Monthly Archives: March 2007

First day at the RISE Conference | Stocks Vs. Real Estate Investing

Well today was an exciting today at the RISE Conference, there was a ton of spakers.  Including some of the ones I enjoyed the most were Peter Coors, CEO of the Coors brewing company, Ralph Avarzes, CEO of McDonald, and abunch of other analyists and economists.  This conference is definintely for Finance Majors, idk if I would go again, we still have acouple of days but its not really entrepreneurship.

I didn’t find myself networking a terrible alot because everyone is focused on getting jobs as portfolio managers, stock analysits, and finance sort of stuff.  Nothing wrong with that, but when I talk to abunch of people all oriented going that different just not something I’m that interested in.

Like the Richard Parson’s visit from the CEO, I had front row seat, infront of 1,200.  Front-row seating, I could see everyone, eye contact with the speakers, just arriving early.  The information in the front is different than the back seats.   Always sit in the front if you can, I had the straight, middle seat, in the front row infront of everyone.  It was awesome!

Well as much as there was interesting information it is really interesting to see peoples’ views, everyone here it seems like is very biased in stock portfoilios.  I’d personally have real estate portfolios for tons and tons of reasons over stocks.  While stocks are good, I’d like to emphasize a couple of key points why real estate is potentially a superior investor for most people.

They were talking about how house prices may go down, and the housing bubble.  And yes, theses people probably know alot more than me, but in the last 40 years, how many years have the medium house price gone done?  That would be none.  Even if housing prices are bad, just like the real estate deal I’m doing right now.  I’m purchasing it below price because you can negotiate.

Theres one main thing I want to impact on though, and those that participated in the real estate club will understand this factory.  Everyone is saying stocks are better investment that real estate, although what I found out what they were saying is stock investing vs. REITs, or real estate investment trusts, or basically stocks that invest into real estate.  But they were even talking about the real estate market.

They are like well on average you may be getting 5% appreication on your houses.  Compared to 15%ish on the stock indexes.  Well, like theres a big difference there, and there is.  But for most of the students they don’t get it. 5% appreication on your house, compared to 15% on the stock, of course the stock sounds better.  But here is what MOST students don’t understand, and most people don’t understand why real estate is actually in some cases alot better.

Say ok, well you get 5% appreicaiton on your house, will a little bit of homework, you can easily get probably 8%+, 5% is really low.

But here is the difference.

Lets say I have $100,000 in stocks, ok, great, that goes up 15% lets say.  I know have $115,000 I grossed $15,000.  Pretty good

and my piece of real estate was $100,000 and it appreicated say only 5%, so my property is worth $105,000, so I grossed about $5,000.

But heres the catch, see in real estate, what if you just put 10% down to controll that $100,000 piece of property.  Like in my example, I’m putting 10% on a downpayment.

So then recaculate here, if I put 10% down on $100,000 property, that means I’m putting $10,000 down.  Well, my house appreciated 5%, my $100,000 house appreciated 5%.  Ok so my house is worth $105,000.  I made $5,000.

Well, wait a minute, I made $5,000.  I invested $10,000.  How much did I gain, I made a 50%!!! return on my investment compared to a 15% ROI on my stock transactions.

SEE THE RETURNS IN REAL ESTATE ARE MAGNIFIED BECAUSE OF THE LEVERAGE OF USING OTHER PEOPLE’S MONEY.  I MAY ONLY GET 5% ON APPREICATION, BUT I’M GETTING APPRECIATION ON THE MONEY THE BANK IS LENDING ME.  I’AM MAGNIFIYING MY RETURNS BECAUSE OF THE LEVERAGE FACTOR.

And btw 5% is garbage, north portland is appreication 16% a year for the last 5 years.  With 10% down, that means I’m getting a 160% return on my investment each year.  Stocks beat that, banks won’t lend u money to do that with stocks now will they.

So thats just one example, don’t be fooled when people tell u well real estate appreicates less, and the housing market is going to crash.  They are obviously not real estate investors, and most people don’t understand how leverage works.

There really isn’t any leverage in stocks unless u do options and stuff.

And to top that,

not to mention the tax beneifits, 1031 tax-exchanges, you can save all ur money on capital gains.  Can’t really do that with stocks unless u have an IRA.

