Financial Independence + Retire Early=FIREpreneur

FIREpreneur

Joe over at Retire by 40 wrote a wonderful post asking the question Do You Need to Be an Entrepreneur to Retire Early?  He writes:

Most early retirees probably aren’t entrepreneurial. They are quietly enjoy their retirement without drawing attention to themselves. You won’t hear about these normal early retirees unless you live next door to them and wonder why they always seem to be home.

While I have no doubt the voracity of his statement, I think there is a really important point here that we tend to glaze over.  Whether starting a new business or not, Financial independence enthusiasts tend to create fabulous companies and generate more revenue than many successful serial businesspeople.

FI + RE=FIREpreneur

Secret Sauce

It’s a simple theory.  The qualities that push us towards financial freedom are part and parcel of why we can become a great FIREpreneur.  The fire that rages inside us tends to create a method of thinking, and in grains in us skill sets that are not common among the populous.

The journey changes us.  The process engenders unique skill sets.  While building ladders to generate wealth and developing our own financial philosophies, we create the FIREpreneur mindset.

In other words, if you are going to play with FIRE, you better learn how to handle the heat.

So what are these skills and personality traits that make us the ideal businesspeople?

We Math Shit Up

If you re going to pursue the path to financial independence, you must have at least a rudimentary understanding of basic math.  Or even better yet, you probably understand it better than most.  There are so many ways in which the financial independence crew uses math to realize their dreams

• Budgets
• Retirement calculators
• The 4% Rule
• Tax implications
• The Gap Ratio
• Income Reports
• Real Estate (The 1%, 2% rule, The Cap Rate)

Hell, we do more math than your average high school algebra teacher.  OK, maybe not.  But you get the point.  In order to retire early, you have to understand complex financial and arithmetic principles.  You have to be able to deploy these principles to budget, save, invest and retire.

I don’t know, sounds kind of like what a CEO of a business does!

Or a FIREpreneur!

We Think Differently

Have you ever told a friend or family member that at the tender age of thirty, you were working towards early retirement?  Let me guess, they looked at you in disbelief, whistled, and then shook their head.

The simple fact is that most outside the FIRE community can’t wrap their heads around the idea of early retirement.  They create every excuse of why it will never work.  They don’t understand the math nor the underlying philosophy behind the decision.

Yet you do!

You see what others don’t, and create actionable steps towards achieving your goal.   You do not let the naysayers tell you what you can and can’t do.  With laser like focus, you set your eyes on the prize, and won’t stop until you have reached the finish line.

And if things are going poorly, you pivot.

Income not high enough, you find ways to save more.  Savings suboptimal, you create a side hustle.

The singular focus is what makes each and every one of us the candidate to be a successful FIREpreneur.

We Have Loads Of Free Time

The end of the road is near.  Freedom from the W2 asset class is assured and your walking papers have been tendered.  The path ahead is free of debris.  What are you going to do with your life?

The first few months may be filled with leisure, reading, travel, etc.  But at some point, passion will set in.  What are the projects that get you revved up?  What are the dreams that you never fulfilled?  Who are the people you are longing to help?

Whether you like it or not, the fodder of those dreams will become a business.  You might not believe me, but it will happen whether you plan it or not.

We are FIREpreneurs, we can’t help it.

In Conclusion

FIRE enthusiasts understand math, think differently, and have loads of free time.  We escape the workplace because we don’t want to be told what to do, and enjoy the freedom of navigating our own course.  We are thinkers, owners, and creators.

We are the perfect FIREpreneurs!