Have you found that you are increasingly generating excess corporate cash? As a business owner, you may be tempted to take that money and spend it on lifestyle purchases or investments. While this is a viable option, it may leave you without the confidence that comes from knowing exactly where your dollars are moving.
Ready for the secret to boosting your corporate cash flow? Move your corporate savings strategy to an automation model.
The Power of Automation
With automation, you are intentionally developing an environment where you don't have to think that hard about where your excess corporate cash goes each month. Not only can this free you up from having to plan and pay every month, but it can help you passively boost the performance of your cash flow.
Consider a scenario where you end each month with a rounded average of $20,000 in cash outside your operating expenses. Once you’ve paid your BAM -the Bare-Ass Minimums to maintain your quality of life -you can take the remainder and move directly into an automation framework.
Of your $20,000 at the end of the month, you may pay $10,000 to pay your BAM. The other $10,000 has to go... somewhere. You may choose to keep it in your corporation and avoid paying personal tax.
So what is an effective way to automate this money to maximize its potential?
Creating An Automation Framework
The power of automation is found in the development of a framework -and the habitual automation of that framework every month. Think of the following buckets being filled with the overflow of cash coming from your corporation each month:
●$1,000 into personal savings
●$4,000 goes in a high-interest savings account for real invest investments
●$500 to manage risk -invest in a refundable life insurance policy that allows you to hold as an asset or pull out as cash.
●$1000 to a high-risk bucket -CBD stocks, penny stocks, Bitcoin...
●$3,500 toward a medium-risk investment or a negative cash-flow property designed for future appreciation
As your cash flow overflows the BAM bucket, it’s automatically directed into one of the above buckets. A year later, you will find that your automation has led each of these areas to massively grow -without you having to lift a finger or make a single choice!
This is the power of automation -set it and forget it.
Here’s the hidden bonus: If you discover that you end up with more money at the end of the month, that extra that overflows your automated buckets will then become excess cash flow -perfect for lifestyle purchases and passion projects.
Never underestimate the power of automation and the potential that it holds to change how you view your corporate cash flow!
Want to hear more great lessons on life, happiness, and true wealth? Check out the Picture of Wealth podcast -hosted by Dustin Serviss. Discover the tips, tricks, and insights that unlock a life well spent. Listen today where you listen to podcasts.