462: Finance Friday: Could a Franchise Fuel My FIRE in 10 Years (Or Less)?

Want to reach FIRE long before you’re sixty-five? If you make a decent income, invest diligently, and watch your spending, you STILL could fall into the “trap” most FIRE-chasers find themselves in. By making one BIG mistake, you could be accidentally forcing yourself to work for years or decades longer to finally retire, even if you’ve reached your FIRE number! What “trap” are we referring to, and how do you ensure you’ll hit FIRE on your schedule? Stick around to find out!

Today, we talk to Chris, who works in medical sales and makes an income anyone would be happy to have. He lives in a high-cost-of-living area with a million-dollar home, expensive property and state taxes, and high expenses. But he still saves a solid amount of income every month. What’s he doing with his extra cash? Investing in index funds, generously donating, and…saving to buy into a franchise?

This franchise investment could make Chris millions, but there are a few red flags that Mindy and Scott can’t ignore. With a substantial initial investment and a partnership that could be tested at any point, Chris wants to know the best place to deploy his ample capital. Does he go head-first into the franchise, stick with index funds, or build robust retirement accounts? And with a FIRE timeline of ten years or less, how does he ensure he'll have enough money to support his lifestyle?

In This Episode We Cover

The common FIRE “trap” that could force you to work for far longer at your job

Investing in retirement vs. after-tax brokerage accounts and which to focus on for FIRE

How to access retirement funds even earlier if you decide to retire early

Investing in a franchise and what you MUST know before you put your money into one

The perfect FIRE portfolio and how to allocate your investments to support your early retirement lifestyle

Building/buying your forever home and when to put it off to invest

And So Much More!

Links from the Show

BiggerPockets Money Facebook Group

BiggerPockets Forums

Finance Review Guest Onboarding

Join BiggerPockets for FREE

Scott's Instagram

Mindy on BiggerPockets

Grab Scott’s Book, “Set for Life”

Listen to All Your Favorite BiggerPockets Podcasts in One Place

Apply to Be a Guest on The Money Show

Podcast Talent Search!

Money Moment

Accessing Retirement Funds Before Age 59½ with The Mad Fientist

Franchises 101: How to Find, Fund, and Profit from Owning a Franchise

How to Access Retirement Funds Early

Click here to check the full show notes: https://www.biggerpockets.com/blog/money-462

 

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