Step SIX: Pay Yourself First – Dan Pena’s QLA Model [Summary]

Dan Pena’s QLA Model gives out 7 steps to super success that you can take to create quantum wealth for yourself. I have summarized all the seven steps with great precision. This is the SIXTH STEP of a series of steps I have shared on CREATEQUANTUMWEALTH.COM [my website]. Subscribe to the newsletter of my website for all the notes of all the 7 steps to super success, and for more wealth creation tips.

STEP SIX: Pay yourself

BUSINESS-BANKING RELATIONSHIP

IF YOU DON’T HAVE A LINE OF CREDIT WITH YOUR BANK, YOU HAVE A DEPOSIT RELATIONSHIP. YOU NEED A BANKING RELATIONSHIP TO GROW. AND YOU NEED A BANK THAT CAN TAKE YOU TO THE NEXT LEVEL.

• PAY INTEREST WHEN YOU DON’T HAVE TO
• DON’T COMPLAIN ABOUT THE FEES 
• TELL YOUR BANKER THAT YOU ARE CHANGING BANKS BECAUSE THEY CANNOT TAKE YOU TO THE NEXT LEVEL
• LEAVE SOME MONEY IN THE BANK YOU LEAVE
• GO TO HIM WITH A WELL THOUGHT OUT BUSINESS PLAN
• TELL YOUR BANKER THAT YOU NEED A LINE OF CREDIT
• ALWAYS ASK FOR 3 TO 5 TIMES LINE OF CREDIT

BANKS DON’T WANNA KNOW THAT YOU WANNA GROW YOUR BUSINESS 11% A YEAR. BANKS WANT TO BELIEVE THAT YOU’RE GONNA GROW AT 50% A YEAR. 

ROLE OF THE CEO

AS THE FOUNDER OR THE CEO OR THE BOSS, YOU SHOULD THINK NOTHING BUT GENERATING REVENUE AND EXPOSING YOURSELF TO NEW DEALS AND NEW TRANSACTIONS. NOTHING ELSE. JUST TRAVEL. DON’T GO TO THE OFFICE.

PENAISM: ALL MANAGERIAL PERFORMANCE SINS SHALL ALWAYS BE FORGIVEN DURING PERIODS OF RAPIDLY INCREASING REVENUE STREAMS.

EXTERNAL GROWTH

GROW YOUR COMPANY AS FAST AS HUMANLY POSSIBLE. YOU DON’T HAVE TO GO TO WORK EVERYDAY TO DO THAT. YOU DO IT THROUGH DEBT AND ACQUISITIONS. BORROW MONEY FROM EVERYWHERE YOU CAN. 

• DO SOME RESEARCH
• MAKE 3 APPOINTMENTS A DAY
• DO BUSINESS PLANS
• GIVE PRESENTATIONS

ACQUIRE COMPANIES THAT CAN WORK TOGETHER IN SYNERGY TO GENERATE MORE REVENUE, MOSTLY IN RELATED NICHE MARKETS.

SELF ESTEEM IS THE BASIS FOR EXCELLENCE IN BUSINESS.

IF YOU’RE EXPERIENCING NO ANXIETY OR DISCOMFORT, THE RISK YOU’RE TAKING IS PROBABLY NOT WORTHY OF YOU. THE ONLY RISK THAT AREN’T A LITTLE SCARY ARE THE ONES YOU HAVE OUTGROWN. A COMFORT LEVEL PROVIDES A SOLID EVIDENCE THAT YOU’RE PLAYING IT SAFE, NOT GROWING, NOT REALLY TESTING YOUR LIMITS AT ALL, AND NOT IN A PROCESS OF QUANTUM LEAP.

THE REWARD FOR WORK WELL DONE IS MERELY THE OPPORTUNITY TO DO MORE. THAT’S ALL THE THANKS THAT YOU GET.

INVESTIGATE TILL YOUR DEAL LIVES OR DIES. AS WINSTON CHURCHILL SAID: NEVER NEVER NEVER EVER QUIT. NEVER QUIT INVESTIGATION.

CHECK:

• COMPANY NAME
• LICENSE
• SCHOOLS THEY WENT TO
• PROPERTY RECORDS
• GUARANTOR RECORDS

IN EXTERNAL GROWTH, THERE WILL BE ACT OF ACQUISITIONS. IN ACQUISITIONS, YOU’LL HAVE TO LEARN TO NEGOTIATE. AS AN EFFECTIVE NEGOTIATOR, YOU MUST BE ABLE TO PLACE THE DEAL IN THE COMFORT ZONE OF THE OTHER PARTY AND AT BEST INTEREST TO YOURSELF.

WITH BANKS, IT SHOULD BE JUST TO GET THE MONEY.

PAY YOURSELF FIRST

AS YOU GROW, CONTINUE TO PAY YOURSELF OUT OF PROFITS. BECAUSE IF YOU DON’T GET TO THE UPCYCLE TO SELL:

1. AL LEAST YOU’LL HAVE A LOT OF MONEY OUT OF THE BUSINESS IN THE MEANTIME
2. WHEN IT’S TIME TO SELL, YOU DON’T HAVE TO SQUEEZE EVERY DAMN DOLLAR OUT OF BUSINESS BECAUSE YOU’RE ALREADY RICH
3. MAKES IT EASIER FOR YOU TO HUNTING WITH THE BIG DOGS

DAN PULLED OUT 26 DOLLARS BETWEEN 1985 TO 1991 TO PAY HIMSELF THROUGH HIRING BIG COMPENSATION COMPANY THAT MADE ARRANGEMENTS FOR:

• BONUSES
• SALARY INCREASES

“SOME FOR THE GLORIES OF THIS WORLD; AND SOME SIGH FOR THE PROPHET’S PARADISE TO COME; AH, TAKE THE CASH, AND LET THE CREDIT GO, NOR HEED THE RUMBLE OF A DISTANT DRUM!” ― OMAR KHAYYAM

YOU CAN THINK POSITIVE ALL DAY LONG, ALL YEAR LONG, BUT POSITIVE ACTION IS WHAT COUNTS. TRYING HARDER AND HARDER START PRODUCING LESS AND LESS. IT’S NOT SAYING: “I’LL DO MY BEST”. IT’S SAYING: “I’LL DO WHAT IS NECESSARY”. [WINSTON CHURCHILL]

“YOUR DOUBTS ARE NOT PART OF ACCURATE THINKING, BUT HABITUAL THINKING. THAT CRAPPY PRECONDITIONING THAT YOUR PARENTS GAVE YOU AND YOUR SCHOOL TEACHERS GAVE YOU AND ALL YOUR DOOFUS FRIENDS GAVE YOU. IT’S HABITUAL THINKING. ABSENCE OF EVIDENCE IS NOT EVIDENCE OF ABSENCE. GET OUT THERE AND GET RUTHLESS NOW. BE LIKE IT’S THE LAST TWO MINUTES OF THE LAST SUPERBALL.” — DAN PENA