I wrote this for everyone in advice groups asking how to make £5000 in a day and similar questions. Please can people give me advice on how to make it better (grammar, new ideas that work every time, etc.):
In a day, with nothing to invest, it’s pretty much just going to be random luck, making £5000. I’m not saying its impossible, but the way things are, anything anyone says that works to make £5000 will stop working in minutes due to the amount of people trying it. It’s also the same case for pretty much any amount of money, when there is little effort needed, even for a lot less than £5k. If you’re really talking about, “Just like that in a day, with no investment!”, it’s not likely, other than by working for someone else. Pretty much any amount is guarded.
It’s like this at the moment because each organisation/country doesn’t want people outside that organisation/country to get an advantage, because they would lose out. We need to treat the average person as someone to give all we actually can to, rather than someone we don’t care about to take from. Globally. Somehow. It’s better to live like this if we can. Luckily, karma is already somewhat real for people truly live this! However, we can do better still, and refuse to let a careless minority capsize this planet ship! Read on for some ideas on how to reach this £5000 amount, in the long run.
The guys commenting “welfare” are the closest to a moral and legal answer that doesnt need investment. Sometimes you can get up front loans from charitable trusts, especially when you are on welfare. Or maybe you could spice up your house/flat and rent it out on AirBnB for a while, while you live in a tent or in your car to get started. AirBnB hosts make over $15k per year on average in america, maybe a bit less for one room, so if you are working as well, you may have £10-20k to your name to use as an investment in another business venture in a small number of years.
Once you have a little cash you might be able to start investing, saving it up and reinvesting along the way to make more, but its going to take a long time to get to such a luxury lifestyle. Most people want more than they have, and people will start trying to take it from you as soon as you have any semblance of riches. You can make about £8 per £200 per month investing in some sensible ETFs like CVLC, 5SPY, or TMFC. That means spending less than you earn until you have £125,000 in order to make £5000 a month with investing (15 years of saving every penny from AirBnB).
Its worth remembering though, once you have some cash you can make more with it using the legitimate business investment opportunities available to people who have that much, such as buying validated profitable businesses (such as on flippa.com) and reinvesting most of the profit to buying more businesses or making more investments. Diversity is a good idea in business, in case something happens in a certain industry.
Another popular option is people using a 10% deposit mortgage to buy a cheap house and doing up the house so that it would sell for a lot more. Theres more to this process though, some people then remortgage the house for the new price its worth, sometimes making upwards £10k more than they had in a matter of months while still technically owning the house. The process continues, rent out the house you just remortgaged to make a monthly income as well, and use the $10k return from remortgaging to put down a new (potentially bigger) deposit for a new 10% mortgage and repeat until the monthly rental income for all your houses adds up to £5k per month after agency fees. This process “builds wealth”.
Assuming you get houses at £80k and pay 10% deposit and fees adding up to £10k and then £10k more to do them up (£20k total); doing this once can make £500pm and each time you reinvest what you made, you make another £500 per month more. It mainly involves fixing serious maintance issues and getting a professional photographer and a good agent to maximise returns. These numbers are just guidelines but are indicative of the process and the real numbers for good houses, even after real estate agent and management fees to maintain the house, meaning the income can last practically forever.
This process involves an approximate initial investment of £20k and after doing up 10 houses (flipping them) you can make upwards of £2k per month, you have also covered living expenses of £5k per month while doing it. Some houses in Wales for example frequently go for around the £20k mark, and the cheapest plots of land can go for £5-6k per acre ($1200 as a 20% land mortgage deposit), where you can sometimes get planning permission to build houses on them, land this size can provide a cheaper entrypoint or an entrypoint without needing credit; in america you can build tiny houses sometimes without planning permission. Smaller properties are the same process but you will make less each time you flip a property.
All the while during these processes, the assets under your control increase, this is key. You can realistically flip this many houses and achieve your goals of £5000 per month with 3 people in a 5 years and enjoy the profits forever. Or perhaps on you can do it your own using contractors in 10 years. The processes of controlling more assets, such as houses or businesses, in order to make more profit overall is called “building wealth” and it is how the rich stay rich, the common alternative is to make a simple exchange work for money linearly without building the assets you control and make money from.
The KEY though, is making sure to spend less than you earn, you’re literally locked in to the system until you can do that (unless you’re living hand to mouth on less, foraging, or living on your skill working for someone). There’s no other option, think about spending less than you earn as worth more than the money if you want to be rich or make £5000 per month.
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