HOW TO LIVE A DEBT FREE LIFE

HOW TO LIVE A DEBT FREE LIFE

You can be free from debt

The dependency and over dependency of entrepreneurs on debt for capitalization has often times being the menace resulting to the shutdown of so many businesses. Within my few years of experience as a sales expert in the labour market, I discovered that procrastination in payment due to wrong timing – robbing Peter to pay Paul has always being the core facilitator of high debt ratio.

Inasmuch as debt consolidation is good, it should not be an avenue to encourage debt. Debt sometimes may be the only alternative but it should always be considered as the last alternative (when possible) especially when you have other means of raising the desired money for capitalization. If you have borrowed money to capitalize at fifteen percent interest, you must make an extra fifteen percent profit just to pay the interest otherwise you may remain in debt all the days of your business-life.

It is often said that no business survive without in one time or the other going into debt, as much as this could be true, you must not necessarily remain in perpetual debt. I have come to give you a remedy that will deliver you to run a debt free enterprise.

Setting a goal is not only done on your dreams, it is also applicable to your debts. Before you go into debt, set a specific period of time you wish to be out of it – this serves as our primary and ultimate goal. Work towards it because without this primary goal, you may soon be badly addicted to debt.

To successfully manage and overcome the cocoon of debt you must be ready and committed to building your own financial reserves for emergencies, general essential needs and enterprise through proper application of your intellectual quotient, discipline, determination and courage.

To favourably exit debt, here are simple, brief but workable tips you can apply in your life and business.

Tip # 1: Learn to pay off existing debt before borrowing more money

   The temptation to keep borrowing will definitely come but what smashes it is your sincere decision to follow your principle. The major reason why you must overcome this temptation is because it has an addictive spirit such that once you try rationalizing the previous you may find yourself constantly doing it subconsciously. The addiction according to statistical analysis shows that it is the highest secret behind fallen businesses which is a problem of the management.

Tip # 2: learn to live on less

  Ensure you place your expenditure budget below your income. Do not buy things outside your budget proposal but if you must do, ensure you balance it up. If you are earning $10,000, live as though you earn $8,000 or $9,000.

Tip # 3: Build your reserves

  Rationalize multiple means of income and ensure you are accountable to yourself. Save as much money as possible by allotting some to emergencies, general  essential needs and your venture.

Tip # 4: Learn to manage your assets properly

  Living a debt free life both as an individual and as a company is very simple only if you can apply this principle. Be the first to prove it and return the credit to me and God. Remember, you don’t collect loan to invest in consumables instead you invest in assets. For a guild in your business, always contact me and my consultancy company – Emchis Motivational Network Be freed from debt here.