More tax benefits depriciation, you get writeoffs because of depreciation of your building.

Amoritization, you have a rental income, you got that mortgage.  The renters are paying for that.

Had if your stocks crash, you’ll loose all ur cash.  My building burns up, I have insurance to cover it, and besides I still own the land.

You have to buy stock at its current going rate, in real estate, you can negoitate and get a steal deal.

Those are just a few of the reasons I prefer real estate over stocks, yes stocks are good, I’ll do stocks, I do stocks right now, but I’m going to do MAJORITY by FAR in real estate.  Leverage, Leverage Leverage, used properly will make you rich.

Your thoughts

Dayton OH, 3 Buisnesses And Real Estate

at 7am I’m headed off to Dayton, OHIO for the RISE Conference, a congolmerate of 200+ colleges, for the Global Student Investment Forum. Paid mostly by the Finance Club, which I of course signed up for, and why most people diddn’t I don’t know, one of those mysterys of the unknown!

Lets make sure we take advantage of opportunities!

OK Dayton OH, 3 Buisnesses and Real Estate!

Well OK, maybe 3 buisnesses is an exadoration, but its official now.

My buddy Bryan Baker and last week filed our new corporation, BW Online Incorporated, what we will do is basically be a middleman for money, right now the current idea is getting lines of credit from the bank at 10-12% interest, and then trading our funds on the prosper market for 22%+ interest. If you haven’t seen prosper check it out, http://www.prosper.com, we will be starting a whole blog about it, my buddy bryan will be leading it.

We filed the corporation, so we get our EIN, Federal Tax ID.

While I’ve hammer getting focused on buisnesses one at a time, this is going good, I’ve started to learn how I can leverage myself with other people and accomplish more, get more done, and be able for me to focus on what I do best and get them all done within resonable time.

This one is pretty passive, prosper has 3 year loans, our lines of credit are infinite pretty much. We get $10,000 cash. Note: We are not using our money, OPM, OTHER PEOPLES’ MONEY. The key word is leverage, and who is leveraging you, we know we don’t have leverage when we aren’t making money in our sleep.

So thats #1, the corporationf iling sohuld be done pretty soon, we’ve been going to all of the banks in corvallis and researching the bank rates, once thats done we are going to file, and I’m using my credit score, and doing the loans, bryan will be doing the accounting, and the blogging for the most part idea right now, and we will be fair to eachother and work things out. This is pretty residual about 1-2 months worth of work, for a 3year on-going income producing asset.

On a $10,000 loan from a bank we are planning on making an extra $1,000 a year. Not that much, but its residual thats just off one loan, my buddy Stephen over at GoobTech suggested getting a 7% apr credit card, we might do that, to increase revenue by almost DOUBLE!.

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Thats buisness #1, a residual buisness. As I mentioned earlier, and you should maybe consider this too. I don’t work on anything that doesn’t provide a passive income. Why would I, work for something that doesn’t pay me for the rest of my life, yeah, you could if its a big one time job, but honestly I don’t, me personally, I won’t work on anything that doesn’t have residuals. If you want to get rich thats one easy concept just to take, just work on residual passive producing income.

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Buisnesss #2 is almost ready for launch we just filed BeaverRent Incorporated, which will be located on BeaverRent.com, more about this buisness to come. I’ve been working on getting the nitty gritty done for the last month, my buddy is putting together the marketing plan. We are merging with a successful student site in corvallis, again more details on this.

The important part to take away here, is I’m doing the programming, web design, accounting, filing, legal stuff, and I’m going to be merging with the other student site. While I just do that about once, and yes spend some tim ehere and there, my friend is going to be making the sales, calls, and setting up appointments. Again, another residual leveraging my efforts once and then that goes.

#3 buisness is Jingyee Incorporated the already established one, that right now is producing around $500-600/month passive. On RotaryEngineIllustrated.com, and RebuildingRotaryEngines.com

Real estate actually qualifies as another buisness, which is also extremely leveraged, and passive. I’m working on that right now as I mentioned. We had an accepted offer on my counter, which was REALLY LOW. And I’m surprised they accepted, and we did a walk through yesterday all looked good.

