3 Things to Consider When You Hit “The Freedom Point”
When was the last time you calculated the percentage of your net worth tied to your company’s value? When you started your business, its value was probably tiny – it may have been just three guys and a truck. Unless you purchased or inherited your company, it wasn’t worth much when you opened the doors, but over time, the proportion of your personal assets tied to your business may have crept up.
Let’s imagine a hypothetical business owner named Tim, who starts his company at age 30. He has a little bit of equity in his first home and a small retirement fund. When he starts his business (Tim’s Tiny Towers), it’s worthless, so it doesn’t yet factor into Tim’s net worth calculation.
By the age of 50, Tim has built up $600,000 worth of equity in his home, his retirement nest egg has grown to $400,000, and Tim’s Tiny Towers has blossomed and is now worth $4,000,000. Tim’s company has crept up to represent 80% of his net worth. Tim knows the first rule of investing is to diversify, which he is careful to do with his retirement account. Still, he has failed to achieve overall diversity given the success of his business.
What’s more, he may have unknowingly passed something called “The Freedom Point,” which is when the net proceeds (i.e., after taxes and expenses) of selling his business would garner enough money for him to live comfortably for the rest of his life. Your lifestyle determines your Freedom Point, but when you pass it, it’s worth considering the risk you’re taking.
If this pandemic has taught us anything, it is that nothing is certain, and a thriving business one day can turn into a struggling company overnight.
When your business makes up most of your net worth – and selling it would garner enough money to retire - there is no financial reason to continue owning your business. You may enjoy the challenge, the social interactions, and the creative process of building a business, but keeping it may be unnecessarily risky.
When you’ve crested the Freedom Point and want to diversify—but still don’t want to retire— you have some options:
• Sell a Minority Stake: In a minority recapitalization, you sell less than half of your shares. Often sold to a financial investor such as a private equity group, a minority recapitalization allows you to diversify your net worth while continuing to control your business.
• Sell a Majority Stake: In a majority recapitalization, you sell more tha
... keep reading on reddit ➡I have owned corn snakes my entire life but when the last girl died of old age at 11 (Google told a corn snake live 8 years) I decided to give up the hobby. Now that I have settled down with a wife and have a nice place I have decided to get back into the hobby again and was wondering if anyone knew someone who breeds snakes in or around Sioux Falls.
My only condition is that I don't want a huge snake. My limit is probably 7 feet or my wife is out though I could probably get away with 10 haha since she would love him/her by than
Requesting $200 and paying back $225
This write up began as a attempt to shed light on the obscure unsolved murder into WAC Lieutenant Naomi K Cheney of Sioux Falls, South Dakota on October 5th 1943. Research into the murder quickly hit a wall as investigative techniques at the time were unable to recover much in the way of physical evidence. However a article in the New York based Poughkeepsie Journal references the Cheney murder and its similarities to the murder of Army Nursing Cadet Lucille Elizabeth Lawrence in Poughkeepsie, New York on October 27 1943. These cases with military connections lead to Further articles from the time period describing women killed across the Mid West and East coast in similar fashion. Inspection of similar cases lead me to suspect that Bernard Butler and Harry May, may have been falsely convicted. (Can Skip to “Pearl May Weatherill” description if interested in possible false convictions)
A Brief Summary of both cases: Naomi Cheney
- At around 5 p.m. Oct. 6, 1943, 10-year-old Val Hill was searching a brush-covered area for sumac leaves near her home at 1202 W. Sioux St. when she happened upon the lifeless body of Army 2nd Lieut. Naomi Cheney. Cheney ate at the officers club at 6 p.m. Oct. 5. She was there to visit her roommate, who was in the hospital on the base. She left the airbase at 9 that evening through gate No. 3, which opened out onto Northwest (now Burnside), where it crosses Western Avenue. She asked the guard if walking home would be safe, and he told her, “Use your own judgement.” She was seen a short way down the road by a cab driver, who mentioned to the guard that he had seen her at the corner of Northwest and Sixth Street. The walk home would have taken around 25 minutes, depending on conditions. Cheney's body was found southwest of the Omaha viaduct, which was what they called the West 12th Street bridge that crosses over the train tracks west of Grange Avenue. This was a little over three blocks from her home. She lay on her back, her uniform intact but somewhat rumpled. Her purse was propped against a nearby boulder, her visor cap a short distance away and her flight cap across her chest. The WAC insignia from her left collar tip was found a foot from her body. Her shoe was scuffed on two sides and the toe crushed, as though her foot had been stepped on. Her face was bloody on one side, and blood had pooled near her head. An autopsy performed during the night by army and civilian doctors disclosed a multiple fracture of the right side
