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The purpose of wealth talk is to educate, inform, and hopefully entertain you on the subject of building your wealth. Wealth builders recommends you should always take independent financial tax or legal advice before making any decisions around your finances.
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Welcome to Episode 134 of wealth talk. My name is Christian Rodwell, the membership director of wealth builders. And I'm joined today by our founder Mr. Kevin Whalen. Hi, Greg, it's great to be with you again. Happy New Year 2022. Here we come. What a year, make it your best every I know. Well, it's always a time of reflection for people. So I know we've got big plans for wealth builders in 2022. We can't wait to build upon the foundations that we've already got with our members and our partners as well. And today, we have another member spotlight and It's Our Community Support Manager, Ritchie, CO. Oh, Rex. Yeah. And I mean, look, what greater testimony, can you get that someone who starts off, as you know, really, let's say as a client, and then turns into loving what they're doing so much that they want to actually be part of it on the day to day basis. So, you know, a wonderfully elegant, but simple message from Richard COE today. And unlike that simplicity, because all too often, Chris, people make wealth too hard. They think it's too hard, they've got to know so much. And as we know, we can be inundated with information. And we can be confused by our own self doubt, as often people are. And I would just, you know, say to our listeners today, listen out for how simple the strategy of building wealth can really be. And if you follow it,
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even if you follow the simplicity of this particular one, which always leads to more complexity later with greater returns. But if you focus your way, with simple, easy to follow steps, you will get from insecurity to security. And then it's just a process of building the confidence to move from security into independence. And that's the primary focus of wealth builders to get people from financial insecurity, to financial independence, often, for the most part, within about five years, sometimes early, sometimes later. It's not a race. But usually, and this is a perfect example of how to do it in a simple, but elegant way. And we know one thing that holds people back, Kevin is not having a plan, and just not knowing where to begin, really. And that's why we've put together the recurring revenue roadmap, which is a simple nine step process. And one which you obviously followed for yourself, Kevin, although not as, you know, step by step as we've made it today. But certainly all the key elements there, which now someone or anyone can follow if they've got the right support around them as well. And we know that that's a key factor as well. It's not doing it by yourself, but making sure you've got others that have already, you know, perhaps taken few steps ahead of you that it can show you the way and avoid the pitfalls. I think unquestionably that's the one of the biggest values and the part of wealth builders, I'm most proud as the is the support network and the connections that we make in there. And, you know, I think we've all had Christmas period and a New Year celebrations. And while they might be muted in different countries in different ways, for different reasons, nonetheless, we are about connecting people. And so therefore, you know, those people who love the idea of not just being helped, but also helping in the future others, then wealth builders is definitely a place to come and check out if you're a DIY person, you'd like to do everything on yourself by yourself. Rather, you're fiercely independent. You don't like getting help, you just want to Google your way to wealth. Wealth builders is not for you. We don't do DIY wealth here at wealth builders. So so you can move on to another podcast if you'd like. But we're all about the connecting and finding fantastic who's who can help you build your wealth. And, and I think, Chris, you've got a little bit of a congratulatory piece in this story, haven't you? Because it was actually you who met Richard Konami. Well, initially, that's right. Yeah. So when I, you know, quit the rat race for myself and I set up my first business there, which was, you know, similar to wealth builders was just really bringing people together people who were experts in different areas of building wealth and generating income streams and rich co attended one of my events, and that one was all around how to build a business on Amazon. And that in fact, was you know, the start of rich COEs entrepreneurial journey. So yeah, it was really nice to connect. And then obviously, you know, we started working together, Kevin
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and rich co decided that wealth builders was her her next step.
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That's good. And I'm pleased about that. But yeah, Richard COEs got a nice story. And you know, what's always impressing me always impresses me is when people don't come from this country, you know, they don't have all of that credibility. And those relationships already established, or they're almost starting completely from scratch, you know, and don't like no baggage at all. And I think in one way, it might sound like a disadvantage, you know, because you don't really know the country or culture. But because I know she's from Dutch origin originally, and through the airline industry traveled all over the place in she so maybe we're going too much into the story, let her tell her own story. And we'll come back and talk about it later. We will. And I just mentioned actually, Kevin, for anyone listening now who perhaps is interested in, you know, what we're doing in wealth builders Academy, we will be holding a webinar at the end of January. So we'll let everyone know the date in a couple of weeks time. But if you want to check out, you know, head over to wealth builders.co.uk forward slash Academy, you can see an image of the recurring revenue roadmap there everything that we're going to be talking about now with rich CO. So let's head on to our interview with rich co Rick's rich co Welcome to wealth talk today. Hey, Christian, it's great to be on the show today. Thanks for having me. Yeah, more than welcome. And today, we are going to be walking through the recurring revenue roadmap and focusing, you know, the spotlight on you as our member for this month rich CO and not just member of the month, really. But obviously, we know you now much better because you're also a member of the team, our community support manager but wasn't always that way. Right? You You joined as a member just like everybody else. And when was that rich? Co?
