Many years ago, I was visiting a businessman friend of mine, Gerald, when his phone rang. He took the call and then said to me, “Sorry, Robin – I have to go – now.” I was perplexed, and he explained that he and his four brothers each owned 10% of each others’ different businesses. When the brother who owned a nightclub had a problem and needed urgent help, Gerald and his other three brothers dropped everything and sped off to help.
We all have different skills, connections, financial clout, experience, and diverse resources, and when we work together and collaborate, it’s amazing what we can achieve. But would all four brothers have responded so promptly to assist the brother with the nightclub, had they not each owned 10% of that nightclub? I think not – not every time, anyway, and not to the extent that they might.
I have always believed that, in order to optimize leverage, collaboration should be reinforced with vested interest. In this simple illustration above, note how Sally’s business has overlap with those of Werner and John. #1 shows her overlap with John only, #2 with both John and Werner, and #3 with Werner. These businesses could be passive income producing businesses or regular, brick and mortar businesses.
Naturally, if Sally has more than one business / income stream, her options multiply, as does her strength. Seek overlap with strong and successful people.
By participating in some or all of the diverse income streams that trusted friends have, you build security, assistance when needed, innovation, support, and insight. It’s easy and low risk, with some business opportunities, to do this. And it makes sense. When it comes to taking on risk, it gets more complicated. But the principle remains: optimize leverage through collaboration with vested interest. Together, we can do amazing things.
Ask me about your options.
Robin Elliott LeverageAdvantage.com