Are you ready to strike out on your own to become a solopreneur? How do you know if you are ready? What if you aren’t financially sound?
Takisha Smith is an economic empowerment coach that creates systems and structures to set her clients up for success. Today she’ll walk you through 7 steps to ensure that you have enough income streams in place before you make the leap into solopreneurship. If you are worried about your financial solvency as you leave your W-2 job behind, you won’t want to miss this episode to hear what you should consider before you make the transition.
You will want to hear this episode if you are interested in…
- Takisha’s story [1:22]
- The 7 streams of income [18:50]
- How to work the 7 streams into your life [25:30]
- The money questions [30:00]
- Behaviors change your financial situation [38:32]
- The importance of having a legal foundation for your business [43:13]
How Takisha got where she is today
Growing up, Takisha wasn’t aware that she lived in one of the most infamous impoverished neighborhoods in the country. Her mom was a high school dropout who struggled to make ends meet and her dad had to find creative ways to make an income after becoming disabled at an early age. Given this lack of financial stability, there were no financial conversations going on in her childhood home.
Even with all of these obstacles, Takisha was not only able to graduate high school, she went on to finish college with a degree in accounting. Upon graduation, she worked her way through a series of jobs where she gained the skills she needed to be an auditor and consultant.
After struggling to stop a foreclosure on her home, she began to understand just how important it was to find quality information surrounding financial resources available to the public. This experience caused her to create a functional financial literacy campaign. Now Takisha helps individuals get the functional information they need so that they can set up the systems and structures needed to gain financial success.
Becoming a solopreneur requires preparation and a shift in mindset
There is a mindset shift that must take place as you shift from employee to business owner. Becoming a solopreneur is full of ups and downs, so it is important to set up a strong financial foundation. If you do the hard work in the beginning, you won’t have to risk your business just to make ends meet. Having several streams of income in place before you begin will ensure that you don’t have to worry right away about a consistent flow of clients or income from your new venture.
7 Streams of income to consider
- Earned income is the income you earn through employment.
- Begin the foundation of your small business with a marketable skill, trade, or side hustle.
- Profits are the earnings you make from your business.
- A diversified investment portfolio outside of your 401K can provide capital gains and or dividend income.
- Invest in some type of property to set up passive income through rentals or Airbnb.
- Residual income provides income through the work that other people do for you.
- Royalty income is gained through copyrighted material. Producing a book, song, art, or other creations will provide passive income.
Having these streams of income in place will ensure that you are financially prepared to take on all the risks of becoming a solopreneur while at the same time effortlessly creating generational wealth.
Resources & People Mentioned
Connect with Takisha Smith
Connect With Gabe Nelson
- BOOK – The Solopreneur’s Money Manifesto by Gabe Nelson
- FREE Downloadable Resources at https://www.gabenelsonfinancial.com/resources/
- EMAIL: Gabe (at) GabeNelsonFinancial.com
- Follow Gabe on LinkedIn
- Follow Gabe on Twitter: @GabeNelsonCFP
- Follow Gabe on Facebook
- Follow Gabe on Instagram: @GabeNelsonCFP
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