]EULKQ!IHCDO!]DI]FDYG!HEaDG!
!
lf you suw u heudllne thut reud, "lnvestors eurn 6 to cc
guurunteed by the Covernment' would you belleve lt?

vell thls heudllne ls for reul und you're ubout to leurn how to
double your money ln three yeurs und double lt uguln ln the next three
und so on. lor us long us you llke. lt's one of the greutest lowrlsk wuys
to muke money toduy.

Eello my nume ls Steven vuters und deslte how uncertuln you
muy feel ubout the economy und your flnunclul future, you're ubout to
leurn u sureflre system for generutlng un extru szcc to sccc or more ln
extru monthlylncome, on u urttlme busls, worklng from your home,
und uslng llttle or none of your own money.

ln uddltlon, you're ubout to dlscover un lnvestment thut ls sufe,
certuln, und guurunteed to roduce roflts of 6, 8, z, u to cc
er yeur. You wlll ulso dlscover u foolroof method for urchuslng reul
estute for u slgnlflcunt dlscount. l'm tulklng us low us z to cents on the
dollur.

Are you sketlcul? So wus l, untll l dld lt myself.
Multlle Streums of lncome QulckSturt Culde 62
l don't blume you. As u mutter of fuct, l cun remember belng u blt
sketlcul myself. 1hut ls untll l declded to oen my mlnd und leurn for
myself. 1hut declslon, whlch l mude so muny yeurs ugo, hus oened u u
recesslonroof lnvestment thut ls,

Sufe,
Certuln,
und ElghlyProfltuble.

Unllke stocks, futures, otlons, und commodltles, government
lssued tux llen certlflcutes ure lmmune to the us und downs of the
economy. So even lf the stock murket were to crush tomorrow, your
rute, whlch cun be us hlgh us cc er yeur, ls flxed by luw.

=EU^D!UIJYOD!HCLKPLKQ!HCLG!CEG!HI!^D!ODEFFU!OLGPU?!

vlth tux llen certlflcutes, there's no gumbllng, seculutlng, or
ruylng thut they wlll go u. vhen you urchuse u tux llen certlflcute
your rute ls flxed to stuy hlgh, regurdless of whut huens ln the
murkets.

vhen you buy u tux llen certlflcute vull Street doesn't determlne
your rute. vlth tux llen certlflcutes there's no u und down roller couster
rlde, your rute ls determlned by luw so you know exuctly whut your
63
return wlll be. You cun slee ut nlght knowlng thut no mutter whut
huens wlth the economy, the murkets or the news, your rute ls flxed.

=EU^D!UIJbMD!CDEOT!HCEH!LH!HEPDG!E!FIH!IX!NIKDU!HI!NEPD!E!FIH!IX!NIKDU?!

l know when l got sturted l dldn't huve u lot of extru cush just
luylng uround. l worked hurd for every dollur l hud und l wusn't ubout to
throw lt ut every soculled "oortunlty" thut cume my wuy. l hud to flnd
un lnvestment thut requlred very llttle to none of my own money to get
sturted.

vlth tux llen certlflcutes ls doesn't mutter how much you send.
Your rute, whlch cun be us hlgh us cc er yeur, ls the sume, regurdless
of whut you uld. lt reully ls the ldeul lnvestment becuuse you cun buy
them for us llttle us u coule bucks on u to severul mllllon. ln fuct, you
cun get sturted uslng llttle to none of your own money.

You'll huve to forglve me, l'm gettlng u llttle uheud of myself. l just
get reully exclted when l sturt tulklng ubout thls lncredlble lnvestment.
You see most eole slmly don't know ubout lt.

As l suld eurller, my nume ls Steven vuters und l'm just un uveruge
erson thut stumbled ucross un umuzlng lnvestment. lt wus severul yeurs
ugo but l cun stlll remember feellng u blt uncertuln ubout my own
flnunclul future.
Multlle Streums of lncome QulckSturt Culde 64
Needless to suy, l wus ut u reul flnunclul crossroud ln my llfe. As
luck would huve lt, u close frlend louned me un uudlo rogrum on
generutlng weulth. l llstened to lt, ln fuct, severul tlmes. lt dlscussed
multlle wuys for generutlng weulth, from lnvestlng ln stock otlons to
buylng reul estute nothlng down, und flnully rofltlng wlth tux llen
certlflcutes.

l couldn't belleve whut l wus heurlng, lt sounded wuy too good to
be true. Cenerully, l wouldn't even glve somethlng llke thls u second
thought, l would dlsmlss lt und contlnue on wlth whut l wus dolng. 1hls
tlme l reusoned, "lf l kee dolng the sume thlngs, l would contlnue to get
the sume results." 1hough scury ut the tlme, l sure um glud thut l declded
to tuke u closer look ut tux llen certlflcutes.

[JGH!WCEH!EOD!HEa!FLDK!RDOHLXLREHDG!EKT!CIW!TI!HCDU!WIOPc!

Ck, so here's how lt works. All over the country locul governments
huve mllllons of dollurs ln unuld roerty tuxes.

Unuld roerty tuxes creute u serlous cushflow roblem for locul
governments. lf locul governments ure unuble to collect reul estute
roerty tuxes, they ure ulso unuble to rovlde lmortunt government
servlces llke ollce rotectlon, ubllc schoollng, und medlcul servlces.

65
1o solve thls roblem und fund dully servlces, locul governments
creute und sell tux llen certlflcutes to lnvestors. ln exchunge, lnvestors
recelve the governments llen for roerty tuxes. 1he llen ls secured by
the reul estute lt ls uttuched to.

'ust to be cleur, you're not buylng uny reul estute. You're just
buylng the governments llen on the reul estute. So when you urchuse u
tux llen certlflcute you're uctuully uylng the roerty tuxes for someone
else. ln exchunge, the government trunsfers you the rlght to recelve ull
of the outstundlng tuxes owed by the roerty owner.

<CDK!UIJ!]JORCEGD!HEa!FLDK!RDOHLXLREHDGV!UIJbOD!DKHLHFDT!^U!FEWV!HI!
ODRDLMD!43_V!48_V!60_V!J]!HI!755_!]DO!UDEO?!

ln un effort to motlvute roerty owners to uy thelr roerty
tuxes the government churges lnterest und enultles on to of the
overdue roerty tuxes. vhen the roerty owner stes forwurd to uy
thelr overdue roerty tuxes, the government trunsfers the money
collected lncludlng fees, lnterest und enultles to the tux llen lnvestor
whlch ls you!

1hlnk of lt thls wuy. Llke u bunk or lendlng lnstltutlon, you're just
rovldlng u "shortterm loun" to the roerty owner und by luw you ure
entltled to recelve lnterest und enultles for your servlces.

Multlle Streums of lncome QulckSturt Culde 66
Lveryone ls huy. 1he county gets thelr money, the dellnquent
roerty owner kees thelr home und gets more tlme to uy thelr
ulreudy ustdue roerty tuxes und you get to grow your money ut the
rute of 6, 8, z, u to cc er yeur.

ln uddltlon, thls "shortterm loun" ls secured by reul estute. So, just
llke u bunk or lendlng lnstltutlon lf the roerty owner doesn't uy thelr
loun or ln thls cuse thelr roerty tuxes, usuully wlthln three () yeurs
from the tlme you buy the tux llen certlflcute, the government wlll let you
foreclose on the roerty to recover your lnvestment.

#P!NEU^D!UIJbOD!HCLKPLKQV!d&CDOD!CEG!HI!^D!E!REHRCV!WCEHbG!HCD!REHRCcd!

llrst of ull, ubout hulf of the stutes sell tux llen certlflcutes.

Second, the sule of tux llen certlflcutes ure hundled by the
countles. County governments sell tux llen certlflcutes ut roerty tux
sule uuctlons. 1here ure over cc lndlvlduul countles, ull holdlng thelr
seurute uuctlons ut vurlous tlmes und locutlons und wlth dlfferent rules.
1rucklng down the dutes, tlmes, locutlons und rules ls u lot of work but ls
certulnly well worth lt, lus lt kees most eole uwuy leuvlng more for
you und me.

1ux llen certlflcutes ure the ultlmute weulth bullder you slmly bld
on the ones you llke, buy them, und wult. 1he government collects the
67
ust due tuxes, fees, lnterest, und enultles from the dellnquent
tuxuyer und then they send you u check.!
!
ln concluslon, tux llen certlflcutes ure the ldeul lnvestment:

You cun get sturted wlth very llttle money.
You cun be successful, even wlth terrlble credlt.
Lurn sufe, certuln, und hlghyleldlng returns of 6 to cc
Crow your roflts tux free wlth u selfdlrected lRA
Chunce of urchuslng reul estute for ennles on the dollur
!
vlslt htt:jjwww.multllestreumsoflncome.comj for u comlete llst of
stutes offerlng tux llen certlflcutes.
Multlle Streums of lncome QulckSturt Culde 68
AIJO!.DMDKHC!.HODENB!
-DHWIOP!=EOPDHLKQ!S!&CD!%FHLNEHD!=IKDU!=ERCLKD!
!
Euve you ever been to u greut movle or u greut restuurunt und told
u frlend ubout lt? 1hut's culled wordofmouth udvertlslng. 8uslnesses
love wordofmouth udvertlslng becuuse lt's much more effectlve thun ull
the money they send on uny other form of udvertlslng, romotlon, or
murketlng. Network murketlng ls u wuy for buslnesses to leveruge the
ower of wordofmouth udvertlslng.

Let me glve you u hyothetlcul exumle. Suose you recommend
u greut restuurunt (let's cull lt Chez 8ob) to your slster. Your slster und
her husbund muke u reservutlon for dlnner und, durlng the meul, the
wulter usks them how they heurd ubout Chez 8ob. 1hey mentlon your
nume. Eow would you feel lf the owner of the restuurunt sent you u
thunkyou letter und u couon for u free meul ln ureclutlon for your
recommendlng hls restuurunt? lt would robubly muke you feel
wonderful. 1he restuurunt owner ulso exlulns ln the letter thut becuuse
of your recommendutlon, Chez 8ob hus gulned u new longterm
customer. 1hls customer dldn't result from Chez 8ob's Yellow Puges ud
or lts rudlo und newsuer cumulgn. 1herefore, the owner wunts to
rewurd you for thls new wordofmouth customer. Anytlme your slster
vlslts hls restuurunt ln the future, he wlll send you u check for c ercent
of the vulue of the meul us u contlnulng thunkyou. Sure enough, every
severul months you recelve u smull thunkyou check. You're so lmressed
69
thut you encouruge others to vlslt Chez 8ob. 1hls generutes more free
meul couons lus more c ercent wordofmouth checks. After u yeur,
you ure recelvlng severul monthly customers, whlch generutes hundreds
of dollurs of extru, nohussle lncome to you. 1hut would be nlce,
wouldn't lt?

1hls ls the theory behlnd network murketlng, us lt ls now culled. l
refer to cull lt relutlonshl murketlng becuuse the wordofmouth
concet derlves lts ower us u result of the relutlonshl. 8uslnesses
these duys send u to c ercent of the rlce of thelr goods on
udvertlslng und murketlng exenses. lnsteud of sendlng these
udvertlslng dollurs to weulthy newsuers, muguzlnes, und televlslon
stutlons, severul smurt buslnesses huve begun to shure thls money wlth
thelr best customers. Lvery tlme one of thelr best customers lnfluences
someone to buy on of thelr roducts, they send thls loyul customer u
check - sort of u referrul fee.

