For entrepreneurship to be worth it you need to make 2-3x the money you could at a job. Entrepreneurship culture glamorizes the good parts but doesn't touch the bad parts. When things are good you're on top of the world, but when things are bad it can feel all-consuming. There's a premium that makes dealing with the stress of managing, hiring, firing, financing, selling, etc. and for me, it's roughly 2-3x what I could expect to make. If you could make $250K in tech sales, you need to make $500k-750K as an entrepreneur for it to be worth it. If you aren't getting significant leverage from employees, capital, or tech (meaning you're making that same $250K) it's a recipe for misery. Build a bigger company. I used to think I wanted small companies, but as I've gained experience I'm realizing bigger companies provide security, the ability to hire competent employees, and install management. For example a $10M company with 25% margins = $2.5M in profit. Assume the shareholders get $1.5M and $1M is left in the business. $250K in 40 hours per week = $120 per hour This comes out to 12x the earnings. I've spent a bunch of time thinking about this and come to the following conclusion: Achieving some level of scale is the only way to make entrepreneurship worth the headaches and stress. |
I've bootstrapped multiple seven-figure companies and am sharing hard-earned lessons and insights about entrepreneurship.
NNN expenses are starting to impact industrial rent growth. Why? Because class B/C industrial tenants don’t care about base rent. They care about the total check they write every month for real estate costs.(I've experienced this first hand on the tenant side) For example... In Metro-Boston’s industrial market, base rents for Class B space average $12.50 per SF, but total occupancy costs often hit $18-$20 per SF. Operating expenses can run $6-$8 per SF (usually $3-5), with property taxes...
As mentioned last week, I'm currently under contract on an Industrial / Industrial Outdoor Storage (IOS) property about 20 miles from Boston, MA. I've kicked off my due diligence process, and I figured it would be helpful to shed light on the costs and process in general. PS: If you want to see my real estate deals, quarterly updates, and new CRE opportunities, join my RE Investor List. When buying CRE, you cannot cheap out or do half-assed due diligence. To successfully execute a deal, you...
Hey Everyone, $48,600 week on FaceBook Marketplace: I may be late to the party here, but the FB marketplace is incredible -- if you're a good copywriter. The post below, advertising warehouse space, has led to 652 clicks in 6 days, $4,050 of monthly revenue, and 10+ additional leads that can turn into revenue. So, who is paying? - Local truck driver is paying $1,000/mo. to store his trucks behind my building (not visible from the road.- Longhaul truck driver (Boston to Austin) needs a place...