By co-founder of the award-winning Rebel Business School, Rebel Finance School and the Rebel Entrepreneur podcast, Alan Donegan.
How good are you with money? Do you manage the company money well? Do you always have a spare at the end of the month that you save? Or are you always trying to make a little bit more to cover bills?
From Bankruptcy to Inspiration: The Story Behind Rebel Finance School.
One of the reasons that I started Rebel Business School was because my Dad went bankrupt for £3.6M and had secured the family home against the debt. My Mum, my little brother and I were evicted from, and we lost the family home. I never wanted anyone top experience the pain we went through, so I started Rebel Finance School to prove you don’t need a loan, debt to build a business. You can start with nothing and do amazing things!
That experience with debt, my dad and losing the family home also inspired me to NEVER want to be in that situation. No matter what I was going to sort my finances and always have enough to live of. It inspired me to learn about money.
The Journey from Financial Hardship to Financial Empowerment.
In 2014 I read a book about investing, that led to a friend sending me a blog and articles and I discovered the term financially independent. I remember thinking “is it actually possible to be financially independent, how do you even do that?”
I discovered that the simple definition of finance independent is that your assets earn more than you need to live. That way you never have to work again if you don’t want to.
“So I could buy assets, that could create a return and give me money every month?” I was hooked. I needed to know how to do it, but I didn’t know how to buy an asset. Truth be known, I didn’t even really know what an asset was. That was my starting point.
The definition of an asset for the Donegans is “something that puts money in your pocket”.
Sounds simple, so I looked around at everything I owned to see if any of it was generating income, putting money in my pocket. The flat I lived in cost me money every month, insurance, mortgage, maintenance charge, not an asset then. My car, that cost me money every month, absolutely not an asset. My Lego sets?
Achieving Financial Independence and Embracing a Life of Freedom.
I remember thinking “I don’t own any assets.”
That set me a journey to buy assets. I remember asking everyone I knew “How do I buy an asset?” Lots of people mentioned property and shares and other crazy schemes. At the time I didn’t trust the stock market as I had lost my life savings in a crash when I was 23, so property was the answer. I would buy a flat, rent it out and that would create income.
It took years of saving to get the deposit, find the property and get to become a landlord. It was a massive project, but I was a landlord, I owned an asset. Every month after expenses a few hundred pounds turned up in my account more than my pay check! I was hooked. This was amazing. I worked hard, bought an asset, and now it was giving me even more money!
How do I buy more assets?
After another book or 10 on investing I overcame my fear of investing in the stock market, we went on a financial independence course and invested in index funds. I was so happy as I didn’t need to save a deposit like the rental property I could start with whatever I could save each month.
We started taking everything we earnt and investing it into index funds. Buying shares in companies like Google, Apple and tesla. We learnt so much and the more assets we bought the more income we got. It was amazing. We took the profit from the assets, the flats and shares and bought even more.
This kept mounting to the point that our assets were producing more than we needed to live!
I could believe it. We made more money out of our investments that we spend each month. We never had to work again if we didn’t want to.
Is It Possible to Become Financially Independent? We Did It and Know Lots of People Who Have?
Does it take time, energy and effort? YES! Lots.
Is it worth it? Absolutely.
In the first four years of financial independence we have travelled the world, visited Machu Picchu, fought storm troopers on a galactic star cruiser, learnt Spanish and met incredible people.
The freedom to not have an alarm in the morning, not have a commute, be able to travel and do what you want to do is invaluable. I wouldn’t swap it for anything.
Here Are Some Questions For You:
Do you own any assets?
How much money are you putting from your monthly income into buying assets?
Do you have a plan for your finances?
Most people aren’t great with money. They can’t survive a £400 emergency without going into debt.
We built Rebel Business School to help you build a business without debt and make your own money. We built Rebel Finance School to help you know what to do with that money once you make it.
Alan is co-founder of the award-winning Rebel Business School, Rebel Finance School and the Rebel Entrepreneur podcast. He became financial independent at 40 years old and now uses his time to help people from all walks of life to start their own businesses, take control of their finances and avoid debt.
Find out more about Alan on his website.