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Old 11-06-2010, 01:03 PM
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fieroboi fieroboi is offline
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I think there are a few other reasons people tend to overspend. Personally, I see many people in financial trouble and most of them have no concept of the value of money. Even my own kids have the belief that they are entitled to have items and really don't understand that if you want something, you may have to save for it or work harder for it. Thank goodness they live with their mother! (haha)

As for me personally, I've been there myself, from being so far in debt that i didn't think I would ever get out. Then I got smart and started living within my own means. I was lucky enough to see this before i went into business for myself.

I sold everything that i had, home and all and paid off all my debts. Ever since then, I have used the belief that if I can't pay cash for it, I can't afford it. That being said I do believe that a house will be something that one need to have a mortgage for most of the time.

I bought a 4 year old truck, paid cash for it. Then bought a used cargo trailer, new regular residential mower and a few items such as trimmer etc to get started, all of which I paid cash for, and cut some corners on food, clothing and household items for a few months. One would be very surprised, just how much more free cash one has when they don't have debt payments hanging over their head. Since starting my business almost 3 years ago, i have been able to move up to almost a full line of equipment and am still expanding, while all the time having no debt.

Equipment now owned.
2004 dodge dakota
5X8 enclosed cargo trailer
2 mulching/bagging mowers
2 hand held stihl leaf blowers
straight shaft string trimmer
plugr aerator
billygoat wheeled vacuum
snowblower
lawn edger
fertilizer spreader and other small tools

Next purchase for me will be a new enclosed cargo trailer. I plan on getting a 7X14 v-nose brand new, looks like it will cost me about $4500. I am about 1500 away from buying it right now. I will be ordering it in January. Then I will be buying a power rake in the spring, as renting one is not something I want to do anymore. Will be paying cash for it as well.

Trust me guys, avoiding the use of credit will get you further ahead in the long run. Think about this example, if you go out and purchase an item that costs you 2000 on credit. That item has to do more work to return the same profit, as it has to pay for itself. If you paid cash for it, everything that item does is already putting cash back in your pocket right from the start!!!


Lloyd
Blue's YardFX
Camrose, AB
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