Cne of the most recent success storles ln the ower of relutlonshl
murketlng ls Amuzon.com. Soon ufter luunchlng thls groundbreuklng
lnternet web slte, the folks ut Amuzon.com cume u wlth u brlght ldeu.
vhy not uy u referrul fee to unybody on the lnternet who sends
customers to Amuzon.com? 1hey luunched un "Afflllute Progrum'
encouruglng mllllons of web uge owners to rovlde llnks to the
Amuzon.com slte. lf u web surfer vlslts un ufflllute slte, cllcks on the
Amuzon.com llnk, und eventuully buys u roduct, Amuzon uys u smull
Multlle Streums of lncome QulckSturt Culde 70
to , ercent referrul fee to the ufflllute. 1hls creuted tens of thousunds of
sutelllte mlnlurtners who huve u selflnterest ln the ongolng success of
the Amuzon mother shl. 1hls struteglc murketlng move wus one of the
mujor reusons for the exloslve success of Amuzon.com. Now thls model
ls rumunt on the lnternet. Lven my own web slte,
www.multllestreumsoflncome.com, hus un ufflllute rogrum. Network
or relutlonshl murketlng works! lts tlme hus urrlved. lt's the cool thlng
to do.
!
!
71
AIJO!,LQCHC!.HODENB!
1KXI]ODKJOLKQ!S!'IW!HI!&JOK!E!&LKU!"FEGGLXLDT!ET!LKHI!E!)IOHJKD?!

Prevlously l told you ubout the huge otentlul ln reul estute. vell,
there ls substuntlully more money to be mude ln lntellectuul roerty.
1he money cun be mude fuster und cun result ln llfetlme streums of cush
flow.

You suy "show me the money!' l suy, "brlng your wheelburrow!'

An entrereneur who's muln roduct ls lnformutlon ls culled un
"lnforeneur'. And lnformutlon ls u very hot tolc.

ln cuse you huven't notlced, the world ls exerlenclng un
lnformutlon exloslon. 8efore the turn of the century, the mujorlty of the
households ln North Amerlcun wlll huve uccess to hundreds of chunnels
of lnteructlve televlslon glvlng every customer lnstunt unllmlted uccess to
lnformutlon, communlcutlons und entertulnment.

ln uddltlon, there ure hundreds of mllllons of comuter screens
hooked u to the net, yours lncluded. 1he lnternet ls exlodlng. Peole
ure communlcutlng und shurlng lnformutlon llke never before.

vho ls golng to rovlde ull of the rogrummlng for the cc
chunnels, the onllne dutubuses, the hungry ulrwuves? You ure! You ure
Multlle Streums of lncome QulckSturt Culde 72
the source of the ldeus, lnformutlon, dutu und entertulnment to flll the
voruclous uetlte of mllllons of lnfomunlucs.

1he serlous money ln the future, however, ls not just ln rovldlng
lnformutlon or ruw dutu. ve ure ulreudy drownlng ln lnformutlon. ve ure
on lnformutlon overloud. ve ure dutu drunk. 1he roblem ls not u luck of
lnformutlon or ldeus but u luck of lnformutlon thut ls uckuged roerly.
Your job ln the future ls to convert the mountulns of ruw dutu lnto
seclullzed knowledge resented ln u wuy the consumer cun usslmllute
und use qulckly:

Seclullzed knowledge uckuged roerly

* orgunlzed
* slmllfled
* beuutlfled
* systemutlzed,
* ersonullzed
* lnteructlve
* multlmedlu
* dellvered to your house
* reudy to use
* on demund
* lnstuntly.

73
1lme ls the currency of the new mlllennlum. 1lme ls our most
vuluuble usset. Slnce ull of us ure ulreudy on lnformutlon overloud, wlth
too much lnformutlon to ubsorb und too llttle tlme to ubsorb lt, we ull
wlll be looklng for lnformutlon thut ls "tlme frlendly." ve won't wunt to
wuste tlme reudy, studylng, reorgunlzlng generul dutu to flt our unlque
clrcumstunces und roblems.

ve'll wunt lnformutlon we cun USL NCv, lAS1 ANL LASY.

1he best wuy to dlstlngulsh your lnformutlon from the hundreds of
cometltors ls to emhuslze the most lmortunt cometltlve udvuntuge:
YCUR lNlCRMA1lCN MUS1 8L SlMPLL, LASY 1C USL ANL PRCvlLL
lAS1 RLSUL1S.

Your udvertlslng should emhuslze thls.

8elng welllnformed ln the uge of lnformutlon "huves und huve not's."

1he future ls belng flred ut us ut olnt blunk runge und we wlll need
to reuct ln llghtnlng qulck tlme. 1hose who reuct slowly wlll flnd
themselves umongst the "lnformutlon huvenots."

ln order to be reured to understund how to dellver your
lnformutlon ln the fustest, euslest wuy, you must be technologlcully u to
seed or you wlll be left ln the dust. 1he lnformutlon buslness ls movlng
Multlle Streums of lncome QulckSturt Culde 74
ut Much z. You must be comuter llterute und you must teuch your
chlldren und emloyees to be comuter llterute. Your customers wlll
demund lt und your cometltors wlll force lt. You cun't hlde your heud ln
the sund und hoe the storm blows over. lt uln't gonnu blow over. lt's
only gonnu blow hurder.

Now, wlth ull of thls tulk of the bllllons belng sent on the suer
lnformutlon hlghwuy, you mlght be u blt lntlmlduted. You mlght wonder
how "llttle old you" cun comete wlth the blg boys. Eow cun you sell
your ldeus, your llfe's exertlse ln the fuce of the medlu moguls? luct ls,
unyone wlth u good ldeu, erslstence und some suvvy cun muke u mllllon
dollurs selllng lnformutlon. You don't need u huge udvertlslng budget
und u stuff to send lt. All you reully need ls

An lnterestlng story

or

An exertlse thut eole wunt

und

A owerful murketlng lun

75
lt ls my flrm bellef thut everyone...lncludlng you...hus u leust one
good book ln them. vhen you've flnlshed llstenlng to thls seclul uudlo
llbrury, you'll reullze thut you huve enough lnformutlon und exerlence ln
your heud rlght now to turn lnto u llfetlme streum of lncome. You huve u
book ln you thut ls just wultlng to be unleushed.

vlth some roer osltlonlng, your book cun become the
cornerstone of un lnformutlon emlre. An lnformutlon emlre? Yes. And
l'm golng to rove lt to you.

1he next tlme you wonder whether "there's gold ln them thur
hllls," remember the exumle of , yeur old vulter Swunn from Arlzonu.
A few yeurs ugo he wrote u book ubout growlng u ln Arlzonu wlth hls
brother, Eenry. Ee culled hls book "Me und Eenry." Sounds llke u money
muklng tltle, doesn't lt? 8ut no ubllsher would ubllsh lt. So he
ubllshed lt hlmself. 8ut no bookstore would buy lt. So he oened hls
own bookstore. 8ut hls bookstore ls unlque. lt only currles one
tltle...thut's rlght, "Me und Eenry." Ee culls lt the Cne 8ook, 8ookstore.
1he only book you cun buy ln hls bookstore ls "Me und Eenry." Lumb
ldeu, rlght? vrong. Ee sells thousunds of books world wlde. And mukes
thousunds of dollurs u month from thls one slmle ldeu. ln fuct, buslness
hus been so good thut he hus wrltten unother book. 1hls one ls culled,
"Me und Mumu." lt's ulso for sule ln u seclul room ln the Cne 8ook 8ook
Store. lt's culled the Cther 8ook 8ookStore.

Multlle Streums of lncome QulckSturt Culde 76
vhut l wunt you to reullze ls thut you, your llfe story or your llfe's
exertlse huve murket vulue. lt muy huve enough murket vulue to
suort you for llfe.

Almost ull success books sturt off wlth u mlseruble fullure. 1he
uuthor tells how he or she used to be fut, oor, ugly, unhuy, lonely,
uddlcted und through some mlrucle, wlll ower or new found knowledge
wus uble to overcome fullure und rlse to the helghts of success. Let me
glve you some retty lmresslve exumles,

Author, 1ltle, Subject

1ony Robblns, Unllmlted Power, Success

Susun Powter, Sto the lnsunlty, Llet

'ohn 8rudshuw, Eomewurd 8ound, Self Lsteem

And the llst goes on und on. Luch of these lnforeneurs used the
story of thelr rlse from the ushes of fullure to creute un lnformutlon
emlre. Luch of them now roduces books, semlnurs, newsletters, tue
rogrums, vldeo courses, seeches, consultlng relutlonshls und
lnfomercluls. 1hey turned thelr fullure to success story lnto mllllons of
dollurs.

77
Lverythlng thut hus huened to you, good or bud, hus cush vulue.

Lo you ever wonder how those fumous sturs on those dlet
commercluls ure uble to tuke the welght off und kee lt off? Eow do they
do lt? vhere do they get the wlll ower to lose ull thut welght und kee lt
off? 1hlnk! lf someone offered you u hulf u mllllon dollurs to do u dlet
commerclul, wouldn't you be uble to flnd the motlvutlon somehow?

Now tuke thls to the next loglcul concluslon. vhut lf someone
offered you ten mllllon dollurs to turn your llfe uround rlght now. Eow
much would lt tuke for you to be motlvuted to erfect your relutlonshls,
to get ln shue, to get your flnunclul uct together, to be u to
suleserson, etc. vhut lf you declded thut YCU ARL 1EL 8LlCRL ANL
Al1LR S1CRY? llx yourself then you, too, cun murket your newfound
"know how."

You don't even need u unlque, new system. lt cun be old
knowledge, reuckuged und remurketed ln new wuys. Look ut ull the
dlets out there. 1here ure only vurlubles ln the dlet gume: food, exerclse
und mentul uttltude. Susun Powter, ln her hugely successful dlet
lnfomerclul und book, "Sto the lnsunlty!" doesn't teuch unythlng new.
She teuches old stuff ln u unlque wuy. And MAlLS 1LNS Cl MlLLlCNS Cl
LCLLARS LClNC l1!

1he formulu ls retty slmle:
Multlle Streums of lncome QulckSturt Culde 78

* ldentlfy u Core Eumun LeslrejNeed
* llnd new technology for solvlng thls Core LeslrejNeed undjor
* llnd u new wuy to murket to thls Core LeslrejNeed

You don't huve to do lt on such u grund scule. You cun be llke
vulter Swunn und hls tlny Cne 8ook 8ook Store. 1he olnt l'm trylng to
muke ls thut one medlocre ldeu wlth some good murketlng ower cun
generute u llfetlme streum of cush flow. And wlth some luck cun turn lnto
mllllons of dollurs. Lverythlng ln your llfe hus vulue. 1he fullures. 1he
successes. lt's ull urt of the equutlon.

And lf you wunt to get uld mllllons of dollurs...so flgure out how
to turn your llfe uround now und then tell the rest of us how you dld lt.

!
!
!
!
!
!
!
!
!
!
79
AIJO!-LKHC!.HODENB!
&CD!1KHDOKDH!S!AIJO!-DaH!)IOHJKD!1G!#KFU!E!"FLRP!$WEU!
!
1he lnternet. Eow muny tlmes huve you heurd thut word thls
week? vhut's ull the excltement ubout? ls the lnternet for reul, or ls lt
doomed to u hlghtech gruveyurd?

