When my wife and I started our family we tried to do all the right things, as you do. When our kids came along, we started savings plans using the governments 523 program and thought we were set… Then we had a couple of pretty ugly years… Does anyone remember the economy crash of 2008? Well that savings plan become pretty useless to us when the stock market crashed at the same time the kids needed money to start college. The Lesson – the stock market can be a very good investment, but, there are no guarantees.
Well, sad story aside, it got me thinking about other ways that I might have set myself and my kids up for success, way back then…
We started Big Sky Dog Wash for many reasons, but, one of them was to fulfill our mission “To help people experience the joy and freedom that business ownership can provide”. It may sound sappy, but we really are committed to helping people achieve the “American Dream”. With that in mind, we recently developed a program called the “Managed Unit Program”. This program provides an opportunity to own a business without having to do much work because we run it for you. In other words, it’s designed for passive income… that elusive “mailbox money” that we all desire.
So, what does one have to do with the other? Let me explain. For a relatively small amount of money, you can start a business in our Managed Unit Program, re-invest the proceeds into more units, and generate serious income that easily pay for your kid’s or grand-kid’s education, and a whole lot more. The best part, the money that you generate with your business doesn’t have all of the “strings” attached that most government programs always seem to have. And after college, you could even sign the business over to them as a graduation present that sets them up for life.
So how does it work?
Basically, you purchase and finance one unit and place it in Big Sky Dog Wash’s Managed Unit program. The Managed Unit Program is run by professional property managers who are experts in the self-serve dog wash business. They take care of everything. The income generated from that unit pays expenses, covers the debt service, and is accumulated until you have enough cash saved to purchase your next unit (no financing this time, the cash from the business pays for the unit outright). This process repeats, reinvesting cash until the target number of units is reached, let’s say five(5). Each unit is expected to generate around $16,000 or more in annual revenue after expenses. After paying off the debt service on the first unit, the annual income adds up….quickly. If you started this program when your child/grandchild started 1st grade, here is what your business could generate through their senior year of high school, four years of college, and even four years of post graduate work.
Obviously results are not guaranteed (our lawyer made me add that), and the numbers assume you can qualify for a business loan, etc. But, the concept is sound, and it has the potential to yield far more than any of the savings plans my wife and I set up for our kids. The best part, the revenue does not magically stop at graduation. Your business will continue to generate income through the college years and beyond. You might even want to gift the business to your child as a graduation present. Imagine graduating from college with no debt, plenty of pizza money while you were in college, and owning a thriving business. Every kid should be so lucky. Or, maybe you turn it into your retirement savings plan after the kids graduate.
In this example, I used our Managed Unit Program because I’m familiar with it. The truth is that this strategy could work with any business especially those designed for passive income.
If you’re interested in learning more about our program, please set up a free, no-obligation consultation to learn more: https://www.ownadogwash.com/contact