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I did? Yes. I joined in 2019 as a founder member. So yeah, one of the first few members of the program, I think when it just was just started. Yeah, yeah, so a lots happened since then. So we're going to cover all of that today. And as I say, we'll kind of go through the roadmap. And the roadmap is obviously broken down into three stages. And we have nine steps. And it's really a journey from financial insecurity through to financial independence. And stage one is all about building confidence. And let's start at the beginning, then rich code. So was there a particular catalyst that you can look back and remember, where you just kind of thought, right, I need to kind of change what I'm doing, I need to start thinking more about building wealth myself. Yeah, there certainly was Christian I am, I arrived in London five years ago, came for a job. I was looking for an airline at the time, and was a really great opportunity that that brought me to, to the UK,
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you know, full of hopes and dreams. And then within a year of being in that job, that company started a global restructure, which meant they were cutting hundreds of jobs, unfortunately, at the time, my job was safe, but just experiencing that whole, restructure, and, you know, seeing the stress with the colleagues that were going to lose their jobs was such a such a big catalyst that it completely changed my my thinking about job security,
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felt really exposed. And, you know, there's always another job, but just seeing what that did to people. When you're that vulnerable, and you're relying on one single source of income of your job, when all of a sudden that gets taken away from you
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really made me think about, you know, what am I doing? And is there something different that I need to be doing? Are there other ways of income that I could generate? And how but yeah, I did, he had no idea where to start, or where to look, but I knew I needed to look at things in a different way. And yeah, that really was the the catalyst for it. Right? So So can you remember them? What were some of those first steps? Like how did you begin to start learning about, you know, entrepreneurial way of life? Yeah, spending a lot of time on the internet, just looking up things, you know, searching, looking at YouTube videos, reading books, as well, about, you know, perhaps starting a business or, you know, what, what learnings and things just the journey of exploring began
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just to see what was out there in terms of, you know, courses, books, there's a lot of stuff out there, as we all know, so it quickly gets overwhelming, you know, not sure which direction to head or where to look. So, but yeah, that was kind of the start of the journey. Okay. And then and then what brought you towards wealth builders. Can you remember? Yes, well, I first venture I did was I started a small online store on Amazon, which was one of the first
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ventures I started as a business of my own. And, you know, obviously trying to learn more about how that all works. I attended an event, someone was presenting about Amazon how to set that up. And you read that event, Chris, we we met at that particular event you were doing escape the rat race at the time, and I joined. Yeah, so that was kind of a side of the journey. I did that for a little while. And I learned so many things from you on that path. And then, yeah, wealth builders obviously came along at that point as well. And I thought, Well, I think I found what I'm looking for, I think I need to jump on this bandwagon and enjoying these guys. Yeah, that's right. So yeah, around about that time was around about 2018, I think, wasn't it? And then 2019. Kevin, I launched the wealth builders membership program. So yeah, it was just good timing. And, you know, great that you were there to take advantage of that, and be one of the first members to join. And it was a, you know, a lovely cohort of founding members of which, you know, many still remain today and have been on the podcast as well. But okay, so so, you know, obviously, then you were exposed to the Seven Pillars of Wealth, and, you know, some some new IP. And, you know, still in the foundational stage, there are some things at the beginning, which you have to get clear on right. One of those is wealth dynamics, as well. So just really getting clear on your own entrepreneurial profile, the things that you should be focusing your time on, things you shouldn't be focusing your time on. So did you take the wealth dynamics test and remember what your profile is? I did take the assessment. Yeah, it was a real eye opener for me. I know, at the corporate level, I done certain number of personality tests and all these sorts of things. But well, dynamics has quite a different approach. And
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my profiles mechanic, which was really quite eye opening, you know, just sort of shows, all the things that you could add and where your natural flow of things is, and also where where it isn't, you know, there's certain things I kind of was struggling with, and sort of be understand a bit better why that is. So yeah, that's a really, really great thing to uncover and understand about yourself. Yeah. And, and then step two, is about foundations. So this is really where we look at the five levels of wealth and you know, get a really clear understanding of where you are right now in terms of insecurity, security, independence, or beyond that. So. So where we're at beginning of the journey, then rich co
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beginning it was financial insecurity, just had one single source of income, which was the job, no other income, until I started the business that sort of started to generate a small income.