1he lnternet ls for reul. lt's not u fud. lt's the most lnfluentlul
buslness lnnovutlon ln hlstory. l could quote you numbers ubout how
muny hundreds of mllllons of eole ure onllne or comlng onllne und the
numbers contlnue to grow exonentlully. 1he lnternet ls not just unother
mlnor bll on the rudur screen of the buslness cycle. 1he lnternet ls u
tldul wuve. You cun rlde thls wuve to fortune or be churned under by lt.
Are you on the Net yet? lf not, sto rlght now und get hooked u.
lt's thut lmortunt. Co. l don't wunt you to be left behlnd. vhen you get
buck, l'll show you how to muke money from thls owerful streum.

lf you're ulreudy hooked u, flre u your comuter rlght now.
ve're golng for u drlve on the lnformutlon suerhlghwuy. llrst, let's
dlscuss u few thlngs thut muke the lnternet so ueullng.

1he lnternet needs no slee, no food, und no bubyslttlng. lt never
comlulns, never culls ln slck, never goes on strlke. 1he lnternet works
for you uround the clock, ullowlng you to send more tlme wlth your
fumlly, frlends, rellglous grou, communlty, und hobbles.
Multlle Streums of lncome QulckSturt Culde 80

1he lnternet ls emowered to oerute your entlre web slte
murketlng system. A constunt flow of quullfled leuds ls dlrected lnto your
resonsegutherlng dutubuse where lt collects crltlcul lnformutlon ubout
otentlul customers und then uutomutlcully offers customlzed roducts
or servlces to euch lndlvlduul customer.

All of thls huens behlnd the scenes, outslde of your uwureness.
Sounds furfetched, doesn't lt? 8ut thut's whut's huenlng rlght now on
the lnternet.

1he lnternet ls the most owerful und efflclent dlrectresonse
murketlng muchlne ln the hlstory of murketlng. vlth the uld of ordlnury
comuters, dlrect murketers cun creute un onllne murketlng muchlne.

1he lnternet hus revolutlonlzed the concet of murketlng. llrst of
ull, lt hus drumutlcully lowered the cost of murketlng. lt mukes lt osslble
for you to reuch new customers for ennles er thousund versus
hundred of dollurs er thousund. More lmortunt, the lnternet lets you
reconnect und lnteruct wlth these new customers over und over uguln
wlth ulmost zero cost. 1he udvuntuges ure stuggerlng.

8ecuuse of the cost udvuntuges, new buslnesses ure golng onllne
by the mllllons. lt seems us lf the stutus symbol for the new mlllennlum ls
to huve you own veb uge. 8ut lf you wunt to muke money on the Net,
81
huvlng your own veb uge ls just the beglnnlng. lt's llke huvlng u
blllbourd ln the mlddle of the Nevudu desert..lf nobody sees lt, lt muy
us well not even exlst. lt's worthless.

lf the three key usswords ln reul estute ure *2A.+'2(7!*2A.+'2(7!
*2A.+'2( then on the lnternet, they're +$.::'A7!+$.::'A7!+$.::'AK Your most
lmortunt tusk ls to drlve trufflc to your slte. lf you huve no trufflc, your
slte hus no vulue. l reeut: A veb uge ln und of ltself ls nothlng. 1rufflc ls
everythlng. 8y trufflc, l meun vlslts by eole. 1he more vlslts, the more
vuluuble your suce.

vlth the goul of bulldlng trufflc ln mlnd, let me show you how to
bulld un lnternet murketlng muchlne - u muchlne thut not only drlves
trufflc to your slte but gets eole to leuve money us they're usslng
through. lnterested?

"Peole go on the lnternet und look for stuff - seclflc stuff. Your
flrst job ls to flnd the ones looklng for your stuff und get them to vlslt
your web slte ln order to buy your stuff - over und over uguln.'

Eow cun thls be done?

l've ldentlfled the keys to lnternet success.

. Struteglzlng your luunch
Multlle Streums of lncome QulckSturt Culde 82
z. Automutlng everythlng
. Murketlng for trufflc


)LOGH!eDU!HI!1KHDOKDH!.JRRDGGB!
.HOEHDQLfLKQ!AIJO!+EJKRC!
!
8efore you cun turn on your lnternet murketlng muchlne, you need
to curefully struteglze whut roducts or servlces you lntend to murket.
Peole muke severul common mlstukes when trylng to declde whut
roduct or servlce to romote on the lnternet. Most eole end u
selectlng u roduct or servlce for the wrong reusons.

l've consulted wlth muny eole who huve trled to tuke un
exlstlng, trudltlonul, offllne comuny or roduct und brlng lt onllne. Most
of these eole slmly creute un onllne cutulog of thelr roducts or
servlces und exect lt to be u blg hlt onllne. Most of the tlme, they ure
dlsuolnted. 1hen there ure those who wunt to turn u fuvorlte hobby or
un exertlse lnto u ruglng onllne buslness success wlthout dolng uny
murket reseurch to determlne lf the roduct wlll sell onllne.

Although l would never dlscouruge you from testlng your ldeu, lt's
hurd to force u squure eg lnto u round hole. 1herefore, lt's lmortunt to
usk yourself these z questlons.

83
. Loes my roduct or servlce beneflt muny eole.
z. Loes my roduct or servlce ueul to u seclflc onllne nlche.


l've heurd motlvutlonul seuker 2lg 2lglur suy, "You cun huve
unythlng you wunt ln thls llfe lf you'll hel enough other eole get whut
they wunt.' Lo you wunt to hel u few eole, muny eole, or mllllons
of eole? lt muy be fun und excltlng to work wlth roducts thut ure
lnterestlng to you, but there just lsn't uny roflt ln murketlng roducts
thut do not ulso ueul to lurge segments of the oulutlon.

lf your otentlul customers lnclude ulmost everyone on the entlre
lunet, you huve u dlstlnct udvuntuge over comunles thut ueul only to
u select grou of customers.

lf you don't llke the mussmurketlng model, thut's okuy. Muny
suvvy onllne murketers ure huvlng unbellevuble success murketlng to
nlches thut ure z lnches wlde und cc mlles dee. As your focus becomes
more nurrow, you wlll huve fewer otentlul customers. You must uly
your most effectlve, luserfocused, turgeted murketlng technlques to wln
thls gume, und your nlche must huve sufflclent deth. ln other words,
you cun elther go wlde or you cun go dee. 8ut lt's extremely dlfflcult to
muke money wlth u nurrow, shullow roduct llne.

Multlle Streums of lncome QulckSturt Culde 84
1he best test, however, ls to determlne whether the roduct or
servlce you wlsh to offer ls dolng well onllne rlght now und whether
trends, suggest thut lt wlll contlnues to do well for the next zc yeurs.
vhy uy twlce for exenslve murkettestlng lnformutlon thut cun be
yours for free? A fool leurns from hls or her own mlstukes, whlle the wlse
erson leurns by observlng the mlstukes of others. 1hls wlsdom ulles
on the Net. llnd severul successful buslness models reluted to whut you
wunt to do, und try to dullcute thelr success. Muke sure you get some
exert udvlce before settllng on u theme, ufter ull, you wlll be llvlng wlth
thls declslon for the rest of your llfe.

Cver the ust yeur, l huve exumlned thousunds of successful onllne
buslness models. Eowever, l huve dlscovered u few buslness models thut
ure urtlculurly eusy to luunch und cun yleld funtustlc results. Cne of
those successful buslness models ls ufflllute rogrums.

vhut lf you could huve your own ersonul onllne suermull thut
ullowed you to sell uny und ull of the hottest roducts on the lnternet for
u slgnlflcunt commlsslon wlthout the heuduches of settlng u your own
web slte? vhut lf your slte were set u for you comlete wlth lctures of
roducts und un onllne order form? vhut lf your credlt curd urovul
system were ulreudy ln luce? vhut lf you hud to rovlde only llmlted
customer servlces und trulnlng und could send most of your tlme
flndlng more buslness? vhut lf you could huve the freedom to just
85
murket roducts und recelve u check ln the mull u few weeks luter for the
roducts thut were urchused?

vell, thls rogrum does exlst...und lts culled un ufflllute rogrum.
1he money belng generuted on the lnternet toduy through ufflllute
rogrums ls ustronomlcul, und exerts tell us thut thls trend wlll contlnue
to exlode over the next severul yeurs.

So whut ls un ufflllute rogrum, und why would you wunt to get
lnvolved wlth one? Afflllute rogrum ls the nume glven to u comuny thut
ullows lndeendent ufflllutes, ussoclutes, or dlstrlbutors to refer buslness
to u comuny ln exchunge for u commlsslon. Cne of the most well
known ufflllute rogrums on the Net ls the worlds' lurgest onllne
bookstore, Amuzon.com. Cne of the reusons Amuzon hus been so
successful ls thut they loneered the flrst megusuccessful ufflllute
rogrum. So when you refer buslness to Amuzon und they buy, they send
you u commlsslon check euch month for your cumulutlve referrul
buslness. Pretty sllck, eh?

1here ure thousunds of slmllur rogrums on the net offerlng even
more dynumlc beneflts und the oortunlty to eurn hundreds lf not
thousunds of dollurs u month.

Cne dlstlnct udvuntuge of ufflllute rogrums ls your ublllty to
successfully munuge multlle ufflllute rogrums slmultuneously. Also,
Multlle Streums of lncome QulckSturt Culde 86
becuuse most ufflllute rogrums uy commlsslons only on roducts sold,
there ls generully no confllct wlth other buslness oortunltles thut you
muy be murketlng on your slte. Some eole muy be uble to munuge
more, but lt's best to bulld only one or two streums of lncome ut u tlme
und then udd uddltlonul rogrums us you ure uble.

l encouruge you to do the followlng:

8ecome your own customer for u duy und go sholng.uslng
seurch englnes.
lntervlew llkemlnded vebmusters und slte owners to robe for
murketlng lnformutlon.
lmmerse yourself ln lnformutlon reluted to your turget customers
und roducts.


vlth thls under your belt, you're reudy to luunch your slte. 1he
urose of your slte ls to be u vuluuble source of lnformutlon to unyone
who ls lnterested ln your subjectjroduct. 8efore l move on, l wunt to
shure wlth you the three most lmortunt elements of your slte.

. lree seclul reorts
z. lree uudlojvldeo clls
. lree newsletter

87
Lveryone who vlslts your slte should feel llke they've just stumbled
ucross u gold mlne of vuluuble lnformutlon for free. Lven lf you're
murketlng u hyslcul object (llke bugles), your slte should stlll offer
free lnformutlon llke u free reort on the cure und cleunlng of your
bugles, free bugle muslc sheets uvulluble for downloud, free
newsletter for bugle enthuslusts, etc.

Your objectlve ls to cuture the emull uddresses of ull vlsltors to
your slte by offerlng so muny wonderful beneflts thut they'll wunt to
subscrlbe to your free newsletter. Your goul ls to bulld thls newsletter llst
us fust us osslble. Your newsletter llst ls your gold mlne.

As you develo your onllne resence, you'll soon flnd out why
more und more eole ure gruvltutlng towurds the lnternet. vlth
dedlcutlon, you too cun joln the llst of those who eurn ut leust s,ccc u
duy on the lnternet.