Schedeueld inspections, home inspection and oil tank inspection for $500 schedueled for Tuesday next week I’ll see if the property is good. And then I’ll rent out 5 rooms for about $1,750 a month passive.

Everything on the list is pretty passive, the websites are 100% passive, I haven’t worked on them very much at all in the last 6 months. The BeaverRent will be passive, because I’m just doing the website and once done, I’m not working on it much just collecting checks. The Propser is passive because once we have the money at 10% interest we are loaning it out for 3 years at 20% interest, thats extremely passive. The real estate is passive, in theory, it takes work, but thats passive too.

A combination of passive producing income from C-corporations invested into real estate is the goal.I ts spring break, hope you my buddy are getting at it too! CYA in dayton! Lets get it done guys, you could make $100,000 within 3 months if u really wanted to. So the question is if we are going to make it happen.

OH man! I’m excited

Wow, just talked to my buddy Cody Willner, hes working too.

I had just had one of my counter offers accepted for a house.  Sreaming good deal, I can’t wait, looks good tommorow I’ll sign the paperwork.  Can’t disclose details on blog any more due to asset protection but I’ll post on here if goes through.

How about $40k ish off original asking price, plus seller pays closing?

This is the time to make it happen

So the school is shutting down pretty much. Everyone is going to break, some people are going to party, while some of us are going to work.  Most people gain mommentum towards their goals in their free time.

My buddy Stephen with Goobtech.com just bought 3 houses, and he is putting together a team of buisness partners and launching an online site this break.  My buddy marques is starting a buisness in corvallis and making stuff happen, my buddy bryan is out for surgrey but just filed a company BW Online, Inc and he is going to be rocking here soon right after his surgey is done.  And I’m working programming, and now potentially lcosing on a house pretty soon from the offers I made in the past.

So whats your plans this break, we have 7 days.  Lets make something happen and 7 days is alot of time.  Alot of people will be ‘Taking it easy’, ‘going to hang out’, ‘relaxing’.  I guess, but is that what you want?

Spring Break, we can tell what you are up to by ur spring break plans! Lets get going.

Blog

Um I haven’t posted in awhile but I’ve been working.  Since last post:

Made 6 offers on different properties, looking at one in particular in N portland, 3b/2b house for $229,000 trying to get them down to $215,000 ish.

Shifting temp focus on local buisness in corvallis, different than web 2.0 project, putting on hold for 1-2 months.  I’m programming, doing technical, will do the billing service, and friend will do promotion.  We might do a potential merge with another student site here in Corvallis, and then my friend is seting up marketing plans and going to probably become president of the company for most operations.

Working with my friend Bryan Baker, starting a corporation BW Online, inc is the current name which we will be gathering lines of credit and investing into assets, more on that later.

Setup a prosper account to start investing money, peer to peer lending, threw $100 into account.

Working on redoing RebuildingRotaryEngine site, finish mailing list, start email marketing campaign.

Trying to, but not doing so well yet, in getting a writer for the RotaryEngineIllustrated site to share residuals with.

And then I have a test tommorow which score, will not look pretty.

Paying for help is expensive

Ohh, when I already lost enough money this year.  In 2006 I was able to generate around $15,000 in gross profits from buisnesses.  Although I spent like $20,000 in expenses.  It really doesn’t matter how much money you make its how much money you keep and how long it keeps working for you.

I just got hit with a $600 bill to pay my accountant to fire my corporations tax returns, ouch.  and Another $200 I think is coming for my personal taxes.  All is well though, a good year of negative returns, making mistakes is setting up a good 2007 year with a strict budget, maximize profits, utilize money in generating more cashflows in different means, and learning how to create a positive cashflow buisness by failing last year.

This is why you want to be in Silicon Valley for web companies

My uncle sent me this article,

http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2007/03/11/MNGKKOCBA645.DTL&hw=neo+nomads&sn=001&sc=1000

You don’t have to read the whole thing it is so amazing. I knew it was good down there, but not this good. You goto theses coffe shops and there are like 20-50 people with laptops programming, startup theses internet startups letft and right. I can’t wait to get down there, skim through that and you will be amazed. This is crazy web 2.0, that is the place to be.

