How To Turn $10 Into $100 - YouTube

Hey friends, Kris Krohn here and I'm super excited to share with you today

how you take $10 and turn it into $100. I''m going to share

with you 4 specific principles and then how to actually do it.

Okay. So, check it. I'm really excited about this. I'm going to show you how to do

a little magic trick. How do you turn $10 into $100? Now, first,

It doesn't look that powerful, right? It's like, "Dude, 100 bucks I could spin that

really fast." But just pause for a second. If you can learn the principles behind

turning $10 into a $100, that means you know how to get a

1000% on your money. That's freaking awesome. And if you can do it in

small ways, you can learn how to what? You can learn how to do it in massive way. So,

you know at first when Nate's like, "Dude, Kris this would be a great video topic."

I'm like, "Dude, that's lame. No one's going to want to... And then I'm like, "You know what?

No, that's actually brilliant if you can double money on a lemonade stand." Well,

I'm going to show you a practical way of actually how to do this in a very simple

format. I don't even hook it up for you, right? But first I want to share with you

the 4 principles of "how do you go essentially from $10 to $100?" Wouldn't

you like to know that? Okay, here's principle number 1. I want

you to write these down. These are important. Principle number 1 is I want

you to buy low sell high. Now, that's going to come across extremely basic. But I

want you to understand that one of the richest men in the world-- Warren Buffett

write a 900-page book called snowball and it's all about buy low sell high. And

it sounds like it really makes good basic sense but it doesn't if you don't

understand principle number 2. Principle number 2 is what's called

Max margin. Now, I want to slow this down because I don't want to lose any of you.

But the margin is the difference between what you bought something for and what

you're selling it for. For example, if I buy something for 9$ and I

sell it for ten dollars, how much I'm going to make? 10 minus 9 is $1. Okay, if you

buy something for a nine you sell it for 10 and you make a dollar, would you call

that a big margin or a small margin? Well, it's relative. You don't know. But what

if you could buy something for $5 and turn it into $10. You

double your money. Would you call that a bigger margin than $1, on the previous

example? It's way bigger margin. But what you understand that one of the number

1 reasons that people fail in business, is they don't have a business product

that has an adequate margin. The bigger the margin, in other words, when you buy

low, sell high, the lower you can buy something and the higher you can sell it,

what you're actually creating is reduced risk. It's actually what Warren Buffett

calls a Margin of safety. You want to maximize that margin of safety. So, that's

the second principle. Okay, here's number 3. You need to minimize your costs.

Now, what do I mean by this? I mean that whatever you're buying are you getting

it at the best price? Are you selling it the right way?

Are you are you adding unnecessary costs to your business? Because remember, at the

end of this video I'm going to share with you how do you take $10 and

actually turn it into a $100. But you got to consider your

cost. Because if your costs are out of control,

you could have an amazing margin. But if your costs aren't and check, guess what?

It doesn't matter, it's too expensive. Now, I personally know this from firsthand

experience, having done a lot of business. That sometimes I have a great margin,

sometimes I'm making a lot of revenue but then there's no money at the end. And

you know why? It's because my costs are too high. So, you got to keep your costs

in check. The 4th principle I want to share with you is understanding the

difference between revenue versus profit. Okay? Revenue is all the money that comes

into the business. Profit is what you keep. And here's again one of the top

mistakes that business people make, they think that more revenue equals better.

They think a bigger company is better. I'm telling you that in business in many

and most cases, bigger isn't better. And more revenue isn't actually better.

What's better is more profit. It means that your costs are on jet. Now, let me just

give you an example so that you understand. This let's just say for a

moment... And now, I want to give you this very real example. Let's say that you

could purchase a book for $10. It's a ten-dollar book. And let's say

that it's my real estate book. So, you like me, you like my channel, you like my

book, you've read it, I let you download it for free on the e-book, you listen to

the audio book. You actually get a physical copy of the book for 10 bucks

and you're like, "Dude, I'm so passionate about this whole real estate thing. I bet

I could go to a buddy. Tell him about this channel turn him on to it. And I bet

I could sell the book for... Not 22 or $24 at a retails for.

But I bet I can sell the book for 20 bucks. I just want to ask you right now,

just check in. If you could buy my book for $10 and you could sell it for $20

then you're going to make how much of a margin? Your margin is going to be $10.

That's a 50% margin. I'm going to tell you right now,

50% margin is great. The average businesses actually have a

take-home keep of eight to %10. So, if you're 50%, that's pretty

awesome. Now, I want to show you a little example

here. Let's say that all you did was start with 10 bucks and we're trying to

get to $100, right? I buy a $10 book. You like me, you like

this channel, you read the book you like the book. You go talk to your parents, you

go talk to your brothers and sisters. Your friends, your neighbors, your

employees, your work people, your grandchildren, your whatever's. And you

say, "Hey, that ten-dollar book, it's really awesome here are reasons, XYZ. Buy for

20 bucks. I'm positive you could do it. Are you? You should be.

Now, if you do that, how much money you're going to have? You have twenty bucks.

What could you do with the $20? You could go buy two more books.

So, now we're buying two books for that $20 and now you would be

selling them for how much? Well, if it's you're adding $10 on each book,

selling each for twenty bucks, you'd sell this ten-dollar book for 20. And this

ten-dollar book for 20. Now, what do you have? You have $40. Now, by

the way, what could you do with that $40 dollars? You could actually go and

buy four books. And you could sell those books for 80. And then from there, you

could go buy 8 books. And then from there, you would sell them for 160.

Now, check it out. You've sold a total of 8, 9, 10, 11, 12, 13, 14, 15.

You sold 15 books. You start with 10 bucks,

now you have 160. If you don't buy any more books, you just took $10. You

didn't turn into a $10, you turn it into a $160.

Now, that's pretty simple right? Like don't you believe you could actually do

that. But now let's apply these principles. Did

we buy low and sell high? Yes. Did we have a good margin? Let's assume

that this 50% is a fantastic margin. But now I want to make this very real. Let's

say that you actually told your sister to sell the books for you. And you were

going to pay her $5 on every book. And all of a sudden, you had to buy the

book for 10. Now you're adding five dollars of cost.

It wouldn't be 15 books to get to 160. To get to the same

160, you might need to sell a lot more books. So, the question is did

you keep your costs in check? And if you didn't, then all

the sudden, you don't get to keep profit versus revenue.

You'll still show great revenue but you just kicked it all right back out the

door. Does that make sense? Friends, this stuff these basic

principles, I'm telling you right now that there's a lot of big businesses out

there. They do not adhere to these basic principles. In my life, I have often not

adhered to them. I'm sharing with you for a reason. Because I've learned how to do

this. Now by the way, if you want to know how to not just take $10 and

turn it into a $100. If you'd like to know how to take like $1000

and turn it into $50,000. Check this out. So, 2 things here that are

resources I think will help you out. 1, is if you actually want to get my

physical book, you can actually just get it for the cost of shipping it to you.

You can get it for free. Go sell for 20 bucks. You'll make more

than $10 on it.

And that's one thing I can do to actually help you take that

$10 and do that as many times as you want. But if you also head over the

website, you're going to learn about how to take $1000 and turn it into

a solid $50,000 return on a good stable real estate deal. You can

learn how you can work with me and my team and we can actually show up and

make that happen for you.