Multlle Streums of lncome QulckSturt Culde 88
AIJO!&DKHC!.HODENB!
+LRDKGLKQ!S!1KHDFFDRHJEF!/OI]DOHU!EH!<EO]!.]DDT!

ln Chuter you leurned ubout lnforeneurs eole who muke
money from selllng lntellectuul roerty. 1he lnformutlon l'm ubout to
shure wlth you ls the most owerful und yet leust understood form of
lntellectuul roerty ln the world. lt's culled *'A"(&'()K!

Llcenslng. 'ust suylng the word brlngs blunk stures from most
eole. Reul estute, they understund. Network murketlng, they've
heurd of thut. 8ut whut ls llcenslng? vell, us soon us l muke you uwure
of lt, you're golng to notlce lt everywhere. l must thunk my good frlend
len lerr for teuchlng me the reul secrets of llcenslng. len wus Llrector
of Leslgn for the vult Llsney theme urks worldwlde, where he wus one
of the mujor forces behlnd successful luunch of Llsney's Lcot center
und 1okyo Llsney. ln uddltlon, he wus lnstrumentul ln the creutlon und
successful murketlng of such household numes us Smurfs, Cumml 8eurs,
the Cullfornlu Lunclng Rulslns, und Ruggedy Ann und Andy, just to nume
u few. 1hese roducts huve generuted hundreds of mllllons of dollurs ln
llcenslng revenues.

Llcenslng ls the ultlmute form of leveruge. lt's the fustest,
slmlest, und shortest dlstunce between un ldeu ln your heud und u
llfetlme streum of lncome ln your mullbox. So just whut ls lt?


89
'LGHIOU!IX!+LRDKGLKQ!
!
lt sturted us ulmost un ufterthought more thun 6c yeurs ugo.
1oduy, lt uccounts for tens of 9'**'2(& of dollurs of sules every yeur. At
thls very lnstunt, your home robubly contulns dozens of llcensed ltems
thut huve enrlched dozens of comunles und lndlvlduuls. lor the most
urt, llcenslng ls the bulllwlck of extremely lurge, weulthy
orgunlzutlonsnot for ordlnury folk llke you und me. 8ut most of these
orgunlzutlons hud very smull beglnnlngs. vho's to suy thut elther you or
l couldn't do the sume? Perhus lt's tlme you got on the recelvlng end of
the cush flow lnsteud of the sendlng end.

Let's go buck to the beglnnlng. lt's z8. A truln from New York
to Los Angeles currles vult Llsney und hls wlfe home u meetlng ln whlch
they huve leurned thut they huve lost the rlghts to vult's curtoon
creutlon, Cswuld the Rubblt. 1he news ls devustutlng. ln effect, they ure
out of buslness. 8ut u struy mouse on the truln lnslres vult to come u
wlth u new ldeu. vult wunts to cull hls curtoon creutlon Mortlmer
mouse, but hls wlfe revulls. Mlckey Mouse lt ls.

vlth thls ldeu, vult und hls brother Roy sturted ln u onecur guruge
on the wrong slde of the trucks ln eust L.A und grew the lurgest
entertulnment orgunlzutlon ln the world. vult und hls brother Roy
wunted to be movlemukers, but movlemuklng ls not the blggest
moneymuker for Llsney these duys.

Multlle Streums of lncome QulckSturt Culde 90
Llcenslng begun us un uccldent, reully. An ufterthought. An
enterrlslng buslnessmun, trylng to rlde the couttulls of the Mlckey
Mouse henomenon, urouched the Llsney brothers und usked
ermlsslon to sllkscreen the lmuge of Mlckey on c,ccc wooden enclls
boxes. Permlsslon wus grunted, und thus wus luunched the modern
concet of llcenslng. Llsney Llcenslng und Merchundlslng Llvlslon
eventuully becume the most rofltuble dlvlslon of Llsney. At flrst, the
checks were smull, but llcenslng soon grew lnto mujor streums us Mlckey
begun ueurlng on Llonel trulns und Eullmurk curds und ln Llttle Colden
8ooks. lt wusn't long before the brothers Llsney recognlzed thelr gold
mlne. vlth llttle effort or rlsk on thelr urt, they could generute huge
streums of lncome. 1ulk ubout leveruge!

ln effect, the Llsney hud sold thut orlglnul buslnessmun only the
rlght, or llcense, to uttuch un lmuge to one of hls roducts to enhunce lt
sules otentlul. 1he buslnessmun dld ull of the munufucturlng,
murketlng, und the movement of roduct from seller to buyer. Ee took
ull of the rlsk, munuged ull the money, und slmly sent vult Llsney u fee
for euch roduct sold thut currled the lmuge of Mlckey. 1hlnk of lt: no
munufucturlng, no setu costs, no lnventory, no sules costs, no sules
force, no dlstrlbutlon costs, no emloyees, no rlsk, no money, und llttle
or no lnvestments of tlme or energy. And yet ulwuys mulntulnlng control
of roduct quullty. 1oduy, bllllons of dollurs' worth of Llsney
merchundlse ls murketed throughout the worldull from genesls of thut
ldeu. lt's the ultlmute form of leveruge.
91

Uslng thls sume concet, ln the 6cs u locul Sun Llego surfer
cume u wlth the ldeu to munufucture swlmmlng trunks for surfers
trunks mude of sturdler muterlul thun the fllmsy swlmsult muterlul
oulur ut the tlme. Ee sturted wlth u rototye sewn from rough
cunvus. Els logo showed c toes hunglng over the edge of u surfbourd.
Ee culled hls new brund Eung 1en. lor muny yeurs, the comuny grew
lurger und lurger us lt munufuctured surfreluted clothlng. At lts euk,
Eung 1en hud thousunds of emloyees ln vurlous lunts throughout
Southern Cullfornlu. 1oduy, the munufucturlng lunts no longer exlst.
Eung 1en ls down to only one bulldlng wlth u fructlon of the number of
emloyees comured to the old duys. lt mlght sound llke thlngs ure not
golng well. Not so. 1hls yeur, Eung 1en wlll collect over scc mllllon ln
llcenslng revenues worldwlde! And whut do they llcense? 'ust thut sllly
ctoed logo. Clothlng munufuctures ull over the world uy Eung 1en
mllllons uon mllllons of dollurs just to uttuch the Eung 1en logo to 1
shlrts und surfweur of ull klnds. Eung 1en emloyees no llnger focus on
muklng clothlng. 1hey focus lnsteud on muklng sure thut coycuts don't
knock off thelr deslgns. And ull of thls ls u result of llcenslng.

Uslng thls sume concet, u geeky comuter nerd numed 8lll
Cuted und hls fledglng comuny Mlcrosoft uld sc,ccc to buy the
excluslve rlghts to u new comuter rogrum culled LCS, the dlsk
oerutlng system for mlnlcomuters. 1he yeur ,. lt would turn out to
be the deul of the mlllennlum. Cutes llcensed the nonexcluslve rlghts for
Multlle Streums of lncome QulckSturt Culde 92
LCS to lM8 to use ln lts very flrst mlnlcomuter, the PC. Note, he dldn't
sell lt to lM8, he *'A"(&"8 lt to lM8. Ee ulso llcensed lt to munufuctures of
lM8 clones. 1hut slmle, shrewd declslon ls the reuson thut the murket
vulue of Mlcrosoft ls greuter thun the murket vulue of lM8, Cenerul
Motors, und most of the lortune cc. lrom zero to bllllons ln ubout c
yeurs. 8lll Cutes ls the rlchest humun belng on the lunet.

lf he sold hls ldeu to lM8, he would huve mude u nlce chunk of
cush. 8ut 8lll Cutes wusn't lnterested ln A/1A>& of cushhe wunted
&+$".,& of lncome. 1he only wuy do to thut wus through llcenslng. Ee
doesn't huve to munufucture uny of those comlex comutlng muchlnes
thut use hls softwure. Ee just sells the rlght to lnstull hls oerutlng
softwure on every comuter bulltund then he gets to sell ugrudes to
ull of these comuter owners. Llttle wonder he's the rlchest erson ln
the world. Smurt. Reul smurt.

Uslng u vurlutlon of hls concet, un lnventor urouched u lurge
cororutlon ln the cs wlth u cruzy ldeu to enhunce comuny sules.
1he lnventor wunted only u few ennles er ltem sold. lt sounded
reusonuble. 8ut the flrst comuny he urouched turned hlm down flut.
Unduunted, he guthered u hls ldeuhls lntellectuul roerty, hls thln
ulr concetund went down the street ln New York Clty to resent the
ldeu to the next lurgest cometltor. After some brlef reseurch, the
executlves of the second comuny cuught the vlslon und slgned u
93
llcenslng ugreement wlth the lnventor. ln exchunge for hls ldeu, they
would uy hlm u few ennles er uckuge.

1he result? ln the flrst yeur, the comuny lncreused lt totul sules by
scc mllllon. And the lnventor hus slnce ut severul mllllon dollurs lnto
hls own ocket. Llfetlme streums of lncome.

vhut wus the ldeu thut mude both comuny und lnventor so much
money? Euve you ever bought u uckuge of butterles? Lld you notlce
thut Lurucell butterles come wlth u smull buttery tester bullt rlght on the
slde of the buttery? Lurucell wus the flrst buttery comuny to lntroduce
thls concet. lt wus un ldeu worth hundreds of mllllons of dollurs. l'm
told thut the lnventor of thls ldeu wus the sume erson who creuted the
oulur Mood Rlngs of the 6cs und ,cs. Lo you remember those
lustlc rlngs thut would chunge colors bused uon the erson's body
heut? Lecudes luter, thls sume erson used the sume thermogenlcs
technology to creute u huge extru streum of llcenslng revenue.

Cld ldeu new ullcutlon the ower of llcenslng = multlle streums of
llfetlme lncome

$]]FLREHLIKG!IX!FLRDKGLKQ!
!
vhut lf you're not Llsney or Cutes? Muybe you don't even own u guruge
to sturt from. Eow does thls relute to you? Eold on, let's get the
concet down und let the theory souk lnto your syche. Llsney und
Multlle Streums of lncome QulckSturt Culde 94
Cutes were once llttle guys. vhy not you? Come to thlnk of lt, l, too, wus
u llttle guy. And lt wusn't thut long ugo. About the tlme thut Cutes
sturted tlnkerlng wlth comuters, l sturted buylng reul estute. A few
yeurs luter, l sturted teuchlng other eole how to buy roerty wlth
nothlng down. My semlnurs, sturted ln u smull hotel room ln Provo,
Utuh, were soon luylng to ucked houses ln mujor cltles. vlthout my
knowledge, l wus belng wutched. l wus the "kld on the rlse,' und my
semlnur cometltors wunted to know how l wus dolng lt.

Cne of these cometltors culled me on the hone und mude me un
offer l couldn't refuse: "Let us llcense your nume und your ldeu. Let us
murket your semlnur for you. Your resence won't be requlred ut the
semlnurs. ve'll truln und teuch the semlnur lnstructors. Cnce lt's u und
runnlng ul you'll need to do ls cush the royulty checks.' vouldn't you suy
yes? Cver the next slx yeurs, wlth llttle or no effort on my urt, thls
comuny sent myself und my fumlly mllllons of dollurs ln royultles. l
dldn't reullze lt ut the tlme, but l hud become u llcensor, gruntlng the
rlghts to my ldeus ln exchunge for u smull royulty. Although l hud done
well lnvestlng ln reul roerty, my '(+"**"A+1.* D$2D"$+% wus the reul gold
mlne.

veulth wus ln my thoughts, not ln my thlngs. ln the future, so wlll
lt be for you. Lvery duy, your mlnd rocesses thousunds of thoughts.
Some of those thoughts ure mllllondollur ldeus. Eow muny mllllondollur
ldeus do you need? Llsney's ldeu wus Mlckey. Cute's wus LCS. Mlne
95
wus Nothlng Lown. vhut ls your ldeu? Eow do you turn thut ldeu, thut
thought, lnto u llcenslng streum of cush?

llrst, you've got to belleve thut your ldeu ls just us good us the
thoughts flushlng through the erson stundlng next to you. 1here ls u
thought ln you, u blg one, wultlng to be clothed ln uctlon. lf you only
belleve lt cun. 8reuk free from the bellef thut these klnds of thlngs
huen only to other eole.