108425901_1a8c83371c_m.jpg

Although I’m ging to be switching my plan alittle bit, so I can go down there with some momentum. I’m going to go down there but tweaked my plan.

Instead of going down there immediately, I’am going to get this real estate internet buisness for Corvallis established that should take 1-2 months, in meanwhile I’m going to purchase an investment property in N Portland. So I have an equity producing machine.

N portland appreciated 16% last year, that means if I had a 300k proeprty, I would have made 45k off appreciation alone. I can’t miss this.

I appreciate the input from my friends and I like the idea, exhaust all of the resources where you are currently and then move to the next destination. In otherwords, there are opportunities all around us, I’m going to take what I can, do what I can, get the real estate transactions going, so if my internet buisnesses fail crash and burn, which I’m sure some will, I will have a real estate buisness steadily growing on the side of everything.

I do this, get the property, get the company down in corvallis established which I haven’t mentioned on here yet, focus on that, then go down to San Fran with some serious entrepreneurship momentum, and then rock it down there with the web 2.0 project. I’am still working on it, but putting it on a quick hold for this week and focusing on the real estate buisness, and real estate purchase.

Although I’m going downt o san fran this week, and going to talk to the family down there, and plant that seed. So San Fran 6 months to a 1 year, did you look at this article: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2007/03/11/MNGKKOCBA645.DTL&hw=neo+nomads&sn=001&sc=1000

I can’t miss out on that, but I’d like to already have some 2 etablsiehd websites, and a real estate producing equity propert,y and then go down there, I’ll have an edge, momentum, focus, and really blow it up down there.

momentum.jpg

Theses guys above got mommentum, this will be us!  Come down there rocking, and make it happen, alot of compeition down there, and lets blow them away, do what they aren’t doing.  Have access to more resources up here, take advantage of that learn the process of using up what you can, and take it down there, and really blow it up.I’m excited too beacuse the web 2.0 company I’m developing is basically a system which allows theses guys to get help from one antoher!! Wow.

Blast From The Past – What Happend To Me In HighSchool

This post may be kind of long, and is a reflection on myself and an outlet to share some experiences which has happend to me during high school. But it is interesting what can happend when humans are surronded by good and bad choices which ultimately determine our destinys.

After middle school, with the influence of my good friend Stephen Borda, he suggested I go to Central Catholic High School. I did not know anything about this high school, little did I know it would be one of the best things that could have happend to me as I look back on it now. And I just took that little suggestion and I went and became a student at a prviate high school, which I’am so gratiful for because of what it has done for me. About 75% of the students are on scholarships to pay their $8,000 a year tution.

I left a public schools to start to attend a private school, it was a major turning point in my life. There was such a dramatic difference it was incredible. I’m gratiful I was able to experience both worlds, both the public school system and the private school system which has really made me be able to communicate with a wider arrange of people. See at my public schools there was alot of diversity, a signifcant portion of races, that I became normal in associating with people of other color, whereas in private school there was only about 12-16 African Americas in a school of 800 people. I feel today that alot of people are not good communicators and can not relate with other people of different races because they would rather not surrond themselves with others different them.

Middle School to High School was a transition, most of my friends were going to the public high school in the neighborhood, Grant High School. There is nothing wrong with Grant High School, although for some individuals unless you had the dedicated like my friend Cameron Boehmer, who had a record of good grades, and being on top of things with scholaistics, you would have a trouble finding yourself around that environment grade wise if you did not have the proper work ethic. For grades, I did not have that, my best gpa ever in middle school was my final semeseter of a all B’s, for a solid 3.0, other than that I would regularly get Ds, Fs, Cs, maybe an A or there, and really just not get good grades, to be honest I was just playing to many video games during middle school.

I hit this concept very hard in my book, when explaining how it is that we become the combined average of the five people we associate with the most. What happend, and is happening now is that the slight edge difference between myself and my friends who went to public high school is a dramatic one. Most of my friends I met, went down roads I would hate to go down. Although success is the progressive realization of a worthy ideal, in my mind, most of my friends who have dropped out of high school, worked min payment jobs, have an apartment (think they are doing good, because they have that car, with a loan, they pay rent to a landlord, and are making working for money). 90% of my friends went into the direction society would call not a success, and it is really sad to see, that I would have been with them had it not been for a simple change in school.