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But yeah, it's definitely I was at financial insecurity when I started. Okay, great. So then the only way to change that is to learn how to start generating predictable recurring income from assets. So moving into stage two of the roadmap, which is all about building knowledge. And step four, in particular, is is choosing your assets. So you mentioned you already had the commerce business running so So what did you then look at in terms of additional pillars?
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The other pillar I started to look at when I joined was the property pillar. I didn't have any experience in property, but I thought it was going to get me to security quicker than then I was going to get there through through the business, which required a lot of upfront investment was quite high cost of running the business. So I explored another pillar, which was property.
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And yeah, I just started to slowly educate myself around around that particular pillar and choose a strategy, where to get started with So yeah, that was the other one I was going to focus on, it's got turned out to be the main pillar of focus now to get me to that security level. Okay. So so we're gonna, I think, you know, spend the time to actually look at how you've chosen your pillar, then how you've chosen your strategy. And then moving into stage three of our roadmap is all about then executing that plan, and in particular, turning the wheel of wealth. So if if property was your pillar, rich, CO, how did you go about finding your strategy? I started at the basics. So yeah, educating myself on all the different strategies that you could do with property. It made most sense to start with the buy to let strategy I didn't own any properties of myself, I didn't own any other buy to let properties when I started, literally, starting from from zero and
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not being from the UK, originally, you know, only sort of had a small track record and financial footprint. So being able to know sort of being able to start with a buy to let below made most sense, was just the easiest way to get started. So we'll have one
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Obviously, as you say, begins with education then moves through to support connection, due diligence and Guided Action. So where did you get that education from, in particular, the beginning, rich go to learn the vital at strategy in more depth, I did property training with asset Academy, thinking as being sort of serious about the choice I made, I went full in with the education, but really important aspect of
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getting the knowledge, particularly not understanding the UK property market not being from here. So it really invested in the education, a two year program in property training with with asset Academy, which included a mentorship as well, some fairly significant investment on my end, but I can honestly say I wouldn't be doing today.
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If it hadn't been for that training, and the education and all the knowledge I learned on that training program, and also the network is provided. We are talking about support and connections. Definitely a very important aspect of being part of that training program, as well as you meet people who are on the same path as you are they're trying to achieve the same things and you connect in that way, you're
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focusing on the same journey. So yeah, so let's let's serve. So you covered support there, obviously, you were getting as part of your education, obviously, support from wealth builders as well. And in terms of the connections and so specifically, with the wheel of wealth, the connection piece is really understanding Well, you know, who else has done by two? Let's and what does it involve? And, you know, going and meeting people having a look at the properties if needs be? And so how did you go about connecting with other people in particular, so that you really knew that vital Act was was right for you and how to go about it. And yeah, the the wealth builders network actually played a very important role in that in that aspect as well. So one of the first people I connect it within the community was John Dale, who's now one of our wealth coaches, as well, I remember having a phone call with him, Be been active in the vital IT strategy for for many years, a lot of experience and not always very, very supportive and very helpful. And yeah, that that conversation I had with John was really helpful. He just gave me a lot of pointers, you know, sort of help firm up the strategy for me, also within the asset Academy network, and a lot of people who are ahead of you in the journey with experience, so reached out to them to connect with with them as well. And yeah, just really, really important aspect of, you can't do this on your own, you know, it's really key to connect with people who are doing it. And, you know, they're slightly ahead of you in the game, they can show you, you know, the right way of going about things. So yeah, very, very important. So that that hopefully gave you the reassurance that vital, that was the right strategy for you. And so the next stage of the wheel of wealth is about doing your due diligence, which goes so So what did they involve for you in particular? Yeah, that digit, it's very important step in the process. Basically, I spent a lot of time researching the area for buy to let, so once I'd sort of made a decision on the strategy. The next decision was going to be where, where that was going to be which area,
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spend a lot of time researching different parts of the UK, or a lot of it on the desktop, I was behind the computer crunching numbers, looking at looking at figures where this strategy could work. And basically, also, more specifically, were good work for me, giving the starting position, you know, the capital I had available to myself to make a start so yeah, I didn't, I didn't sort of cut any corners in that process really spend a lot of time thinking and analyzing the numbers to make sure that you know, I made the right decision on the area where to invest. Yeah, and interesting. Now you're saying about analyzing the numbers and you know, your wealth dynamic being more on the steely side? Right? But that you're not just doing this alone, you're doing this with your husband as well. And, you know, talking about the different dynamics there. So, you know, how does that work? Yeah, that's interesting. combination. So he's kind of the opposite he's star profile very high in blaze energy and, you know, likes to connect with people like to get out there and,
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you know, be
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networking and really, yeah, that's, that's history. So, yeah, we complement each other very well in that aspect. Cool. Cool. So then the final step of turning the wheel of wealth is obviously taking Guided Action and so that's obviously you know, working with your coach working with your support network to turn the wheel and hopefully generate capital or cash flow so so how did that first wheel turn go for you rich? CO
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Yes, I remember was quite stressful. You know, you're investing a lot of money in buying your first asset and you have
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hoping you're not going to make any mistakes. But I had fantastic support from my wealth coach, Ian Halfpenny, at the time again very experienced in the buy to let and property pillar bites that strategy as well. So he was a big help.
