GOOD MORNING TALKING ABOUT THE BOTTOM LINE THIS MORNING WITH MIKE JENKINS BANKRUPTCY ATTORNEY BECAUSE WE WANT TO MAKE SURE YOU KEEP YOUR BOTTOM LINE. HANG ON TO THE MONEY, RIGHT. LET’S PREVENT YOU FROM MAKING SOME PITFALLS. WE’RE GOING TO TELL YOU HOW TO MAKE SURE YOU NEED THE HELP YOU CAN. ARE YOU HELPING US OUT BY CONTINUING ON A CONFUSION THAT PEOPLE CAN DO AND HABITS THEY HAVE THAT CAN NATURALLY LEAD THEM AND A NEGATIVE FINANCIAL SITUATION. AND WE’RE GIVING YOU SPECIFICS. AND I’M INTERESTED IN HEARING. AND HOW OFTEN ARE WE SAYING WE’RE SUPPORTING ENT TREE NURES AND START YOUR OWN BUSINESS AND TO YOUR THING. WE KNOW IT TAKE AS LOT OF TO GET A BUSINESS STARTED. IT IS REWARDING IT IS HIGHLY RISKY. ANDVY A BELIEF THAT MORE THAN 50% OF BUSINESSES FAIL AT ONE POINT. MORE THAN 50. THAT’S MY OWN BELIEF. I READ THINGS THAT SUGGEST THAT TYPE OF THINGS, ARE YOU ON THE OTHER END OF THE LINE SAYING I NEED YOUR HELP. SO YOU WOULD KNOW. YOU READ ABOUT THEM. AND OVER THE WEEKEND. THERE WAS A PAGE OF RESTAURANTS CLOSED. AS WE SHOWED YOU THAT. THEY ARE UNDER CAPITAL IZED. THE WAY THEY GIVE A LOT OF THOUGHT TO THIS THEY GO INTO A BANK AND GET A LOAN AND THE SBA AND GET A LOAN AND HAVE START UP CAPITAL AND GET IT UP AND RUNNING. YOU HAVE TO FIT THE RESTAURANT AND YOU HAVE A RETAIL BUSINESS AND GET STUFF INTO PLACE AND BE OPERATING AND YOU PAY THEM AND YOU DON’T HAVE SOME AMOUNT OF MONEY IN THE BANK TO DO IT. WHEN YOU OPEN UP THE BUSINESS THE MONEY IS NOT FLOWING IN BECAUSE YOU TURNED ON THE LIGHTS WE’RE HERE AND THE MONEY IS COMING IN THE DOOR. PEOPLE USE CREDIT CARDS TO FINANCE THE BUSINESS. THE ONLY PROBLEM IS THAT THE INTEREST RATES ARE 19-POINT SOMETHING PERCENT INSTEAD OF A DECENT RATE OF INTEREST IF YOU GET A BANK LOAN OR SBA LOAN. UNDER CAPITALISATION IS A PROBLEM. PART OF THE REASON PEOPLE GO IN UNDER CAPITAL IZED INTERNS AND THAT’S ANOTHER REASON IT RISKY. THEY LOSE THEIR JOB WHERE THEY WERE WORKING SAYING I CAN DO THAT. I’LL DO IT ON MY OWN. I WORKED IN THE RESTAURANT SERVING THE FOOD TO THE PEOPLE YOU KNOW I WAS COOKING SOMETIMES I KNOW HOW TO COOK AND SERVE THE FOOD. I GET THE MONEY I KNOW HOW TO GET THE MONEY FROM THE CUSTOMERS, THEY SAY I’M GOING TO OPEN A RESTAURANT. NO OPERATING CAPITAL. THEY FIND A PLACE THEY GET MOM’S RECIPES THEY SAY THIS WILL BE GREAT. WELL AGAIN YOU KNOW THEY DON’T HAVE MONEY. AND IT IS ONE THING TO DO THE STUFF THAT THE BUSINESS DOES KNOWING IN A SITUATION HOW DO WE GET THE BEST PRICES FOR THE FOOD WE ORDER. HOW CAN WE GET BETTER PRICES AND