My freshmen year was a new change for me, on the school days after school I would hang out with my friends from my old public school and we would smoke marijuana. Which you may or may not consider a bad drug, I feel it is bad for me, an I use this do this like every day for a long period of time. Not knowing the consequences, I got in alot of trouble, parents are not happy to see their child abusing drugs. I could not SEE the future that was in hold for me if I continued down that path. But school was going ok, I was struggling with my grades. There was one funny, or maybe not so funny incident that happend during school. After 9/11 when the towers were demolished, fell down, the day after I was in my programming class at Central Catholic.

Well I had gone to Computer Camp, yup thats right! And I learned a trick, how to message everyone on the whole entire network, I can’t even really remember it right now. And this message went to everyone throughout the entire school lol, all the teachers computers, every computer in the WHOLE school. Well we were in class, and I showed everyone this, and we were having a ball sending messages back and forth, and everyone was freaking out. I just knew that little command to do that so, then my friend and I did something stuipid, he said what if I type, “Fuck You” In that system, I said that probably wouldn’t be a good idea, I said what if we write, “We Are Taking Over.” Well after we said we are taking over the all over the computers in school, I was suspended for a day for basically hacking or whatever silly they called it.

What happend as a freshmen, is my brother and I sold a DVD player, and as a freshmen in high school, 14ish years old we got an eBay account under my mom’s name. That would start a path, that would start a journey of becoming an entrepreneur. Because I had a eBay really excelled my entrepreneurship career. I started an eBay store, and soon enough at store I was considered the eBay king, or whatever you want to to call it. I was the goto person to buy something on eBay, or to sell it on eBay, whatever you got I would sell for you.

I became a PowerSeller in highschool, my account kazisdaman on ebay has over 330+ feedback just because of high school. That was a major turning point in my life. I would sell peoples’ stuff, and charge others to get stuff on eBay. I would charge 10% to list something, and just take that out of the final value. What I sold the most of was Nike Shoes, and misc stuff around I could find to sell.

Most of my sales at school came from purchasing stuff on eBay. I would purchase watches, and jewerly walk around school with them, no joke, and try to sell them to students. I was successful at what I did, and I did make the sales, I got out there. Everyone thought my stuff was stolen, but everything was just off eBay. You see those movies, were the guy has all those watches in his coat, that was me. I had a breifcase with watches in it, jewely all kinds of stuff.

I even remember purchasing a wholesale box of laser points, and I sold them for a dollar each. So then everyone at school at a laser point, well the teachers loved that!. Well my entrepreneurship teacher did :).

So I started my eBay store as a freshmen in high school, it diddn’t really take off untill later in my school. As a sophmore I did some sports, Cross Country, and Track (Sprinting) , nothing really exciting there except for some good, and not so good times being exhausted running cross country. In the summer of sophmore year, I started working at Pineapple Racing, a race shop which rebuild rotary engines. I made $7/hour cash under the table, so it was nice to have income.

Whereas most people would go out partying every week, I found myself, working on my car instead, I distracted myself from getting into more trouble with my car. Of course this whole time I was still under the influence of weed, which was not helping me. I was still hanging out with my buddies from middle school and the path was slowly and surely growing between us. No body really knows this at my high school, but as a sophmore I was arrested for going into Fry’s Electornics, for trying to steal some car stereo speakers for my friend. I do not say this because I’am proud about it, matter of fact I’m ashamed of it, and have done some things to retribute myself, I more say this because, I’ve been arrested and did drugs, I never drank alcohol, to show that I’m human too, and that I’ve been in trouble, and I’ve been lost confused, and unguided for a large portion of my life like most other people. And that you know that I’m just telling the truth of what happened to me, and I’m sharing my story.
So what really happend, is my junior year, things started to be picked up. Things are strange, it is strange why some things just happend when they do. I got my car broken into, and I had alot of custom installed stereo equipment stolen, subwolfers, decks, amplifiers. And because of that simple stuipid little act of something breaking into my car, and I must say, after having my car broken into twice it is a horrible feeling and that is such a bad feeling to ever put on someone. So with a stolen stereo, and I did not know how to work on electrncis at the time, I learned how to install a cd player, to a whole stereo system, to a whole complete alarm system with remote start-up, automatic door locks, automatic roll down windows, trunk acutators, and the whole deal.

