If you take your mega-million dollar idea and go into business, lets assume you have enough reserve to tide you over during the start up phase of a couple years and you make the initial investment to have everything you need to operate the business. The first sale is exciting and they cut you a check for $50 your very first month. Let’s assume your monthly operating costs are fixed at $1000. You anticipate 10% growth in sales every month for the 20 year patent and you have a gross profit of 30% on each sale.
How large of nest egg do you need to have and for how many years before you deplete the nest egg? How many years to rebuild the nest egg? Can you grow 10% a month if you only have a 30% margin if your monthly expenses increased when and by how much?
I survived death valley, I should survive this… maybe
The reason I ask is that I’m living it and am always broke, just wonderin…