An Easy Way To Make Money Fast - One Example

In the immortal word's of Homer Simpson's rich brother, Herb Powell, "just give me one good idea!"Well Herb knew the secret to fast easy money, he knew that all you need is an answer to a popular question. A solution to a popular problem. If you can come up with that....people will beat a path to your door just to throw truckloads of money at you. This article explores an easy way to make money fast.

Compounding

Compounding and leverage are the engine behind most people's wealth. I may be stating the obvious, but without these two tool's, you cannot grow any real wealth of substance. You may not be looking for wealth, you may just want a way to make some fast easy money, just to pay a bill or buy a car. That's fine, but any conversation about making some fast money is not complete without mentioning these tool's of compounding and leverage.

Once you have a unit of value, you must reproduce that value to create wealth. The unit of value is the actual business model...the "HOW" of your income. Most people would find this obvious, after all if you have the unit of value, if you do know how to make some fast easy money, any time you needed it, then of course your efforts would increase to try and re-produce that unit of value, by enlisting compounding and leverage by borrowing [money] to increase your return.

Leverage

This brings us to leverage. The meaning of financial leverage is profound. It is pure science, pure math. The formula is astounding and when you properly understand how leverage works, you really do begin to understand the mechanics of wealth and how it works. Exponential money generation is amazingly effective, so let me quickly outline for you the essence of leverage.

If you had a unit of value that cost $1 and you knew that each time you spent $1 you will get $2 back then your return is 100% That is an excellent unit of value, and anyone in this position would quickly want to apply as much capital as they have available to access this return.

But even such a fantastic return would take a certain amount of time to turn into real money. For example if your SOR (speed of return) is 1 month. In other words it takes a month to get that 100% return. Then it will take months and months to get to the point where any real life changing money can be had.

But what if we introduce leverage? What if we borrow money to access the returns of that unit of value. Say we borrow a dollar on top of our own dollar. Thats 2 dollar's and the return would be $4 give back the borrowed dollar and you are left with $3 which translates to a 200% return.

This is a simplistic example, but you can see from it the mechanics of leverage, the power of it to create much bigger compounders.

The Unit of Value

Now for the fun part. This is the actual idea. Now that I have prepared you for what you will do when you successfully make some fast easy money, we can look at a way to actually get that money. Again, the importance of compounding comes to the fore, because we are looking for automated ways of doing thing's. If your idea is not automated, then you start from scratch every day, but if there is the element of automation, you can ad to yesterday's work. You can multiply your efforts, simply because the time and effort you put forth yesterday and the day before is not gone, it is not lost, it is present and continues to bring you a return on top of the effort you put forth today.

So, with this in mind, we cast our eye to the Internet. The world wide web is essentially a massive vending machine, where user's generally serve themselves. No real human involvement is required to run an Internet endeavor.

The bottom line about building a unit of value is that you need a product or service. It's business and if there is one thing you can say about business, if you had to distill and boil it down, you would say to run a business you need a product or service.

That sounds like an awful lot of work doesn't it? Creating your own product?. Especially if you don't know even if it is going to work.If people will want to buy what you have to sell. R and D [research and development] is a costly undertaking and large corporations spend millions on a single product. But there is something you can do about that. They say if you can't beat them, then join them. So that is what I am suggesting...sell other people's product's.

Providing your return is very good, there are two main advantages to using other people's product's. Zero upfront cost's, and no customer service head aches. By the way, if you have been forced to buy other people's products in the past, like Amway and other's, you have made incorrect choices. A true vendor with a valuable product that truly wishes to find real wholesalers and retailers, will not want to insult a potential candidate by asking them to pay for product,

So your first step is to get a product or service to sell, then it is just a matter of assessing the return and rate of compounding. Finally, when you are really sure and confident of your unit of value, you can introduce leverage to hike up your compounding rate.

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