Because of this I had a new skill I could work on cars. So as a sophmore, I started a car stereo buisness in high school. What I would do is purchase everything off ebay, and my garagae was a stereo shop basically I had about a clinet or two a week, mostly random people come in and I would ‘hook up’ there car with whatever they needed. Here is my website of my goods http://www.geocities.com/oregonelectronics

So that was interesting, I would now walk around school with stereos, and of course everyone though they were stolen. If you saw a half asian kid walking around with 8 stereos in school I guess I would think they were stolen too, but they won’t I would walk around with stereos, amplifiers, batteries all sorts of stuff. I remember I produed myself with walking into school with one new piece of stereo equipment a day. And I would try to sell this stuff, I mean walking around with big amplifiers for car subs, I would walk around and ty to sell them.

I even went as far as one day, I brought a 12v car battery, put it in my backpack and walked around school witha HEAVY ##$ backup, and then I powered up my car stereos with it. So in class, I could power up a Touch Screen Alpine Deck, I even had car stereo speakers so I could show off the whole system, DECK, Speakers with SOUND in class, powered off a car battery in my back pack. And I’d walk around, and again try to sell stuff.

So that went pretty, good my eBay career, the above is my store, then I sort of transitioned out of this. And I’m going to type quicker, this post is becoming longer than I thought, I’am at the point of NO RETURN!

So as a junior I was still doing some drugs, and by this time some of my friends were already starting to drop out of public school.. This was a pretty big turning point in my life, and I started hanging out with less and less of my friends.

As a senior, I finally made a decision after getting caught for the 7th time smoking that I would quite smoking marijuana, and I did, what a wonderful feeling to make a life changing decision and stick with it. I have been smoke free for almost 3 years now. And Although smoke sounds relaly bad I did not do cigaretts, and only smoked on occasion the green stuff, but smoking is smoking.

That right there was really the biggest impact I had on my life. Even my friends from my private school did drugs. Honestly about 95% of the people I know, if not almost 100% of my friends did drugs. HOW are you suppose to get away from this stuff that society puts on US which is what EVERYONE does. It is very hard, it was challenging, it was challenging for me, and it was one of the reasons I believe our school system is failing our kids, there are so many drugs in high school that are destorying peoples’ futures.

But what basically happend as a senior in HS, I finally made a decision to start minding my own buisness. I stopped hanging out with everyone because everyone was doing what I did not want to do. All of my friends, and I do all of my friends, and if your reading this right now I’m sure you can relate to me if you were with me in high school. So I found myself always working on my eBay buisness, and I wasn’t really lonely by myself. One kid, out of 200 in my class, who had a different view than everyone else. It is no wonder that I don’t associate with anyone from my high school now, I don’t really associate with anyone from middle school either. Why would I, they aren’t going down the same path as me.

It has really been a hard time, finding those people who have work ethic, and want to do big things.

This is a long unproof-read rant, and I’m finding myself lost in it at the same but. But basically, I started understanding theses philosophies of life. That I would rather be by myself, than to associate with everyone doing what I thought was wrong. I found myself realizing, that over time, each day, each week, each month, now 3 YEARS of following my bliss, and avoiding the crowds of everyone else, that simple little things over time would make a big difference.

I would always tell myself, that all my friends are out having their fun now. Well, I was trying to build some assets, and in the future, they are going to be the ones going to work, and I’m going to have my fun. And guess how much fun I’m going to have when I’m 25 and financially indepdent when they will be stuck in the rat race for 40-50 years of their lives if not the whole one. “woah wes, that was pretty negative.” I’m just being real, and I’m just stating the fact that most of the people who I choose not to associate with will be in the rat race, struggling with the financial decisions. And not only have I offered an access out to associate in clubs and stuff, they aren’t interested which is fine.

You realize that only about 5% of the population is financially indepedent, that makes basically ALL of your friends, the majority of them, won’t make it to become financially indepedent one day. Were not talking about being rich, just financially indepedent.