1he flrst ste ls to exund your uwureness so thut you begln to see
the osslbllltles everywhere. And soon, muybe not thls yeur, but
eventuully, the oortunlty to sln off u llcenslng deul wlll dro lnto your
lu us lt dld lnto mlne.

1KHDFFDRHJEF!/OI]DOHU!1G!/OIHDRHDT!^U!+EW!
!
l don't clulm to be un uttorney, und thls exlunutlon muy not be
technlcully correct, but here lt goes. ldeus, lmuges, lnformutlon, numes,
und ull forms of lntellectuul roerty ure rotected by utents,
coyrlghts, servlce murks, und trudemurks.

lf your ldeus ure legully coyrlghted, utented, or trudemurked,
then you own the rlghts to them und no one else cun use them wlthout
your ermlsslon. ln order for others to use your ldeus, you need to grunt
them ermlsslon, or llcense, for un ugreeduon fee, commlsslon, or
royulty.
Multlle Streums of lncome QulckSturt Culde 96

Llcenslng ls not very comllcuted. lt ull sturts wlth u slmle
ugreement between two eole who wunt to do buslness together: "l,
Robert C. Allen, hereby grunt rlghts to 'ohn Smlth to murket Y2 roduct
for erlod of tlme ln exchunge for royulty of bused uon the
followlng restrlctlons.yudu, yudu, yudu.' 1hen, under the wutchful eye
of u knowledgeuble uttorney who udds u lot of bollerlute, your llcenslng
ugreement tukes shue.

And thut brlngs us to the muny wuys of llcenslng roducts.

"DFD^OLHU!FLRDKGLKQ!
!
vellknown celebrltles lend thelr numes to vurlous rojects for royultles
und fees. l once uld televlslon tulkshow host Cury Colllns sc,ccc lus
u ercentuge of gross sules to host one of my lnfomercluls. 1he duy we
shot the show wus u long duy of work. (llfty grund for one duy's effort!
Celebrlty uys.) Cury wus suerb, u true rofesslonul, und u wonderful
humun belng. Ee left wlth u hefty fee lus uddltlonul streums of lncome
from the sule of the roducts. ve both won. l bought the needed
credlblllty und he truded hls celebrlty stutus for extru streums of lncome.

Lvery tlme you see u celebrlty endorslng u roduct, you'll know lt
hus somethlng to do wlth llcenslng. And lt's everywhere. Llsten to the
volces of fumous uctors ln ulmost uny televlslon or rudlo commerclul.
Notlce the rlch und fumous who huve creuted thelr own llnes of
97
roductsfrom 'ohnny Curson sults to Rush Llmbuugh's colorful tles to
Mlchuel 'ordun's cologne. Celebrlty sells. And there ure hundreds of
celebrltles uvulluble to hel you sell your roduct for u fee.

"CEOERHDO!FLRDKGLKQ!
!
Mlckey Mouse, Power Rungers, Cumml beurs, und the Cullfornlu
Lunclng Rulslns ure ull good exumles.

len lerr, our llcenslng guru, sotted some strunge blue lustlc
flgures ut u toy show ln Cermuny muny yeurs ugo. Ee brought home u
few sumles und klds went wlld for them. Ee knew he hud u wlnner on
hls hunds. Ee und hls urtners flew buck to Luroe und flnully trucked
down the creutor ln 8elglum. A deul wus struck to llcense und murket
these churucters ln Amerlcuund the rest ls hlstory. You know them us
smurfs. ln uddltlon to curtoons, the lmuge of Smurfs cun be found on
dozens of roducts, ull roduced under llcense. 1he llst ls endless: bed
sheets, lllowcuses, lunch ulls, thermoses, toys, school sulles, encll
boxes, erusers, enclls, ens, schoolbooks, 1shlrts, sweutshlrts, other
urtlcles of clothlng, huts, bumer stlckers, culendurs, lunners, tles,
buttons, flgurlnes, dolls, mugs, greetlng curds, und comlc books.

len lerr's comuny dldn't roduce uny of these ltems. 1hey
slmly rellcensed the Smurfs to dozens of North Amerlcun comunles
who wunted to use the Smurf logo to enhunce the sules of thelr
Multlle Streums of lncome QulckSturt Culde 98
roducts. 1he result wus hundreds or mllllons of dollurs ln sules und
mllllons of dollurs ln llcenslng fees.

vhere do you flnd ldeus llke thls? vhenever you truvel, kee your
eyes oen. Suose you sot u soontobe dlscovered Pet Rock ldeu.
vhut ls to revent you from ucqulrlng worldwlde merchundlslng rlghts?
You'd be surrlsed how muny forelgn successes ure dylng to get to the
blg to und ure wllllng to ulmost glve uwuy murketlng rlghts for the
rlvllege. 1he Smurfs hud been successful ln Luroe for over zc yeurs
before they ueured ln Amerlcu. Someone just needed to recognlze the
ldeu und brlng lt here.

Seuklng of churucter llcenslng, l wonder how much the
Metroolltun Llfe lnsurunce Comuny uys for the rlghts to use the
curtoon churucter Snooy ln lts udvertlslng. You've seen lt ln muguzlnes
everywhere. "Cet Met. lt uys.' Yes, l'll bet Met Puys u bundle.

1KXIONEHLIK!+LRDKGLKQ!
!
l've ulreudy referred to how l eurned lncome llcenslng Robert Allen
semlnurs. Any ldeu, concet, or seclullzed lnformutlon ls llcensuble.
Most creutors of lnformutlon leuve mllllons of dollurs on the tuble
becuuse they slmly don't know how to uckuge und murket thelr
lnformutlon lnto dozens of lnformutlon roducts. 1uke the
lnforeneurlng ldeus l tuught you ln Chuter und llcense the ldeus of
99
rlslngstur uuthors. vutch the bestseller llsts und be there eurly. Cutch
the comet hung on.

1here ls clothlng llcenslng, us ln the Nlke swoosh.

1here ls sorts llcenslng, us ln Mlchuel 'ordun, 1lger voods, und 'uck
Nlckluus.

1here ls lnventlon llcenslng, us ln the Lurucell buttery deul.

/OIXLHLKQ!XOIN!+LRDKGLKQ!

Eere ure four buslc wuys to roflt from the fleld of llcenslng.

=DHCIT!4B!.HEOH!XOIN!GROEHRC!WLHC!UIJO!IWK!LTDE?!
!
Llsney creuted Mlckey out of thln ulr. Crub un ldeu out of the ulr und get
sturted. Uslng thls concet, two guys worklng out of thelr guruge ln
88 ut thelr ldeus (thelr lntellectuul roerty) down on uer ln the
form of some roughly druwn bluckundwhlte sketches. 8y , thls
slmle concet hud been turned lnto reullty und hud generuted scc
mllllon ln worldwlde llcenslng revenues. 1he ldeu, whlch doesn't seem ull
thut lntellectuul but wus certulnly rofltuble, ls culled 1eenuge Mutunt
Nlnju 1urtles. Lver heurd of them? Your teenuger hus.

=DHCIT!6B!%GLKQ!FLRDKGLKQ!HI!ETT!NJFHL]FD!GHODENG!IX!LKRIND!HI!UIJO!
DaLGHLKQ!^JGLKDGG?!
!
As wlth the Eung 1en logo, you mlght flnd thut stlcklng logos on other
eole's roducts ls even more rofltuble thun bulldlng the roducts
yourself. Uslng thls concet, sorts llcenslng hus udded huge streums of
Multlle Streums of lncome QulckSturt Culde 100
lncome to the bottom llne of ull mujor sorts. Money ls mude not just by
selllng tlckets to sortlng events or by selllng rlghts to see these events
on televlslon, but by llcenslng footbull, busebull, busketbull, hockey, und
soccer logos for clothlng, equlment, und roduct endorsements. 1hls ls
u multlbllllondollur lndustry. 1he teums don't munufucture the clothlng
or equlment themselves. 1hey just llcense others to do so.

1hlnk ubout the Clymlcs. 1he Clymlc Commlttee doesn't
munufucture, murket und move roducts thut beur the Clymlc logo. lt
just llcenses other to do ltund collects royultles. As un lndeendent
buslnesserson, you could ucqulre the rlghts to use the Clymlc logo to
enhunce the sule of your roducts. 8ut the referred osltlon ls to be
the llcensor, not the llcensee.

=DHCIT!7B!$RgJLOD!HCD!FLRDKGD!HI!GINDIKD!DFGDYG!LTDE!EKT!QOIW!LH!XOIN!
GROEHRC?!
!
Look ut 8lll Cutes. LCS wus uctuully someone else's rogrum, whlch
Cutes ucqulred for the sum of sc,ccc und urluyed lnto u comuny thut
mude hlm the rlchest mun ln the world. You see, your multlmllllondollur
ldeu doesn't even huve to orlglnute ln your own heud.

=DHCIT!0B!%GD!FLRDKGLKQ!HI!ETT!NJFHL]FD!GHODENG!IX!LKRIND!HI!GINDIKD!
DFGDYG!DaLGHLKQ!^JGLKDGG?!
!
1here ure thousunds of buslnesses ln every country ln the world thut
need to be educuted on the beneflts of llcenslng. Llther they need to
llcense thelr own roducts for sule (llke the Luroeun creutor of the
101
Smurfs) or then need to llcense other eole's ldeus to enhunce the sule
of thelr own roducts (llke Lurucell.) You could be the erson to
educute these buslness und eurn u streum of lncome us u result.

1hls klnd of urouch wus used by un enterrlslng lnforeneur
who turned u tl lnto mllllons of dollurs of revenue for hlmself und hls
cllent. Accordlng to the story, thls mun notlced ln u trude journul thut u
New York symhony orchestru wus lunnlng to resent un evenlng of
muslc entltled Murllyn, devoted to the llfe und cureer of the fumous
uctress.

1hls wus the surk thut he needed. Ee contucted the estute of u
hotogruher thut contulned u rure collectlon of Murllyn Monroe
hotogruhs, ucqulred the merchundlslng rlghts to Murllyn Monroe's
nume, und llcensed the creutlons of roducts to colnclde wlth the
evenlng of the symhony. 1hen he contucted the symhony und usked lf
lt would ullow u seclul exhlbltlon of Murllyn's rure hotos ln conjunctlon
wlth the symhony erformunces. 1he symhony, of course, wus
dellghted. 1he reubllclty ulso uttructed other owners of rure
hotogruhs, who were ulso ullowed to dlsluy thelr hotogruhs ln thls
seclul showlng. vendors were contucted to creute Murllyn merchundlse
eseclully for the show culendurs of hotos, scurves, sweuters, 1shlrts,
ens und u host of reluted merchundlse ull of whlch were roduced
under llcense from the romoter. 1he ubllclty greutly lncreused ubllc
Multlle Streums of lncome QulckSturt Culde 102
uwureness, mllllons of dollurs of Murllyn merchundlse wus sold, und the
bottom llne wus huge streums of llcenslng royultles.