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There was a mentorship part of the the asset Academy as well. So having 3d mentorship with the mentor really helped me to just take those first few steps.
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Turning that wheel and yeah, it's
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a big milestone. Yeah. So what was the result that that generated in terms of cash flow for you? So yeah, at the end it it puts 300 pounds a month net cash flow in into the into the bank?
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After Yeah, that was after refinance. So I bought it for 53,000 pounds, the very small vital it very big investment for me. But yeah, then did some works to it and big revival, revalued at 77,000. So it's able to pull some money out to start buying the next property.
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And then the cash flow was yeah, 300 pounds a lump.
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Yeah, that result so so so that, that that obviously got the thermometer rising, because we send out the wealth chart and see and, you know, the key is to keep you know, keep increasing that thermometer until you reach your your security level, and then your independence. And so that was your first you know, successful Wiltern in property. So, then you have to make a decision, what's going to be the next wheel turn. So So where is that lead? Since then? Yeah, I've kept going with that wheel turn, actually, Chris, just rinse and repeat model, you know, it's it worked. The first time was quite stressful. But the more often you turn that wheel, you're more familiar you become with the process. So
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since I've started, I've turned that wheel seven times. Now, there's a big difference between the first time and the seventh time. No, just really feel like you know what you're doing now? And yeah, comparing to that, that very first investment. I wouldn't say I could do it with my eyes closed, but it's certainly a lot easier now. So that model, it works, you know, there's there's no reason to, to not continue repeating and keep turning those wheels and keep generating that recurring income. Right. So So that's now pushed you significantly closer to your security vigor? I imagine it has Yeah, so it's well, within reach. Now, that's the aim for 2022 is to surpass that level. Just keep doing what I'm doing. I know, I'm going to get there. So.
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Yeah, really quite amazing. And thinking about accelerating and the next level? Yeah, yeah, that's great. And, obviously, I know, now, you know, you're thinking about what that next strategy might be. We'll come on to that in a second. But, um, you know, a key part of the wealth building process is, of course, your use of leverage. So can you think back to what the key points of leverage have been for you rich, co Yeah, leverage has been quite critical for me to achieve what I what I've achieved so far. And, you know, in property, you're always going to run out of money before you're going to run out of ambition. So the the leverage of finance, you know, whether it's institutional finance or private finance has been key to for me to keep growing and keep doing
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it keep keep adding the portfolio properties to the portfolio.
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Yeah, you do run out of money quite quickly in, in this game. So leveraging
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investor finance, and bank finance was quite key. Also, leveraging relationships with the investment area, I live in London, which is quite a long distance away from where my properties are. So leveraging invest relationships from from trusted people who are in the area, they can, you know, help manage things day to day things. Property Management, refurbishment management will really rely on strong network and strong relationships to, to help help with all these things. So that's been quite key for me as well. Okay. And what about relationships that you've built with other members of the community? Because I believe that expanding into the joint venture pillar as well. Yes, that's very true. Yeah, it's always, you know, great to connect with so many people and people are on their on the same path, you know, like minded people. So connections are made very easily, I think within the within the community. Everyone's always really helpful and,
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you know, thinking about ways to collaborate together. So there is there is a joint venture currently working on with one of the other wealth builder members, which focuses on
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investors in the Netherlands looking to invest in the UK in property.
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So, yeah, again, very, very interesting and exciting.
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venture to further exploring the new year. Yeah, brilliant, brilliant. And also, just whilst you're on pillars, and you know, we talk about pensions a lot, Ritchie, CO, but you had a slightly different kind of experience, I suppose when you were exploring the pension pillow? Do you mind just telling us about that?
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Yeah, so I work most of my career in Australia, so most of my pension was built up in, in Australia in what they call a superannuation. And
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when I joined wealth builders, you know, the learning about the pension pillar.
