by: Miami Phillips
Have you seen a picture of the Parthenon in Athens, Greece? I will never forget walking up to the massive granite ruins. The size and power still remaining in a building constructed 2500 years ago is overwhelming!
Although the roof lies on the ground, in pieces, most of the columns that supported it are in place. There are a lot of columns!
I think of the Parthenon’s roof often. If its’ roof had not been supported by all those columns it never would have lasted as long as it did. By any standards, it lasted a long time.
I have a roof, which shelters my family and I call it a financial or revenue roof. It provides for all our basic needs. Revenue or income also emotionally supports us, and provides the extras we enjoy in our lives.
I do not want my roof to fall in. My Parthenon Principle is to support this financial roof with as many columns as possible. If one column of income collapses (and they always do) there are others to take the weight so that the complete revenue structure will not crash on our heads.
Another way to look at this is - do you have all your eggs in one basket? Is your entire income dependant on one source? What would happen to you if that source disappeared?
Last month, I lost my largest corporate client. It happens. This client had grown over the last five years, slowly utilizing more of my services and representing over eighty percent of our revenue.
I had let it get disproportional large. Fortunately, we were prepared with backups, and other 'standby' pillars of revenue, ready to be rushed in, to support the revenue roof.
Think about your income and revenue, and prepare for worst case scenarios. Make the choice today to support your revenue roof, and your income streams by using the Parthenon Principle.
1. Build an emergency fund of at least three months of expenses. Not only will this fund provide emergency support if needed, you will have a sense of financial freedom just knowing it is there. Think of it as a spare column for your roof. You might not need it, but it feels good having it!
2. Consider additional sources of income. Can you create something to sell? Is there somewhere you can add on part time work, doing something you enjoy, which would provide you with added income? Even a small amount of money will build a financial reserve, and give you an income if your primary source fails.
3. Eliminate your debt as much as possible. You can manage without income far longer if there are no monthly payments to be mailed.
Think Parthenon Principle!
Your online friend and Coach,
Miami
Miami Phillips
Helping others find their path - and stay on it.
Quotation of the Week
"Failure to prepare is preparing to fail." Mike Murdock