'IW!HI!>DH!&CDOD!XOIN!'DOD!
!
Let's exlore u flveste lun for cushlng ln on llcenslng.

.HD]!4B!.EHJOEHD!UIJO!NLKT!WLHC!HIFFQEHD!HCLKPLKQ?!
!
Sturt thlnklng llke 8lll Cutes. Lvery moment of hls llfe seems to be sent
thlnklng of wuys he cun become the tollgute through whlch eole huve
to uss (for u smull fee) to uccess seclflc lnformutlon. Muybe thut's why
hls nume ls Cutes. Ee hus effectlvely become the tollgute to the
mlnlcomuter world. Uslng thls sume thlnklng, Cutes ls now ucqulrlng
vust llbrurles of hoto urchlves of fumous urt ull over the world. 1hese
hotogruhs ure belng dlgltlzed, und eole who use them wlll huve to
uy 8lll u smull royulty for the rlvllege. Cnce uguln, he's the tollgute.
Ee's llnlng u struteglc ulllunces wlth buslnesses ull over the world. Ee
wunts just u llttle lece of ructlcully everythlng thut ls sold. Ee wunts to
be the tollgute. You und l should sturt thlnklng more llke 8lll. l'd be
huy wlth just one onethousundth of hls net worth, wouldn't you?

.HD]!6B!/ODHDKT!UIJYOD!E!FLRDKGLKQ!NIQJF?!
!
Muke u gume out of notlclng ut leust one llcenslng osslblllty euch und
every duy. vutch your hot trends und hot eole. Reud newsuers und
trude journuls. vhen you sot u romlslng ldeu or concet, usk yourself,
"l wonder lf they've glven u the worldwlde rlghts?' "vould thut ldeu
103
look good on u 1shlrt?' "vhut does thls buslness need ln the form of u
llcensuble ldeu thut could muke us both u fortune?' "Eow couth they
squeeze more roflt out of thelr successful buslness?' "vould klds llke
thls?' "Eow could l hel someone become fumous und muke us both rlch
ln the rocess?' "Eow could l murket thls ldeu to the rest of the world?'
!
.HD]!7B!.]DKT!E!TEU!EH!HCD!FIREF!FL^OEOU!IO!^IIPGHIOD?!
!
Perhus you remember my fumous outrugeous ubllc clulm:

;@"(8!,"!+2!.(%!A'+%K!!R.>"!.5.%!,%!5.**"+K!
]'#"!,"!.!ZHMM!9'**K!!4(8!'(!^F!/21$&!LV**!91%!.(!"XA"**"(+!
_'"A"!2:!$".*!"&+.+"!1&'()!(2("!2:!,%!25(!,2("%KB!
!
1he LA R',"& chullenged me to rove lt. vlth u reorter by my slde, l
bought seven roertles ln , hours. lt wus u greut leurnlng exerlence.

l chullenged len lerr, the llcenslng guru, to u slmllur dure: to be
droed ln u strunge clty wlthout rlor contucts or resources und flnd,
negotlute, und slgn u rofltuble llcenslng deul wlthln ,z hours. Ee
ucceted und told me exuctly how he would do lt. 8efore l reveul hls
solutlons, let me usk you, how would you do lt?

Eere's whut he would do: Ee would go dlrectly to the muln brunch
of the locul ubllc llbrury und usk one of the llbrurluns to show hlm the
utents on mlcroflche. 1here ure thousunds of utents fllllngs, wlth
Multlle Streums of lncome QulckSturt Culde 104
more belng udded dully. Next he would scun though mlcroflche, muklng
u llst of those roducts, ldeus, or lnventors thut he felt hud mujor
otentlul. 1hen, uslng the lnventor's hone number or uddress llsted on
the utent form, he would contuct ut leust c whose ldeus he hud
selected to be worthy. ln len's exerlence, out of c of these
lnventors do not huve murketlng or llcenslng ugents und ure very oen to
dlscusslng such un urrungement. Ee would lck the best ulternutlve,
urrunge for worldwlde llcenslng rlghts, und slgn the ugreement.

lf the utent sectlon dldn't yleld frults fust enough, len would scun
the howto sectlon of the llbrury. Cr buck lssues of the New York 1lmes
best seller llst. 1here ulwuys seem to be uuthors und exerts who huve
not cultullzed on thelr vulue und who ure wllllng to grunt llcenslng rlghts
to the lnformutlon roducts not covered ln thelr ubllshlng royulty
ugreement. lf the llbrury lsn't current enough, uny mujor bookstore
could rovlde lenty of fodder for chullenge. Cne wuy or unother, he felt
thut ,z hours would be more thun udequute.

ln one such exerlence, len wus uble to ucqulre the dlrectmull
murketlng rlghts to u fumous uuthor und hls work. ln u short tlme, he
uld thls uuthor over u hulf u mllllon dollurs ln llcenslng fees, to the
beneflt of both urtles.

.HD]!0B!)LKT!E!NEKJXERHJODO!IO!DKT!FLRDKGDD?!
!
105
Cnce len hud ucqulred llcenslng rlghts to u utent, he would look
through the 4,"$'A.(!W")'&+$%!2:!=.(1:.A+1$"$&, whlch llsts ull mujor
munufucturers by subject. Leendlng on the ldeu, he would contuct
munufucturers und try to lnterest them ln u llcenslng ugreement.

lor exumle, suose thls concet lncluded the murketlng of u
busebull cu wlth u seclullzed logo. 1he W")'&+$% llsts dozens of busebull
cu munufucturers, euch wlth lts own dlstrlbutlon chunnels ulreudy ln
luce. lf the ldeu ls rlght, the munufucturer rovldes seed cultul,
lnventory, rollout, und dlstrlbutlon, wlth lnstunt uccess to hundreds of
outlets.

.HD]!9B!,KhIU!FLXDHLND!GHODENG!IX!OIUEFHU!RCDRPG?!
!
Yes, thls dlscusslon ls un overslmllflcutlon of u very comlex subject.
My urose hus been to oen your mlnd to lt, to lncreuse your
uwureness ubout lt, to lunt seeds of osslblllty thut ut leust once ln your
llfe you'll be uble to roflt from the ldeus l've shured wlth you here. lf
you'd llke u free seclul reort, "1he Llttlelnown Secrets to the vorld
of Llcenslng' by len lerr, just vlslt my web slte ut
www.multllestreumsoflncome.com und l'll emull u coy of lt to you.
Lnter the keyword len lerr.

Eere ure unswers to some of the questlons you're robubly
thlnklng rlght now.

Multlle Streums of lncome QulckSturt Culde 106
i? vhen ls the best tlme to ucqulre u llcense to murket someone
else's roduct?

$? vhen they don't wunt un urm und u leg for lt. Llsney toduy
churges ubout scc,ccc u front for u seclflcuse llcense to
Mlckey Mouse, lus ubout ercent of gross wholesule
revenues. 1hls ls one of the hlghest rutes ln the lndustry. lf u 1
shlrt ls sold for szc, the wholesule cost ls ubout sc. Llsney
recelves ercent of the sc wholesule cost, or s.c, every
tlme u 1shlrt ls sold. 1hut's toduy. 8ut yeurs ugo, the
buslnessmun who flrst ucqulred the rlghts to do thls robubly
uld nothlng.

1he llcenslng rlghts to the entlre Cubbuge Putch llds doll
concet were offered to len lerr for free. At thut tlme, the
lnventor would huve been huy for uny hel to get the dolls
lnto the murketluce. len ussed on the offer, llke most
everyone else ln the lndustry. Llve und leurn. A few short yeurs
luter he uld s8c,ccc for the llcenslng rlghts for just one smull
urt of the Cubbuge Putch doll llcense.

So, lt's u good ldeu to wutch the rlslng sturs. 1hey usuully don't
know the vulue of whut they huve und ure unxlous for uny extru
revenue. ln muny cuses, the llcenslng rlghts cun be ucqulred for
107
next to nothlng. And the ongolng royultles cun be ercent on
the low end u to c ercent.

Nonetheless, lt ls osslble to muke nlce streums of money from
un exenslve, hot roerty llke Power Rungers or un
estubllshed roerty llke the Muetslf you've got the cush.
8ut remember the money tree formulu: 1he ` ln MCNLY stunds
for Nothlng down. lt's there for u reuson. lee your rlsks low.
1here's got to be one good, lnexenslve llcenslng ldeu stlll out
therewlth your nume on lt.

! i? vhut ure some other wuys thut un exlstlng buslness cun eurn un
extru streum of lncome from llcenslng?

$? Let's tuke the unllkely exumle of the LA coroner's offlce.
Some smurt Llcensor hus convlnced thls government offlce to
llcense merchundlse1 shlrts, sweutshlrts, bumer stlckers,
und body chulk for druwlng the outllne of deud bodles on the
floor, to nume just u few. 1hese ltems ure becomlng very
oulur. vho would huve guessed thut such u morbld
government ugency could be converted lnto u wlldly successful
entrereneurlul source of money?

Could you cultullze on thls ldeu? Are there other coroner's
offlces ln the world? Chunge the nume, coy the ldeu, und
erhus he resultlng streums of lncome could be yours. 1here's
Multlle Streums of lncome QulckSturt Culde 108
nothlng wrong wlth coylngus long us you don't cross legul
boundurles. After ull, how muny humburger restuurunts ure
there?

Let's tuke unother exumle: the Eollywood Chumber of
Commerce. Lld you know thut the fumous Eollywood slgn ln
the hllls of Eollywood ls trudemurked? vhenever un lmuge of
thut slgn ls shown unywhere, u fee must be uld to the
Eollywood Chumber of Commerce. 1he sume holds true for the
sturs on the Eollywood vulk of lume. 8et you dldn't know
thut, dld you?

llnully, let's exlore the exumle of gold's Cym, where you'll
flnd musclebound men und women ln mujor cltles nutlonwlde.
lt ls my understundlng thut ulmost uny gym cun become u
Cold's Cym for u very nomlnul fee. Eowever, euch llcensed
Cold's Cym must sell the Cold's Cym 1shlrts und other
bodybulldlng uruhernullu, thus rovldlng huge llcenslng und
merchundlslng revenue to Mr. Cold from hls nutlonwlde
network.

i? Eow ubout frunchlslng? ls frunchlslng u form of llcenslng?

$? Yes, but there's too much work lnvolved for my tuste. vlth u
frunchlse, you llcense your successful buslness ln exchunge for u
lum sum frunchlse fee lus u ercentuge of the gross roflts.
109
Reslduul streums? Yes. Lots of work, rlsk, effort, munugement,
emloyees? Yu. ls thls u money tree? Noe. Cot to be un
eusler wuy.

i? vhut lf someone husn't rotected hlm or herself wlth the
urorlute coyrlghts, trudemurks, or utents?

$? Lld you know thut the "Euy 8lrthduy' song wus not
coyrlghted untll u smurt womun dld the reseurch und
dlscovered lt wus ln the ubllc domuln?
She wus grunted coyrlght, und euch tlme you heur thls song
belng luyed on the ulr, u royulty ls uld to thut smurt womun.
Cr so they tell me.

