All net worth statistics published on Inside Billionaire are from wealthygenius.com. Net worth information may not be accurate.
If you’re searching about stock investing because you would like to become a billionaire, I gotta tell you…
Becoming a billionaire is maybe not as simple as you think.
Yet in many cases with the billionaires that we have studied, it’s not all that hard either.
What it takes is an understanding of the steps to take
For example if you would like to start stock investing to make billions of dollars, you had better start with at least $1 million dollars.
While it is true and we even recommend to start investing money in the stock market when you have $100,000 free and clear…
The reality is to make the big stock investments with good margin of safety and allowing room for error…
$1 million dollars is a good starting point.
So that is really what we are talking about.
Stock market investing is clearly one of the best ways for millionaires to become billionaires.
Yet the best way to become a millionaire starting from nothing, or very little, is certainly by starting your own business.
In fact starting your own business could take you all the way to the billionaire level like it did for Bill Gates, Mark Zuckerberg, Jeff Bezos and so many more.
These guys do invest in stocks now of course, yet they started by being entrepreneurs and starting businesses in technology.
In fact two of the three billionaires I just mentioned started an internet website.
Mark Zuckerberg of course founded Facebook. And Jeff Bezos started Amazon.
Internet businesses are without a doubt the best way to start making money nowadays.
One of the best strategies we know if you are starting with little money and would like to become very rich, is this:
STEP 1: ZERO to $100,000
To start with you have almost no money so you need to start somewhere. The best way we know to make money is to start a blog about something your are passionate about.
Blogging won’t make you a billionaire but you will fast become your own boss and an independent earner.
This is also one of the best ways to start making $10,000 per month.
And for many people this will make a BIG difference in their life.
I mean think about it, if you were suddenly making ten grand a month from a blog, or two blogs more likely, then provided you save and aren’t stupid with the money…
Soon you will have saved $100,000.
This is a big deal and I’ll tell you why…
STEP 3: $100,000 to $1 Million
The next step requires that you have saved $100,000 and it is free and clear.
What I mean by that is that you are not living off that $100k and you can afford to begin to invest the money.
Like I said earlier investing in stocks is one of the greatest ways in the world to become a millionaire and even billionaire.
However starting with much less than $100,000 makes it difficult to actually live off the returns.
That’s why we start with blogging and internet businesses because these provide a much higher return of your investment.
For example, you can start a blog and be completely set up for less than $100 bucks.
You can then work on it and that doesn’t cost you any money, only time. Soon enough though your blog posts will be bringing in traffic and making sales for products and it will make money by itself.
So that’s why we start with online businesses before we look at the stock market and the money we can make there.
With $100,000 we can invest it into the market in a safe ETF (exchange traded fund) which allows us to invest in many companies at the same time.
These types of funds offered by Vanguard and Fidelity and where people like Jerome Powell, Chair of the Federal Reserve, invests his money.
On average with an ETF investment like this you could earn between 8-14% returns.
Some years may even have negative returns, yet the trick is with these types of investments is to invest for the long-term.
Over the long run these funds all make money.
Hence why the head of the Fed has half his money in that investment.
He knows he’s not going to lose the money.
In fact he’s making A LOT of money with this investment.
That said if you only have $10,000 to invest. Then you will only make returns of between $800 to $1400.
You can’t live on that.
Which is why starting with an internet based business is what is best when you are starting out.
Yet as you can see if you put $1 million in an ETF investment like this, you would be pulling out between $80,000 – $140,000 per year.
Now I bet you could live on that.
And that’s exactly why this is a good way of moving from $100,000 to $1 million dollars net worth
STEP 3: $1 Million to $10 Million+
Okay so you now have made your first $1 million dollars by starting out with an internet business and then investing that money in safe EFT stock investments.
Now we need to really start turning this money into much more money.
With $1 million dollars we can do a lot of things that we did not have access to before.
We can start investing in private companies like start-ups where the return on investment can be far greater than in the stock market.
For example, if you had invested in Facebook early on you could have become a billionaire with a $1 million dollar investment.
So this is what this section is all about.