So as a senior, I started that slight edge path. Failure is a few simple errors in judgement repeated every single day, Success is a few simple disciplines repeated every single day. There is already a massive different in between my friends and I, I can’t even really talk to them any more, and would not want to anyways, but we don’t speak the same language.

I can’t really put it into words its looking like, but basically basically everyone I was associating with is going down the wrong road in my opinion. And to each his own perspective and opinion.

Then as a senior, working at Pineapple Racing. I purchased a website Rotary Engine Illustrated.com, put some ads on there and it started making around $300/month so from that point I wanted to build websites and create passive income from it.

I stopped doing eBay because of this simple fact, and car stereos. Yes you could make money, but it was linear, if I did not make a sale I was not making any money, there was no residuals in there, so I stopped doing eBay, car stereos, working on people’s websites, cars, and everything. And then stepped into the passive income mode.

I never knew what was an entrepreneur till I took a class on like entrepreneurship. THAT DAY, when I went to class and learned what an entrepreneur was, the NAME entrepreneur that I had never heard before, which is what I was trying to do, build a buisness, is WOW, thats me, thats what I like to do. And I decided as a senior in high school to become a successfull entrepreneur and that long story but short, has basically made me where I am today in short.

I forgot to mention as a junior in HS I was selling stuipid drugs, weed, I only did that marijuana stuff, I did that for a month and realized ok, this is stuipid, not worth it, risky, not much money, retarded, get caught, ok wes I quit that real quick.

So after I found out what entrepreneurship is, and how websites can make money. My senior year, I started my first, official on paper company, Jingyee, Inc with cam.

Oh, how I found OSU. I diddn’t really have that good of grades, although they picked up in HS, I ended up with a 3.2 gpa acculmative, after attending the entrepreneurship class. There was a newspaper on the entrepreneurship colleges in OREGON. What a coincidence, its werid how things happen when they do. I saw weatherford, and then THATS where I’m going, to the entrepreneurship program. I only made one application to OSU, and got my one application accepeted.

While I was a senior, I had an idea to create a website, and I did make it.  Which would have everyone’s contact information about eachother so we could keep in touch.  I thought what a great idea that everyone could keep in touch with everyone in the future, I was thinking for buisness, hey if one of my classmates become an attorney, that free advice hu.  So I made a online website, and handed out flyers, and basically collected information from all my class mates, and I made a website www.central05.com which is no longer up where people could keep in touch.

Although this may be a BIG STATEMENT, but I honestly believe, and I diddn’t know it, if Facebook wasn’t already out at the time when I entered school I would have created it.  I say this because I was already doing something similiar with all of my class mates, we would even share homework on our class website forum, just for students, and we were in contact.

I was going to do the same thing for school, I even told my friend Rafael, I said this, I bet you I can get everyone’s phone number in this school, facebook has everyone’s phone numbers pretty much.  I was going to make one of those for OSU a freakin facebook, I diddn’t even know about myspace and facebook at the time, all I can say, is I was developing one of those too but I diddn’t know the others existed.  Interesting hu?

I must say, after 4 years, I found my passion, I’m lucky enough, to avoid the trap of drugs. I stopped associating with everyone I knew practially. And still to this day, Its hard to find people who have values and share similiar passion as me. I still have yet to find my 10 truly good entrepreneur friends, although they are slowly emerging.

And during my senior year, my friend and I would go on to start developing out first web company selling textbooks instead, and we would enter the college years. Which I will share too, which is also quite interesting. Which lead to nextwork marketing, dropping out, traveling being lead on to a multimillion dollar scam, and much more!

$114 PASSIVE in 6 days!

Cool, so I was just checking my adsense revenue today for my two engine sites. March is looking like a pretty good month so far with an average daily advertising revenue of $19.00 a day, if it continues to go at that rate, that’d be an extra $570 a month passive not that bad.
To my friend Bryan Baker, at first when I showed him this, everyone thinks thats alot. Which to an extent is. In Relationship to what though? Now Bryan and friends are being introduced to the blogosophere and my $570 is looking like pocket change hu? I know I know, its not going to buy me that Yellow Convertible Ferrari F355 F1 Spyder, with the tan interior, navigation with the custom lisecence plate, and vinyl sticker on the back of the ferrari that says you can have be or do anything you want. But its a start!

