By Joe Palumbo III
“I could do that. I have some money set aside for the right investment,” you thought. You envisioned getting rid of your job because of the overtime to bring more money home. But before you call that toll free number, take a step back for a moment.
Most times a franchise is the best route for an entrepreneur looking to go into business for him or herself. The infrastructure is already there, so marketing is the main objective to build the business and make the entity profitable. There are also companies that offer quality investment strategies for real estate. But don't be deceived. They say real estate is easy money. But is it?There are taxes, insurance, renovations, maintenance, mortgage payments, to name just a few. You have to be financially comfortable and have working capital set aside before leaping into an investment property. A solid business model without the capital to make it work is like a beautiful Mercedes without an engine. It looks great, with no motion.Research is also a must. I recently invested in real estate in the Florida and South Carolina regions, personally and for clientele. However, I actually flew down to both areas to view the demographics and research what the profit anticipations look like.So how's business in franchise and real estate? Both are excellent ways to make money. But remember, there is no better way to make money than with a solid business model that includes research with realistic projections and a sound infrastructure going forward. In the end, the rewards always have to outweigh whatever the risks inherent may be.Joseph J. Palumbo III is the managing director for the Palco Group Inc. The Palco Group deals in asset management, private finance funding, and business consulting. Palumbo can be reached at palcogroup@aol.com or 718-461-8317, 516-297-4034.
