THE LINNERGY FINANCIAL INDEPENDENCE MODEL
(The Flywheel Bike)
The end game; what is it for you?
Why are you running your own business? Is your business the 'end game' or is the 'end game' something else?
No matter how passionate you are about your business the 'end game' for most of us who own and/or operate an SME or an SMP is to create a quality life-style. Generally this will mean:
Doing work that is meaningful and interesting.
Having life-balance (a life outside work).
Achieving financial independence.
For most of us the quality of our life will be influenced by our financial circumstances and ultimately our financial independence. We define financial independence to mean being able to live the lifestyle you desire without the need to work to sustain that lifestyle.
Why are you running your own business? Is your business the 'end game' or is the 'end game' something else?
No matter how passionate you are about your business the 'end game' for most of us who own and/or operate an SME or an SMP is to create a quality life-style. Generally this will mean:
For most of us the quality of our life will be influenced by our financial circumstances and ultimately our financial independence. We define financial independence to mean being able to live the lifestyle you desire without the need to work to sustain that lifestyle.
1. The front wheel provides the direction and is concerned with your desired lifestyle. The front wheel does not provide any momentum to the bike but the direction you set (the lifestyle you choose) does have a big impact. The key question is; what are your lifestyle choices and what will those choices require you to earn?
2. The pedals and chain is where the initial momentum/energy to move the bike comes from. In a business sense you start your small business and start 'doing'. The bike is now moving in the direction you want (?) but this does not give you financial independence. Financial independence is achieved when you are able to stop your active income stream and still maintain your desired lifestyle - when work becomes optional.
3. The flywheel is where passive income is generated. It consists of income produced from assets such as superannuation, investments, being able to create a profitable business that can run without your constant management/input etc. So, as we pedal our way through life on the flywheel bike, we should not only be considering funding our lifestyle through our active income but we should also be using the active income to begin moving the flywheel. As the flywheel builds momentum it drives the bike and you can stop pedaling - either for long periods of time or, hopefully, forever.
4. The frame of the bike keeps the bike together as you continue the journey. The frame relates to such things as risk mitigation strategies, estate planning, tax planning and structuring etc
The primary objective is to move from reliance on active income to a greater reliance on passive income streams - this is what is known as building wealth and financial independence.
The Linnergy Flywheel Bike takes the concept of leadership to a personal and family level and we see this as a key part of developing a total solution for our clients - talk to us about how you might build your own Flywheel Bike.
2. The pedals and chain is where the initial momentum/energy to move the bike comes from. In a business sense you start your small business and start 'doing'. The bike is now moving in the direction you want (?) but this does not give you financial independence. Financial independence is achieved when you are able to stop your active income stream and still maintain your desired lifestyle - when work becomes optional.
3. The flywheel is where passive income is generated. It consists of income produced from assets such as superannuation, investments, being able to create a profitable business that can run without your constant management/input etc. So, as we pedal our way through life on the flywheel bike, we should not only be considering funding our lifestyle through our active income but we should also be using the active income to begin moving the flywheel. As the flywheel builds momentum it drives the bike and you can stop pedaling - either for long periods of time or, hopefully, forever.
4. The frame of the bike keeps the bike together as you continue the journey. The frame relates to such things as risk mitigation strategies, estate planning, tax planning and structuring etc
The primary objective is to move from reliance on active income to a greater reliance on passive income streams - this is what is known as building wealth and financial independence.
The Linnergy Flywheel Bike takes the concept of leadership to a personal and family level and we see this as a key part of developing a total solution for our clients - talk to us about how you might build your own Flywheel Bike.
REMEMBER: ALWAYS START WITH THE END IN MIND - BUILD YOUR BIKE TODAY!!
Contact Linnergy
You can contact Linnergy on the following details:
Tel: (03) 9889 0593
Fax: (03) 8610 1287
Email: info@linnergy.com.au
Business Success Model
How a successful business actually works
find out more
Linnergy Leadership Quotient