Adsense for March
After this web 2.0 project is complete, there should be no problem generating $100/day from advertising. The revenue you are seeing is off 1,000 unique visitors a month towards a niched engine site, which devliers contextual ads to people learning about cars. Now just imagine if we had 10 of theses sites, or 1 big one? Good stuff, lets make it happen, that is from like 2 years of work of putting together a site. I don’t even know how many hours into it, probably at least 6 months-full time went into making that happen.

Blast From The Past (Elementary/Middle School)

I was browsing on the internet on my old friends site back from 2000, I think was around 12 then! Anyways, it was interesting to see the work I did back then and how it has progressed to becoming an individual passionate about entrepreneurship. This is just a self expression about myself growing up, and some of the major influences on my life and really how it made a major difference in who I am today.

Most important thing in middle school would be meeting my best friend, Cameron Boehmer, who is my age. He and I had an interest in computers, in the 3rd grade I had access to a computer and the internet, and it all started from there.Cam and I would later start Jingyee, Inc a company that focused on building a web company that focused around student notes, corvallis classifieds text book exchange, and showing off student works.

Nothing really incredible happend in middle school, I went to a public elementary school, Laurelhurst, and don’t really keep in touch with anyone from there. I got hooked on this game called Ultima Online, a massive mutliplayer online game, the best in my opinion.

Here is a video I made in middle school, one of the several flash productions I did:

Wes Mahler’s First Fighting Video

That went on for several years, in elementary/middle school I thought it would be cool to become a computer programmer. I ended up at a public middle school, Fernwood, where I would meet one of the most influential people that has affected my course of life. Although he does not even know about my blog, and I don’t in touch with him much now, he was from a good family and was very entrepreneurial.He was always coming up with ways, and ideas on how to create income. He was reading books on accounting, rich dad poor dad, the stock market, this is in middle school. He was a very attractive person at the time, not in that way, but attractive in the sense that I’d like to be around someone of that character, someone who was doing stuff out going.

Well he was also interested in computers, and then he and I would start a little buisness together in middle school. It was Yaffice, a web design company. We mainly just made websites in frontpage templates lol, and we had a client with a restaruant, we started to work on the website but I don’t believe we ever finished it. Maybe I was not a good worker at the time, but I don’t remember finishing it. He might of done some more things.

That kind of got me started, meeting an indivudal who was interested in entrepreneurship. I diddn’t even know what the word entrepreneur was untill I was a senior in HS, and little did I know what would happen then.

I will always be gratiful for meeting someone who has had an impact on my life, and I say thank you whenever I get the chance to talk with him over the phone. Although we are not in touch really lately, it has been a blessing to meet someone who got me started.

I was developing flash macromedia graphics at the time, Stephen and I became the teacher’s assistant for the computer class. Cool Hu! We thought so, especially when we put trojan horses on everyones computer, and could open their CD roms, shut down their computers from any computer in the school, and basically mess with everyone, lol. Anyways, thats kind of funny, but true! Stephen showed me that, oh yeah, we also got a password cracker for the teachers’ passwords. At that time in Windows NT, I believe it was you could get all of the passwords, download the encrypted passwords to a datadisc, and bring them home and have a cracker program, basically run through all of the options. a, b, c, … aa, ab, ac, … aaa, aab, etc etc etc. And it’d find the passwords, cool hu!

I don’t think he ever changed his grades but we were pretty close hah. Um, middle school wasn’t a good time for me grade wise, I got around a 1.5 GPA and, 2.0s I got alot of Ds. I ended up finishing middle school with like a 2.0 gpa average, of course that doesn’t matter, although in realitly it does, it set me up for horrible grades in HS. I was kind of a trouble maker, I got suspended 3 times for fighting kids at school, I guess thats normal though.

At the time we were having trouble, my brother was having troubles at public school, and my parents did not want me to goto public school. I look back now, and had I taken the road my brother had gone down, I would be, um, I’am not exactly sure but it wouldn’t be pretty I’d be failing out of school, partying, not being productive, behind on my dreams, and like some of the unfortunate friends have wound up that I’ve associated with.

Although middle school was good, I agree with my English teacher on this one, that high school was the most influential period of my life which would be the major determing factor in where I’am today, and will be in the future.