How To Use Other People's Money To Grow Your Business

Sarah Nicole Nadler

Did you know 95% of Americans make less than $250k per year?


There are some interesting differences in the mindset of the top 5% and those who make less than that. For example, the people who are making $250k or more per year, majority of them are business owners. These people have perks like:

● They own a home

● They have a diversified portfolio of investment

● No consumer debt

● They pay fewer taxes

● Have a financial adviser who guides them in their money management

But you want to know the BIGGEST difference between the top 5% of Americans and the rest of humanity?

While normal Americans trade their time for money, these few members of the wealthy class are trading value for $ and leverage other people’s money to grow wealth.

I have clients who are coming to me in the last couple of weeks to grow their business, with this earlier, old and outdated mindset. And it doesn't work! It’s an employee attitude of trading time for dollars.


So, let’s talk about this, and why it might not be in your personal interest!


Yes, it’s true that to be successful, you have to deliver extraordinary service and an extraordinary result for your clients. But it’s not true that YOU have to be the one to do that.

If you want to be a business owner and not a solopreneur for the rest of your life then you have to learn the major differences between the mindset of the solopreneur and the mindset of a business owner.

What is a solopreneur?


A solopreneur is figuring out how to give himself a job. Although they are self-employed, they have the same attitude as an employee - always trying to find a job. Finding a job to do makes you an employee...not a business owner.

Who is a Business Owner?

A business owner owns a SYSTEM.

A business system is a procedure or process of how money and clients flow into and through the business. When you create a workable system for doing something, like let's say how to build websites and that's your own style and method of building them - that's a system.

You can document how you do it, and then copyright or trademark that method. Now you have a business - an asset that can be bought and sold; transferred or held, and done by you or (better) by somebody employed by you.

You own something that you can franchise, something that is transferable. If you end up selling your business there is a proper process, a documented system, by which things happen in your business.


One of the BENEFITS of systematizing your business is that now you can extract yourself out of it and make the same level of income or even greater because things are organized and planned out and the business doesn't require your time any longer.


Now you can focus on building more passive income, or focus on your family, kids, and traveling the world, and experiencing things in life. Because you own a system, own a business, you don’t need to work in your business.

But best of all, this is all possible using other people’s money.

It's all in your mindset.

If you try to apply the same mindset as an employee person to a business owner then a business woman can never expand her business.

A typical person when she wants to buy something - her first thought is to pay for herself.

As a business owner, she wants to expand her business by buying a new building, with buying new equipment like laptops, her first thought is how to dip into her own pockets.

And this is the WRONG MINDSET that holds so many business owners back.

If you are a business owner and want to grow your business, then you have to work with a different mindset.

So in this episode, I want to share with you my top tips for how to use other people's money to grow your business so that you can enjoy being a business OWNer and spend time doing more interesting things... not stay a hustler all your life.

How To Use Other People's Money To Grow Your Business - Episode 82

FREE Hiring Survival Guide

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So in this episode, I want to share with you my top tips for how to use other people's money to grow your business so that you can enjoy being a businessman and spend time doing more interesting things rather than staying a hustler all your life.

This week, since we are talking about creating a business you OWN not one you work for, I put together a Hiring Survival Guide so you know step-by-step how to implement this strategy.

After going through this freebie you will be able to save hours of time interviewing candidates, and know precisely what questions to ask in the job interview.

You can download it right away by clicking on the button above 👆

What is the OPM Technique And How Can You Benefit From It?

If you can find something valuable to somebody else and exchange that value with them for the money you need to grow your business...this is leveraging Other People’s Money (OPM).

Let's explore some of the ways to grow your business by using other people’s money.

1. Take A Loan From A Bank

You can take a loan from the bank to grow your existing business. You have to give them assurance that by investing this money, you are able to make more money so you can return that loan at a specific interest rate.

Let's take an example. My friend, who is a yoga trainer, gives training sessions from her home on a weekly basis. Now she wants to purchase a yoga studio of her own where she can give training sessions on a daily basis. This yoga studio acts itself as collateral for the loan.

2. Private Loans

 You can ask for a loan from a friend or a family member, with a written contract stating how the loan will be paid back. It acts as a mutual benefit because you get the money you need to build your business, and they get the interest on that loan.

So long as you can spend that money in a way that will make you MORE money than the amount you're having to spend on interest - borrowing money is a very good idea!

It's the difference between "bad" debt and good debt - good debt is making you more money than it is "wasting" in interest.

Bad debt isn't making you anything.

3. Angel Investors

An angel investor is an individual who provides capital for a business startup, usually in exchange for interest on the debt or ownership equity.

Angel investors are great because normally at the beginning it can be difficult to secure traditional lending. Once your business grows, there are more likely chances that many people will want to invest in your company.

4. Rental Real Estate

Borrowing money to invest in rental real estate, which is another wealth-building technique, allows you to leverage other people's money by making more in the rental fees than the mortgage is costing you.


You can pay off the rest of the loan with money from tenants who rent your properties. You get to retain the profits as well.

Furthermore, any interest paid on the rental property loan, as well as other costs such as depreciation, maintenance, and advertising your rental, are all tax-deductible. Your rental property can provide you with many income sources without a large time investment.

In Summary

Alright! Hope you will find this episode helpful.


In other words, no matter what method you use to grow your business, whether it's through a bank loan, a loan from a close friend or a relative, or an investor putting their money into your business, these methods will allow you to spend someone ELSE's money!

It's true that it all comes down to the mindset.

When you find an opportunity either you dip into your own pockets first or you look for an opportunity to exchange and trade the value for money that belongs to others.

And it is a wonderful way to grow your business.

So, take a look at your business and investments you wish you could make, and ask yourself, "Am I being held back by an employee mindset? Or am I ready to start investing with other people's money?"

About the Author

Sarah Nicole Nadler is a business + balance coach for 6 & 7-figure business owners who want to build a dream team & profitable biz so they can spend more time on the things that matter. A digital nomad, she currently calls Tampa Bay, Florida home.