Lld you know thut ln the 6cs some of the mujor Amerlcun cur
comunles hud fulled to roerly coyrlght und trudemurk thelr
logos ln Luroe? lt wus u multlmllllondollur mlstuke. Cne
enterrlslng young college student dlscovered the overslght
und went from country to country ln Luroe dolng necessury
legul work to "cuture' the numes. ln order to sell thelr curs to
Luroe, these cureless U.S. cur comunles ended u uylng hlm
mllllons ln llcenslng fees.

vell, there you huve llcenslng ln u nutshell. As l suld eurller, u
llcenslng ldeu ls bound to full out of the sky und hlt you someduy. Let's
hoe your mlnd ls oen und the tlmlng ls rlght.
Multlle Streums of lncome QulckSturt Culde 110
*EFEKRLKQ!$RHB!
>DHHLKQ!AIJO!$RH!&IQDHCDO

Multlle streums? Multlle tusks? Multlle heuduches!

Eow cun you osslbly juggle ull of the detulls of your ersonul llfe
fumlly, fun, frlendslus hundle the myrlud detulls of your multlle
streums of lncome? lt cun be overwhelmlng.

Remlnds me of the lute slnner. Remember hlm? Ee sturts by
slnnlng one lute on the to of u stutlonury stlck. 1hen he slns unother
lute on u second stlck. 1hen u thlrd lute. 8y thls tlme, the flrst lute hus
sturted to wobble, so he returns to resln lt - then the second und the
thlrd. Ee udds u fourth slnnlng lute. And u flfth. 1hen he returns to
resln uny lute thut ls ubout to full he udds u slxth lute. You the
breuthless just wutchlng hlm runnlng from wobbllng lute to wobbllng
lute, reslnnlng euch just u sllt second before cutustrohe. Loes thls
sound llke your llfe?

Llfe dldn't used to be thls comllcuted. Mukes you nostulglc for the
cs wlth onelncome fumllles und the securlty of llfetlme emloyment.
Sorry. Somebody oened Pundoru's box, und out stumeded four
hoursemen: globul cometltlon, the comuter chl, the lnternet, und
lnstunt worldwlde communlcutlon. lt's u dlfferent world thun the one our
urents rulsed us ln. ve must udut.
111

Remember the old Chlnese suylng? Mun who chuses two rubblts
loses both. lf Confuclus were ullve toduy, he'd robubly suy: Mun must
chuse ten rubblts ln order to cutch three.

'ust remember, the moneytree buslnesses you've leurned ubout ln
thls book ure dlfferent thun most buslnesses. 1hese buslnesses ure
deslgned to eventuully oerute wlth llttle or none of your resence!
1herefore, ulthough they muy tuke tlme to get u und slnnlng, they sln
much eusler und much longer by themselves. 1hls glves you tlme to get
unother streum of lncome u und slnnlng.

.DMDK!&LND!&L]G!XIO!HCD!
&WDKHU\XLOGH!"DKHJOU

8ut you stlll huve to be more efflclent thun ever before. lf you
exect to be u oneerson homebused buslness, every second hus to
count. Let me shure wlth you how to squeeze the most umount of
uctlvlty lnto the shortest erlod of tlme so thut you cun huve us much
free tlme us osslble. Let's set us our goul munuglng ut leust slx streums
of lncome slmultuneously on us llttle us one hour er duy. You cun send
the rest of your tlme sholng, golflng, whutever.

.HOEHDQU!4B!(DNDN^DO!&CEH!&LND!1G!=IKDU!

Multlle Streums of lncome QulckSturt Culde 112
Euve you ever heur the suylng, "1lme ls money'? Lo you know
whut thut meuns? lt obvlously doesn't meun thut tlme equuls money. lf
thut were the cuse, we'd ull be mllllonulres. 8ut lt does meun thut tlme ls
llke money. lt's u scurce resource thut, llke money, hus to be munuged.

l leurned of u concet ln u college economlcs cluss thut l've never
forgotten. lt's culled oortunlty cost. Suose u erson only hus s,ccc
to lnvest. She cun buy elther lnvestment A or lnvestment 8. She hus to
muke u cholce. 8y chooslng A, she hus to forfelt the oortunlty to do
somethlng else.

1lme ls the ultlmute scurce resource. An hour sent ln front of the
1v tukes uwuy from tlme you could huve sent ln front of u comuter
wrltlng your book or ln front of your son or duughter bulldlng u better
relutlonshl.

1here ls one ureu ln whlch tlme usses, lt ls gone forever. Your only
cholce ls to lnvest your tlme more wlsely ln the future. 1lme wlsely
lnvested ls llke comound lnterest: Smull dully deoslts cun multlly lnto
u mugnlflcent llfe.

8enjumln lrunklln belleved ln ructlclng dully vlrtues. Els flrst
two vlrtues were lndustry und frugullty. Ee suld,
R/"!5.%!+2!5".*+/7!':!%21!8"&'$"!'+7!'&!.&!D*.'(!.&!+/"!5.%!+2!,.$>"+K!
L+!8"D"(8&!A/'":*%!2(!F!52$8&K!L(81&+$%!.(8!U$1).*'+%K!R/.+!'&7!
113
5.&+"!("'+/"$!+',"!(2$!,2("%7!91+!,.>"!+/"!9"&+!1&"!2:!92+/K

Cood udvlce.
.HOEHDQU!6B!)IRJG!IK!HCD!"OLHLREF!)DW!
ln Chuter l brlefly lntroduced you to the 8cjzc rlnclle. Now,
let's go lnto more deth. 1o get rlght to the heurt of your llfe, 8c ercent
of the thlngs you do uccount for only zc ercent of your results.
Conversely, zc ercent of the thlngs you do uccount for 8c ercent of
your results. 1hls ls culled the Pureto rlnclle ufter the ltullun soclologlst
who ostuluted lt over cc yeurs ugo. lt seems so slmle but hus
rofound lmllcutlons. Cne wrlter referred to thls us "the crltlcul few
versus the trlvlul muny' becuuse 8c ercent of the thlngs we do euch duy
ure trlvlul (ulmost u wuste of tlme becuuse they roduce so few results)
und zc ercent ure crltlcul (l.e., vltul to our rogress).

Let's comure tlme to money. Suose you only huve scc to
lnvest no more, no less. You buy two lnvestments, uttlng szc lnto
lnvestment A und s8c lnto lnvestment 8. A yeur luter, you flnd thut your
szc ln lnvestment A hus eurned u roflt of s8c, whlle your s8c
lnvestment ln 8 hus eurned only szc. 1he results ure us follows:

lnvestment A: s8c roflt szc lnvestment = cc return
lnvestment 8: szc roflt s8c lnvestment = z return
ln other words, euch dollur lnvested ln A eurned 6 tlmes more
money thun u slmllur dollur lnvested ln 8 (cc z = 6). Cne wus u hlgh
Multlle Streums of lncome QulckSturt Culde 114
leveruge lnvestment, the other, by comurlson, wus u lowleveruge
lnvestment. ls there uny questlon ubout where your dollurs should be
concentruted?

1he sume ls true for tlme. 8rlun 1rucy wrltes of u study ln whlch un
lnsurunce comuny dlscovered thut, ln fuct, zc ercent of lts suleseole
uctuully dld uccount for 8c ercent of the comuny sules. Moreover, the
uveruge suleserson ln the to zc ercent - those crltlcul few - eurned 6
tlmes more money thun the uveruge suleserson ln the bottom 8c
ercent.

vhut were they dolng dlfferently? 1he emloyees ln both grous
sturted euch duy wlth exuctly the sume umount of tlme to send (or
lnvest): z hours, or ,c mlnutes, or 86,cc seconds. 1lcktock.
1lcktock. Eow they lnvested thls tlme hud enormous lmllcutlons ln the
results they roduced. Cne grou concentruted on hlghleveruge
uctlvltles (those crltlcul few tusks thut yleld rlch dlvldends), whlle the
other grou got bogged down ln the trlvlul (those tlmesulng uctlvltles
thut roduce few or no results).

lnowlng thls, the key to your success ls to ructlce the next
strutegy.

.HOEHDQU!7B!AIJ!=JGH!+DEOK!'IW!HI!/OIROEGHLKEHDj!

115
l'm not joklng! Procrustlnutlon ls ubsolutely essentlul to your
success. You muy huve ussumed thut only the losers ln thls llfe
rocrustlnute. Cn the contrury, the most successful eole on thls lunet
ure ulso muster rocrustlnutors. Losers work on the 8c ercent und
rocrustlnute on the zc ercent. vlnners do just the ooslte: 1hey
lmmedlutely tuckle the hlghleveruge zc ercent und rocrustlnute on
the trlvlul 8c ercent.

lt's suld thut Nuoleon oened hls mull only once u month. vhy?
8ecuuse lf lt wus stlll lmortunt ufter u month, he uttended to lt, lf not, lt
wus junk mull. Ee focused hls tlme und energy on only those thlngs thut
would tuke hlm more qulckly und more surely towurd hls objectlves, hls
urose. And he rocrustlnuted dolng everythlng else. 1hls ls lmortunt
enough to lllustrute:

65_!"OLHLREF!)DW! ! ! 85_!&OLMLEF!=EKU
vlnners Lo lt now. Lo lt luter.
Losers Lo lt luter. Lo lt now.

Lld you get thut? locuslng on the crltlcul few ls u hlghleveruge uctlvlty. lt
glves you 6 tlmes fuster results!

.HOEHDQU!0B!&COIW!$WEU!AIJO!&I\2I!+LGH
lf you're llke most eole you sturt your duy wlth u todollst,
whlch you creute the sume wuy every duy. You try to muke u
Multlle Streums of lncome QulckSturt Culde 116
comrehenslve llstlng of everythlng you huve to do. 1hen you sturt
crosslng thlngs off us qulckly us you cun uccomllsh them. 1here's such
un endorhln rush whenever you cross somethlng off. lt's ulmost
orgusmlc.

8ut gettlng thlngs done ls not the sume us gettlng the rlght thlngs
done. very few eole slt down to exumlne the nuture of the tusks on
thelr tcdollsts. 8y deflnltlon, 8c ercent of the ltems on your todo llst
ure trlvlul.

1rlvlul uctlvltles ure generully fun, fust, und frlvolous.

Call Bill to set up tennis match.
Get tickets to the play.
Buy book at the bookstore.
Have lunch with old high school chum.

Crltlcul uctlvltles ure generully more dlfflcult, tuke longer, ure more
lmortunt, und lnvolve more rlsk of fullure.

Talk to boss about the new project
Write my book.
Take spouse to lunch to discuss how to make our average
marriage great.
Cne duy, ln reurlng my own todo llst, l uctuully wrote the
followlng ltems ln thls order:

117
Call publisher about the new manuscript.
Write newsletter article.
Check on tenant in unit #3D.
Make my wife feel like the most important person in the
world.

1hut's how outofbulunce my llfe hud gotten!

1he truth be told, the most lmortunt usect of our llves rurely
muke un ueurunce on our todo llsts!

Llscover my urose ln llfe.
Levelo u deeer relutlonshl wlth Cod.
Love my chlldren
Leurn how to love everyone uncondltlonully

Lon't succumb to the tyrunny of the trudltlonul todo llst. 1urn lt
lnto u ower llst. Lruw u llne through the to ortlon of your uge
dlvldlng lt lnto two ortlons. 1he to ortlon of the llst ls reserved for the
crltlcul zc und the bottom ortlon ls reserved for the 8c trlvlul.

