Overcoming Setbacks

[Chris L.]

I wanted to share a few thoughts on overcoming setbacks. I do not know any successful investors who have not had their share of challenges enroute to financial independence. (Over the course of my investing career, I have taken losses of around 1 Million dollars.) I wanted to share this topic because I am in the middle of what was supposed to be a turnkey flip that has not gone as projected. It has been a while since I have had a project not work out and I have been contemplating the steps that I take to overcome a setback and thought that I would share them with you.

• 1.Take responsibility. No matter how or why the deal went south, you are ultimately the one that made the decision to pull the trigger and get involved in the project.
• 2.Forgive yourself and move on. Once you have taken responsibility, quit beating yourself up. There is no value in self-flagellation. Remember this: Sometimes we succeed and sometimes we learn.
• 3.Learn this phrase: “It’s all solvable.” No matter your situation, there is knowledge or resources somewhere that can help extricate you from the mess that you may be in. Once I learned this principle, I was able to remain calm as I worked through to a solution.
• 4.Keep a Lessons learned log. Keeping a written log of lessons that you have learned will help you from repeating painful lessons.
• 5.Hit the books. I find that a failure spurs me into further research to avoid making similar mistakes and often is the catalyst to finding an idea or investment that I never would have considered without that setback.
• 6.Seek out more experienced investors that can help guide you. I have had very little opportunity to learn from others more successful so I relish those times when I have that opportunity. I unfortunately have had to learn mostly from my own mistakes. A wise financial mentor can help you eliminate years or even decades on your journey to financial independence.
• 7.Keep taking action. Once you have researched your various courses of action, make an action check list and get to work. You cannot solve your problem with a Netflix marathon or endless entertainment distractions. Only sustained directed action will propel you on your journey to financial independence.

I believe that it is your response to failure and not the failure itself that will determine your ultimate success.

Good luck on your journey to financial independence.