If I was to win $10,000,000 – I will need to make sure I have a source of income. With that in mind, I will want to generate income while making some good in my little part of the world. Since I will have $10,000,000 – I will do a number of things. First, I will create a realty company by buying buildings, and converting them into either Section-8 houses, or Section-8 apartments. This should give me some control over the income I will generate. Since I am not versed well enough into real estate, I won’t know how much each unit will generate, but I will be confident that it will generate a good profit which will allow me to expand on my realty company.
I will also have a convenience store, and a pizza shoppe. Both of these businesses might not make any profit for a few years. With that said, I won’t expect any profits anytime soon. I will just hope to break even with the resources I will have.
And last, I will place $2,500,000 in investment. While there is some risk to this, the investment will assume a 9% ROI annually. This will generate an income of $18,750 per month. This will be what I will live off of, and cater to any business losses. I would assume that I will be able to make ends meet, and still have enough to cover for everything I will want to. Obviously, this is gross, and therefore will have capital gains tax involved. Once my businesses starts making a profit, my income will increase as I need it to. Even though I will be wealthy, I will still live modestly. This will mean I will not change my design unless professionalism will require it. For example, for my realty business, I will wear a suit, but this is more for bringing a professional look than anything else. If I didn’t think it will make a difference, I will go with cargo pants, and a short sleeve shirt.