Posted on 2 Comments

Choosing Your First Residual Income App Aquisition

Residual Income With Apps Is A Hot Topic Now

It’s been a year since I made this thread!

Since i have made this thread last year about app investing I have been drowned in requests to get in on the action. I decided to take two routes. The first being my business partner Ricky Mason and I are creating a blockchain powered investment app called 401KApps which will allow anyone to invest into apps and allow app developers to raise money all in a decentralized manner. Secondly I started a community called The Code Life Group which comprises of a daily app pick of the day email, access to my Discord group and a special app investment channel and weekly calls talking about investment strategies.

I am giving some free game on choosing residual income apps for your digital portfolio. Keep in mind I am not a financial or investment advisor and these strategies are personal things I look for when I am choosing apps or websites to buy.

Maintenance Time

The first thing I look for when choosing an acquisition is how much time I will have to spend on said app/website once I purchase. The whole point of living a #CodeLife is that I don’t want to work, I want my apps to work for me. It defeats the purpose if I buy a job.

If the app/website generates enough revenue where I can feasibly outsource the maintenance work, then I will still consider the purchase. I just have to ensure the left over profit is enough to justify the spend.

Scalability

The next thing I look at is how scalable the app or website I’m looking to purchase is. Can I grow my potential earnings and if so by how much? This is a big factor because I try to find the apps that haven’t been given much attention but could easily scale up.

Advertising

Lastly when I’m choosing a residual income acquisition I look how much I need to spend in advertising to generate the revenue I desire. This applies heavily to drop shipping websites where marketing is the bulk of the work. I tend to stay away from these types of purchases because I prefer a more hands off approach to my app investing.

Conclusion

These aren’t all the strategies I use when adding to my app portfolio. If you want full access to my tips and strategies I suggest you join my Code Life group. Please leave a comment, like and share.

Posted on Leave a comment

Living Off App Income, How Much Do I Need?

How Much App Income Do I Need To Live Off Of?

This is probably the number one question I get from people looking to invest in apps. First off let me iterate that I am not a financial advisor and this is not financial advice. This is simply the techniques I employ in my own life to achieve financial independence from app income.

Everyone’s ideal situation is different. For some people a $40,000 a year lifestyle is sufficient while for others a $1,000,000 a year lifestyle is what is mandatory. With this is mind there is a bunch of different factors to consider that I am not personally equipped to granularly help you decide.

What I can do however is tell you the strategy that I am implementing in my own life while I build my app empire. A lot of it is inspired by the FIRE investing method. It is broken into a few basic steps:

  1. Take care of your bills
  2. Monthly revenue equal to 3 months worth of your existence
  3. Run successfully for 12 months

Don’t worry I’m going to break it down.

1) Take Care Of Your Bills

First and foremost don’t even start thinking about retiring off of app income if your app revenue isn’t paying your bills. For me the minimum bills I need paid are:

  • Mortgage
  • Phone
  • Utilities (electric/water/trash)
  • Student Loans
  • Groceries
  • Gas/Ride Sharing

If I don’t have all of these things paid for from my app portfolio then I can’t really retire in any sense of the word. This is because these are my necessities and if my necessities are not met then I have to actively go get them, thus trading my time for money, thus working. When I can eat and sleep without worry then it’s on to the next step which is building up the app income.

2) Monthly Revenue Equal To 3 Months Worth Of Your Existence

What I mean by this is besides my bills I also have miscellaneous expenses such as entertainment, contributions to my investment portfolio, eating out, etc. I want to have fun just like everyone else, so in order to retire I have to quantify that and come up with a total monthly figure. Now in order for me to feel comfortable retiring entirely off of my app income, my portfolio needs to make 3x what that total monthly figure is per month. Once again this is what my ideal retirement is, it make not be the same for you. However I know if it dries up, I still can maintain my current lifestyle for 3 months at the minimum. Part of the idea of retirement is the peace of mind and security of knowing your money will not run out and you can live the lifestyle you want to live.

This is where the type of lifestyle I want to live comes into play. I don’t really want much in life $10,000 USD per month. Why? $40,000 a year is equal to $3,333.33 per month. Multiply that by 3 and that comes to 9,999.99 per month (add a penny for kicks and giggles). I need $10K per month and then I won’t have any worries about paying for the things that I want to pay for.

3) Run Successfully For 12 Months

So there was a point in time where I was living completely from app income and it was great however it eventually slowed down and put me in a bind for a period of time because it wasn’t following rule #2. App income can be very variable and as a result you need to build a track record of running your app portfolio successfully before you give everyone at your job the middle finger and quit your job. Enjoy the extra income while you still work for a year….and then quit.

In all seriousness if my portfolio steadily generates app income for a year at these numbers I will have 3 years worth of your lifestyle at the end of those 12 months. With that in mind I know I can actually sit back and maintain my apps.

App Income Is Addictive

It is an amazing cash vehicle that can give you financial freedom. That being said it’s not as easy as just putting out an app and collecting a check. If you are interested in adding apps into your investment portfolio and need some advice on where to get started, schedule a 1 on 1 consultation with me today!

Posted on Leave a comment

401KApps & The Future Of Investing

401KApps Is Almost Ready

Those of you who follow my Twitter might remember my thread about 401KApps

Ricky Mason and I put on a 3 month case study with 6 participants to buy some apps and gather the data. Needless to say the model worked so we went straight to creating the prototype.

I Don’t Follow You On Twitter WTH Is 401KApps

My apologies everyone! Let me back up. 401KApps is a new partnership I am working on with Ricky that is a private investment group that buys, holds and sells apps. The apps are bought from the owners (we only buy apps that have a current positive cash flow) and we enhance the applications, increase the marketing and promotion and share the profits. Unlike stocks, bonds, rental property where you get paid once a month, apps make money from day one. Using the app, you can invest in investment pools that are categorized. Each pool will hold 10-15 apps. After the vesting period you can choose to receive your payouts on a daily, weekly, month or yearly basis!

How Is Investing In Apps Smart?

Like I said apps make money daily. In addition to traditional investments such as stocks, bonds, real estate and precious metals I believe it is good to have an investment vehicle that gives you consistent stable cash flow. At one point in my personal life I was living completely off of my app income, which freed my other income to be used how I wish. The apps that we are buying are already complete and have a positive cash flow, by applying the power of group economics the collective can generate a sizable amount of free flowing cash to help enrich their lives.

What Is The Minimum Amount To Invest?

The minimum to invest in an app pool will be $20 with a maximum investment of $10,000. Each investment pool will raise between $30,000 and $250,000. This will allow investors to diversify their exposure to the markets and give newer investors with less capital the opportunity to get into the space.

When Will The App Be Released?

You can currently sign up for the waiting list at https://401k-apps.com but the beta MVP will be available before the end of the year so look for a Xmas gift 😉

Want To Learn How To Code In The Meantime?

Another way to invest into apps is to write one yourself! If you are wanting to learn how to code check out my video course “Intro To Web Development” In it you will learn the basics of web development and get started learning the skills needed to create rock star web applications! Perhaps you are already a coder and want to get started in test driven design? If so check out my course Test Driven Design W/ Laravel and Vue.js. Into web dev but want to switch over to mobile development? Check out Nativescript with my course Nativescript, Vue & Laravel SAAS Master Class