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It was able to apply that that principle to my personal situation as well, even though it was a pension in another country, it really did get me thinking about, you know, how can I leverage the pension I've got,
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and, you know, it's, it was kind of just sitting there, I'd left the country, there was no more contributions being made into that pension. So
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yeah, just that the program sort of taught me, you know, think about it in a different way. And,
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you know, we were able to move that pension into a self managed fund. So you know, a lot more control in terms of the investments that you can do with your pension, we were able to buy a property with, do all sorts of things. So, you know, getting a much better return, and have much more control over that pot of money, compared to when they were when it was just sitting there in the stock market exposed. So I feel a lot better about that, as well. And it's just one of the key things I learned from from wealth builders is it's in that regard. So yeah, it's, it's all about the principles and how you can apply them to your to your personal situation. So how do you have not had that education thing, that pension might still be sat there in the market right now? Absolutely. Yes.
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Okay, well, that's, that's really good to hear. So yeah, talking about moving forward, then. So the final step of the roadmap is called Accelerate. And you know, it's about obviously, then expanding on what you're already doing, looking at different pillars looking at different strategies. So where are you focused now? For 2020? To rich guy?
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Yeah, the focus is mainly to get to security, but it's just, you know, with the wheel turns that I'm already doing in the beitler area, I know how to get there. So it's really thinking about what other wheels to turn. And I did sort of make a start with a new wheel turn in commercial property at the, at the end of last year. So it's a new Wiltern again, lots of following the same process of education, support connections and due diligence, been a very steep learning curve for me and yeah, been pushing me outside of my comfort zone. But you know, it's, it's a new wheel turn, follow the process. And yeah, you'll get there safely. So
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full confidence that that's going to generate a lot of new opportunities moving forward to accelerate and help get to that next level of financial independence. Okay, so we're at the start of 22, Richie Co. And, you know, for those people that listening right now, maybe they're looking back, I think it guys still in the same place, I was, you know, this time last year, what would be some words of inspiration or encouragement for them? Yeah, I'd really encourage people to just make a Smart Start and take action. And no matter how small the steps, you know, how, how small you start, it's really, really important that you just take those first steps, and you actually do something, you know, it's, it may not be perfect. From the beginning certainly wasn't for me. But the key is, you know, you've got to make that start and take those first steps to, you know, to get gain the momentum as well, that that comes as as you continue to take action. But yeah, really? take that first step and, and just do something. Yeah. I mean, no, no, no, no, what holds people back, right? It's, you know, fear of the unknown fear of failure. You know, all of these things, you know, but it's never really that scary. Is it once you just get going right, and you've got the support of everyone around you? Exactly. Yeah, the key is, you know, don't try and do it by yourself. You don't need to have all the answers. There's this. Reach out to people who can help you support you answer some of those questions for you. But you've got to take the action. You've got to take the steps. Make the decisions and, you know, keep keep moving forward that way. Yeah. Well, we look forward to seeing that progressing, rich, co well done on on everything so far. Thank you so much, as well for all of the support that you provide our members in the community. I know everyone really, really appreciates it. And then certainly we do as well. So thanks a lot for sharing today. Thank you, Chris. It's been a pleasure.
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Okay, so pick up on some of those lessons in a second. Before we do that, let's head to Trustpilot and read out one of our reviews that's coming over Christmas period and this one is from Peter. Peter says joining wealth builders has been one of the best decisions we have ever
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Ever Made in terms of building our wealth, being able to network with such a great group of like minded kind, and generous people who are always there to offer support is invaluable. Our knowledge and confidence has increased exponentially. And we know it is only a matter of time until we have reached our financial goals, you can tell that Kevin and Christian love being part of people's wealth building journey, and it shows in the service they provide. Wow, I, you know, I keep getting WoW is when I hear these reviews, Chris. And I just love the way they frame these things. And they they phrase them and they're always showing the confidence in their own cells as well, isn't it you can hear, in those words that him and Joe actually married couple working together, very, very confidently know, they're going to hit their objectives. But there's, there's no doubt if you put them in a room now and say, Do you have any doubt that you will be financially independent? No, we have no doubt. You know, so we know what they're doing. And similar with Richie Rich ago, do you think you are confident on a scale of one to 10 with one being low and 10? Being high? How confident are you of reaching financial independence should be a 10 out of 10. And this is the value in working together with other people. And again, I'm sound like I'm a bit of a repeating neck or about community. But but listen to what Pete and Joe had to say as well, which is about No, it's not about us, Chris, you know, where we're kind of trying to lead the community. We're a bit of a glue, I suppose but, but in reality, the, the real value is the size, the scope, the the incredible integrity of a community, which means, by the way, you know, we've got to exclude people.