One of the downfalls of many creators who want to turn their craft into a business is investing in the wrong things.
Assets are investments that generate more money for you, while a liability costs you money.
Your office is not an asset – you have to pay for it every month.
Your computer, your equipment, anything you own outright that you use to make money is an asset.
But let’s take it a step further.
Investing in a bunch of equipment on it’s own won’t help you grow your business. Cameras, computers, hard drives, and the like, if they just sit there, won’t generate any money for you on their own.
But, if you use that equipment to create assets that compound, that’s the goal of a successful creative business.
Use your camera to take photos that you then sell online. That single creative effort can pay you forever.
Use your computer and recording equipment to record a song that you can sell and license.
Write a book that you can self-publish and sell online.
There has never been a better time to be a creator, because you could, today, with just your phone, start a creative business and start creating selling digital projects to anyone in the world.
Start thinking about where you spend your time and money. Invest in and create assets that compound over time, and your business will start to grow.