Friday, July 27, 2007

Bought new cabs

Been busy the past few days. I have expanded my debts as well as my assets. Magkakatalo sa management.....and financial liquidity aspects, hehehe. But if I survive until the next cropping season (November 2007), then I will be in...great in the next several years; or until I decided to have a major acquisition again, hehehe.

I bought cabs, as in cabs (plural...s, hehe) and lands the past few days. Tempted to acquire more lands because of available cheap oppurtunities. I have to convince my self to stop expanding and acquiring more assets.Hay....

All these acquisitions are self financing. The assets are going to pay for themselves; and after a year or two .... would present themselves to me free from liens, hehehe.

For example, a cab, franchise (25K), downpayment (25K), total cost is 200K. Earnings will be 500/day or 15K a month or 180K a year. This income would be used to pay for the cabs - will be fully paid after 14 months. These acquisitions are self liquidating as well, because the initial exposure for each cab of 50K was obtained through a cheap loan. Ahihi. Failure, would not hurt me as much.

If properly managed, a cab would last 8 years. After 8 years, I would be happy to sell them as scrap, ahihi. But before the sell, I would have profitted 6 years and 10 months of cab operation at 500 pesos/day per cab!

Let us see where this gamble would led us. Hay......hoping to hit another jackpot.