CALLING UP A SUPPLIER SAYING WE NEED THIS OR GOING TO TARGET AND BUYING IN BULK. THERE ARE TRICKS AND LOTS OF DIFFERENT DEVICES THAT SUCCESSFUL BUSINESSES USE SO THEY CAN LOWER THEIR COST. YOU NEVER OPERATED OR WORKING AS A PLUMBER FOR A COMPANY. YOU MAY NOT BE TO BID THE JOBS AND THE RIGHT PRICES. INPERSONS IS A PROBLEM. AND ANOTHER BIG PROBLEM I FIND WITH PEOPLE THAT DECIDE THEY WANT A BUSINESS. THE BUSINESS IS NOT THEIR MAIN WAY THEY WILL HAVE THEIR INCOME. THEY HAVE A NICE LUCRATIVE POSITION WORKING FOR A BANK. SOME COMPANY COMPANY THEY SAY I WANT A BUSINESS. A FUN SIDE JOB. THEY ARE PAYING PEOPLE TO RUN THE PLACE. THEY’RE NOT INVESTED WITH THEIR OWN TIME AND LABOR. THEY COME IN FROM TIME TO TIME AND CHECK THINGS OUT. SEEING IT OPERATING, ARE YOU NOT MANAGING THE AFFAIRS. THE OTHER PROBLEM IS THAT ARE YOU PAYING SOMEONE ELSE TO MANAGE THE DAY TO DAY AFFAIRS. A MANAGER PAYING THEM 40 OR 50,000 THAT YOU WOULD NOT BE IF WERE YOU THERE. AND IF YOU HAVE A CUSS AND WIFE THAT’S BETTER IF A SPOUSE STAYS THERE FOR A WHILE. THAT’S A GUARANTEED INCOME COMING IN. WHEREAS THE PERSON WORKING AT THE BUSINESS. YOU GOT TO BE WILLING TO GO OUT WITHOUT MONEY FOR A WHILE. AGAIN, IT TAKES TIME FOR THE BUSINESS THE EARN CAN PAY THEMSELVES. IT COMES BACK DOWN TO THAT ALMIGHTY DOLLAR AND PREPARED IN THE RIGHT WAY. LET’S TALK ABOUT BEING PREPARED AND NOT HAVING TO DIP INTO SOME FUNDS. YOU SHOULD NOT BE DIPPING INTO. PAYING OFF DEATH AND HOME EQUITY LOANS. I DON’T THINK YOU WOULD GET INTO THIS UNTIL A CERTAIN AGE. WHY IS THIS A BAD IDEA. RETIREMENT IS THE BEST TIME TO GET INTO THE 401(K) WHILE YOU ARE STILL WORKING TRYING TO MAKE IT GROW. AND SO, WHEN ARE YOU BORROWING AGAINST YOUR ASSETS THE 401 K THE EQUITY TO PAY DEBTS. YOU ARE READY TO SACRIFICE THOSE BECAUSE IF YOU DON’T PAY THEM IN THE CASE OF THE 401(K) YOU SHRINK THE VALUE IN THE CASE OF THE HOME, YOU RISK LOSING IT IF YOU CANNOT AFFORD TO PAY THE NEW LOAN YOU PUT AGAINST IT. EVERYTHING WILL BE FINE IF THIS IS A ONE-TIME EVENT. I’M GOING TO DO THIS. PAY MY 15 OR 20,000 OF CREDIT CARDS OFF CUT UP THE CARDS NOT GOING TO GET OTHER ONES DOING THIS STUFF I FIGURED OUTKY NOT BUY STUFF AND NOT PAYING FOR IT SO I’M GOING TO PAY FOR THIS. PAY IT BACK AND NOT DO THAT STUFF ANY MORE. BUT THAT DOES NOT HAPPEN. THE SAME CONDUCT THAT CAUSED THEM TO GO BORROW THE MONEY AGAINST THE HOME THEY KEEP ON LIVING AND CHARGING. NOW THE COORD I HAVE MORE CREDIT I CAN GO OUT AND CHARGE THEM UP BECAUSE THEY WERE AT A ZERO. AND THEN ALL IT TAKES IS ONE BUMP