THE LEE ARNOLD SYSTEM OF REAL ESTATE INVESTING | WWW.LEEARNOLDSYSTEM.COM
NATIONWIDE FUNDING TOUR
COURSEWORK #2
Year Three: Quit Your Job and Become a W-2 Employee at the Entity You
Set Up
1. Now you have $150,000 in your separate account.
2. Make a capital contribution of $50,000 from your separate bank
account to your entity’s account. Draw your normal salary from your
entity.
3. Through your real estate investing, you’re going to double what you
earned in year one and two.
Example: You retire as a schoolteacher and invest all your time and
energy into your own business as an employee (banks like to see that
you’re an employee (not self-employed) and that your income is stable.
Through your full-time labors as a true entrepreneur in real estate, you
double what you’ve earned before, which is $300,000!
Year Four: Devote All Your Time Effort and Resources to your Business.
1. You now have $300,000.
2. Because you have done an incredible job, YOU GET A RAISE (DOUBLE
YOUR SALARY)!
3. This leaves you with $200,000 for expanding the amount of properties
you close on at auction, bringing on employees, and expanding your
office.
4. You double your income and earn $600,000!
Year Five: You Work in Your Business and by the End of the Year, You’re an
Accredited Investor!!!
1. You’re still paying yourself $100,000
2. This leaves you with $500,000 for expanding the amount of properties
you close on at auction, bring on employees, and expand your office.
3. By the end of the year, you double your income, which gives you $1.3
Million.
4. You’re at accredited investor status now which means you can invest
funds into the Secured Investment Fund II and earn on average 12-15%
(based on historical returns)
Example: You invest $500,000 into Fund II, and get a 15% return (historical
average), you could passively and consistently earn $75,000 annually
(owning no properties and doing no rehab work)!