8efore you wrlte somethlng on your llst, usk yourself: ls thls u zc?
Cr ls thls un 8c? vrlte your crltlcul uctlvltles ut the to und your trlvlul
uctlvltles ut the bottom. 1hls forces you to constuntly focus on your
crltlcul few uctlvltles. vork on the to of the llst most of the tlme. Lro
down to the bottom only when you wunt to tuke u breuk. Lon't exect
Multlle Streums of lncome QulckSturt Culde 118
to get everythlng done every duy. A llttle lmrovement every duy - thut's
your goul. 8etter to work on only three crltlcul ltems, even lf you don't
comlete them, thun to cross off zc trlvlul thlngs.

Strategy 5: Reward Yourself for Doing the Right Things

1ell the truth: lt feels good to cross thlngs off your todo llst, doesn't lt?
Euve you ever gotten to the end of your duy und remembered thut you
uccomllshed somethlng thut wusn't on your todollst - so you stoed,
udded lt to your llst, then crossed lt off? vhut u rush! A hlt of ure
leusure. Cnly one roblem - you've been rewurdlng yourself for dolng
the wrong thlngs. Llke u luborutory rut, you've been trulnlng yourself to
do the leust lmortunt thlngs flrst. Cos.

1here's u greut book by Mlchuel Le8oeuf, Ph.L., culled ]=_3!R/"!
]$".+"&+!=.(.)","(+!_$'(A'D*"!'(!+/"!\2$*8. Eere's the book ln u nutshell:

R/"!+/'()&!+/.+!)"+!$"5.$8"8!)"+!82("K

lf you rewurd yourself for dolng thlngs thut don't count, your todo llst
wlll become u mugnet for unlmortunt uctlvltles. 1herefore, only rewurd
yourself for dolng the crltlcul uctlvltles. lf you do, the world wlll ulso
rewurd you hundsomely.

119
1he rocess of rewurdlng yourself ls culled osltlve relnforcement. And
lt's extremely owerful. Euve you ever wondered how the trulners ut Seu
vorld got Shumu, the llller vhule, to leu hlgh out of the wuter on
commund? 1he trulner flrst hud Shumu swlm over u ole luced on the
bottom of the tunk. vhen Shumu swum over the ole he got u flsh. lf
Shumu dldn't swlm over the ole he got nothlng. (Rewurd osltlve
behuvlor. lgnore negutlve behuvlor.) 1hen the ole wus rulsed severul
feet. lf Shumu wunted to eut, he soon leurned whut to do. Next the ole
wus rulsed to wuter level. Shumu got u lot of flsh lf he rolled over the
ole. You get the ldeu. vlthln u short erlod of tlme, the trulner hud
rulsed the ole c feet ubove the wuter. Shumu got u huge rewurd for
jumlng over the ole. Shumu wus no dummy. Ee llked flsh. And thut's
how u trulner gets u llller vhule to jum out of wuter on commund.

Your bruln oerutes exuctly the sume wuy. lf you rewurd yourself for
your most osltlve uctlons, you wlll get more of them - ulmost
effortlessly. And lf you reully wunt to suerchurge your duy, follow the
next strutegy.

.HOEHDQU!3B!2I!UIJ!)&)B!)DEODT!&CLKQG!)LOGH

vhlch uctlvlty on your llst do you feur the most? 1hut's your l1l. vhen
you sturt your duy, usk yourself, "vhut's my l1l toduy?' Sturt your duy
wlth thut uctlvlty.

Multlle Streums of lncome QulckSturt Culde 120
Most eole do just the ooslte. 1hey scun thelr todo llst to flnd
somethlng thut they cun cross off qulckly. 1hey do thelr fust thlngs flrst.
Cr the fun thlngs flrst. Sometlmes, they even do flrst thlngs flrst. 8ut l
belleve you should tuckle the feured thlngs flrst. lf you get thut out of the
wuy, the burden wlll be llfted und you wlll feel u surge of energy thut wlll
roel you through the rest of the duy. vhy ls thls?

Cenerully, whenever you hesltute or reslst dolng somethlng, there ls u
reuson. Cften, lt ls feur. Peole ure slmly ufruld to full. leur blocks us
from dolng our hlghly leveruged uctlvltles..leur blocks our success.
Some eole would ruther do nothlng successfully thun do whut reully
counts und rlsk fulllng. leur ls too exenslve u hublt. So let's leurn to
recognlze lt, fuce lt, tuckle lt, und move through lt. 1hen rewurd yourself.
Clve yourself u verbul ut on the buck. 1uke u short breuk. Notlce how
good lt feels. Clve u klller whule u flsh. 8y trulnlng yourself to do your
l1l, you unconsclously urge yourself to tuckle tougher tusks.

.HOEHDQU!:B!/OERHLRD!HCD!.]DDT!IX!>ILKQ!.FIW!

llnully, wlth ull the tulk of gettlng thlngs done, l've suve the most
lmortunt strutegy for lust. ln hls excellent book, Y':"9.*.(A", Rlchurd
Lyre uses u cutchy hruse to descrlbe the necesslty for bulunce ln our
llves. Ee culls lt the "seed of golng slow.' lt's the consclous declslon to
work on ull ureus of your llfe constuntly so thut nothlng ls out of bulunce.
121
1here ure slx mujor resources ln your llfe thut need to be ket ln constunt
bulunce:

8elng
8ruln
8ody
1lme
Peole
Money

Let's tuke u brlef look ut these slx ureus of our llves.

AIJO!^OELK

1he bruln ls the most owerful comuter ln the unlverse. 1hey suy thut
we use only u fructlon of our otentlul, muybe ercent. lf you could just
lmrove the use of your bruln by u tlny fructlon, you would muke musslve
lmrovements ln your llfe.

AIJO!^ITU

vhut un lncredlble too lt ls. Your heurt beuts over cc,ccc tlmes u duy
wlthout u slngle consclous thought on your urt. Amuzlng, lsn't lt? Not to
mentlon your eyes, eurs, tuste, und smell. vhut un lncredlble sensory
uurutus. Eow ls your body now? Could you be more roductlve toduy
Multlle Streums of lncome QulckSturt Culde 122
by treutlng your body wlth more cure? Could thls leud to more money ln
your ocket? l thlnk so.

AIJO!^DLKQ

Some eole cull lt slrlt. Cthers cull lt soul. l cull lt belng. lt's your
essence, your belng. lt's the urt of you thut's unlque und eternul.
Sendlng tlme on your slrltuul slde glves you ersectlve on the dully
ressures of llfe. vlth ersectlve, you cun be more grounded, more
trunqull, more ut euce. 1hls ls u very lmortunt urt of my llfe. Llfe
would be meunlngless wlthout lt.

Accordlng to u Cullu oll, ubout ercent of North Amerlcuns belleve
ln u hlgher ower. ve just use dlfferent numes: Cod, Unlverse, Elgher
Power, Alluh, Nuture, the Slrlt, und so forth. Muny of our bellefs ure very
slmllur ut the wholesule level. lt's only ut the retull level thut the
confuslon sets ln. 8ut thut's not the olnt l'm trylng to muke.

lf there ls u hlgher ower - un ull knowlng lntelllgence or belng - then
whut better urtner could you huve us you creute multlle streums of
lncome? 1hls wus Rockefeller's bellef, und he guve uwuy fully c ercent
of hls lncome ull hls llfe.

As l look buck over my llfe, l reullze thut muny of my most owerful
lncome streums were ulmost lmosslble to lun. 1hey just seemed to
123
dro out of the sky. 1hut's why l thlnk lt's lmortunt to work on your
slrltuul slde. Perhus you wlll be the condult through whom the hlgher
ower wlll dlrect seclul streums of lncome to bless the llves of muny
others.

&LND

Cun you lmuglne unyone ut the to of hls or her rofesslon who lsn't
orgunlzed? llnd of rldlculous, lsn't lt? Eow orgunlzed ure you? lf you'll
ructlce the strutegles ln thls chuter, you wlll be umuzed ut how much
more effectlve you cun become.

/DI]FD

vhut ls llfe wlthout eole? Peole ure the bottom llne. Eow ure your
relutlonshls? Could they be better? vhlch relutlonshls do you wunt to
lmrove? vhut smull thlng could you do ln the next hour to lmrove thut
relutlonshl?

=IKDU

llnully, whut ubout money? vho ever hus enough? ve ull know thut
money doesn't buy hulness, but we'd llke to flnd out for ourselves,
rlght?

Multlle Streums of lncome QulckSturt Culde 124
vhut huens when on ureu of your llfe gets out of bulunce? Lver known
someone who wus strong ln one ureu but neglected the other ureus?
Look ut Eowurd Eughes. A glunt ln money but u ygmy everywhere else.
1hut's not success. Lver known someone wlth u lot of greut ldeus thut
never got off the ground becuuse he or she wus dlsorgunlzed? Lver
heurd of someone who neglected hls or her body ln ursult of money
und dled of u remuture heurt uttuck? And then there's the erson who
seems to huve lt together ln ull the other ureus but just cun't seem to
muke uny money.

You cun be strong ln one ureu - but u chuln ls no stronger thun lts
weukest llnk. Sooner or luter, unless you get your totul uct together, your
Achllles' heel wlll revent you from reuchlng the to. Cun you thlnk of
uny exumles of thls? Murllyn Monroe. Llvls Presley. 'ohn 8elushl. Cun
you thlnk of uny olltlcluns wlth un Achllles' heel? vhut ubout televlslon
evungellsts? 1he llst ls endless.

So whut's your weuk llnk, your Achllles' heel? lf you don't strengthen thut
weuk llnk, llfe wlll exlolt lt. ln tennls, the flrst thlng your oonent does
ls to slze you u, looklng for your weuk sot - muybe lt's your buckhund.
lt doesn't mutter how good your forehund ls, or your lob or your
urouch to the net. Your oonent luys to thut weuk sot untll you're
blown off the court. Cume. Set. Mutch. You're hlstory! Untll you lmrove
your buckhund, you're never golng to rlse ln the runklngs.

125
You'll notlce the eole you reully udmlre - the ones who muke lt blg und
kee lt blg - ure those who huve lt together ln ull slx ureus of thelr llfe.
1here's such u temtutlon to jum ln und ursue ln ull slx ureus of thelr
llfe wlth slngle mlnded determlnutlon. ve tell ourselves, "vell, once l
muke my flrst mllllon, l'll huve lenty of tlme for relutlonshls,' or, "As
soon us my muterlul slde ls tuken cure of l'll focus on my hyslcul slde or
slrltuul slde.' ln the ruce between the tortolse und the hure, lt's very
frustrutlng to wutch your cometltlon seed off u uheud whlle you tuke
tlme to bulunce your llfe. 8ut the hure ls golng to huve u flut tlre u uheud
und wuste u lot energy trylng to flx lt. 1hen you'll uss hlm u und leuve
hlm forever ln your dust.

lt's u roven fuct thut bulunced lndlvlduuls huve only c ercent us muny
serlous lllnesses us those who ure muludjusted. So slow down,
strengthen your weuknesses, reguln your bulunce, und work on ull slx
ureus of your llfe dully. Slnk your ylons dee lnto the eurth so thut the
skyscruer of your llfe wlll be bullt on u flrm foundutlon.

1hls ls my home for you: u llfe overflowlng wlth ubundunce of ull klnds -
multlle streums of lncome, joyful relutlonshls, boundless energy und
heulth, u qulck mlnd, und u strong slrlt.