IN THE ROAD. SOMEONE LOSEs THEIR JOB. SOMEONE IS STICK. ALL OF A SUDDEN THE INCOME STREAM IS CUT OFF FOR A WHILE. YOU CANNOT PAY YOUR MORTGAGES. SOME ARE GETTING LOANS AGAIN THAT. AND THE PAYCHECKS ARE SHRINKING BECAUSE THE PAYMENTS HAVE TO COME OUT OF THE CHECK, IT’S NOT LIKE THE CREDIT CARD SAY I WILL NOT PAY THIS. YOU WORK AT THE PLACE IT IS COMING OUT NO MATTER WHAT. AND NOW YOUR CHECK IS SO SMALL BECAUSE YOU HAVE THE LOANS THAT YOU CANNOT AFFORD TO PAY THE CAR PAYMENT AND HOUSE PAYMENT AND YOU ARE FILING BANKRUPTCY. BAD HABITS AND NOT USING THE MONEY IN A WISE WAY. ARE YOU GETTING THE GIST HERE. FAILING TO HAVE CAR INSURANCE. THIS IS A BIG DEAL WHEN THEY HAVE FINANCIAL PROBLEMS ALL OF A SUDDEN THEY START SLIPPING ON PAYING REGULAR THINGS THEY SHOULD PAY. ONE OF THE FIRST IS THE CAR INSURANCE. AND YOU ARE BILLED MONTHLY THEY RUN OUT OF MONEY. TIME AND TIME AGAIN WE SEE THE SITUATIONS THE DAY AFTER IT LAPSES. BOOM. THERE IT IS, DO YOU PANTS HAVE THE INSURANCE. YOU HAVE 20,000 THE SPORTS CAR HERE A PERSON HAS A WHIP LASH. AMERICAN FAMILY PAID OUT 20,000. ARE YOU AT ALL FAULT THEY WILL PAY IT. WHEN YOU GET IN AN ACCIDENT THE REPORT IS MADE WITH THE DOT THEY REQUIRE YOU UNDER THE LAWS UNDER THE MOTOR VEHICLE CODE POST A BOND THAT’S A PROJECTED ON THE ACCIDENT REPORT. THEY COULD NOT PAY NAIR INSURANCE. THEY LOSE THEIR LICENSE. THEY LOSE THEIR LICENSE FOR A YEAR INITIALLY. AND THEN THEY CANNOT DRIVE TO WORK LEGALLY. SOME PEOPLE DRIVE BUT THEY LOSE THEIR LICENSE AND THEN AMERICAN FAMILY STATE FARM IS COMING OF A YOU. THEY WILL SUE YOU FOR THE $40,000 THE WAGE GARNISHMENT STUFF CAN HAPPEN. THAT’S THE ONLY WAY OUT OTHER THAN PAYING REMEMBER THEY COULD NOT PAY THE INSURANCE PREMIUM. THEY WILL NOT PAY THE PROBLEMS THEY CAUSED HERE. THE GOOD PART WHEN YOU FILE BANKRUPTCY CAN YOU GET YOUR DRIVER’S LICENSE BACK AFTER IT WAS SUSPENDED. CAN YOU AVOID PAYING A REINSTATEMENT FEE THAT OTHER PEOPLE WHO LOSE THEIR LICENSE HAVE TO PAY A COUPLE HUNDRED DOLLARS TO REINSTATE THE LICENSE. THAT’S WHY IT IS GOOD TO GIVE YOU A CALL GET OUT OF THE BAD HABITS OR HELP THEM OUT IN SITUATIONS LIKE THIS. PEOPLE WANT TO GET IN TOUCH WITH YOU HOW? 255-1855. AT IOWA-BANKRUPTCY LAW.COM OR FOLLOW US ON FACEBOOK. SO MANY HABITS AND WE’RE NOT BEING GOOD WITH OUR MONEY. TRY TO BE SMART WITH THE MONEY KNOW YOU THAT ARE OUT THERE. I HAVE TO CALL. THERE YOU GO. WE’RE LEARNING THINGS AND HELP YOU WITH THE BOTTOM LINE KEEP IT IF NOT WE HAVE EXPERTS TO HELP YOU OUT. GREAT TO SEE YOU. THANK YOU. IOWA LIVE HERE.