Written by A.J. Brown

Here Is Where I Get Money for My Covered Call Writing Practice…

Tom KishYou took an important first step becoming a member of the Trading Trainer community of like minded investors. So, I thought I should take a moment and share this little tidbit.  For some of you, the next most important thing you need in order to make profits, after learning how to reap the high returns from trading stock options, is the money for investing.

I’m constantly teaching people about the sweet spot when investing in stock options.  This is where your stock options portfolio appreciates the quickest.  I have found it to be between $20,000 and $400,000.  And, yet, so many of us start out with $5,000 or less, many of us $2,000 or less, and struggle for months if not years, trading their portfolio up to the sweet spot.

A lot of times we focus on the cost of money and not the spread.  Do we not get the concept of being the bank?  Banks focus on the spread.  They take your money that they borrow at whatever rate a savings or checking account pays (0% to 4% per year) and then they invest it in high yield investments like tax liens and tax deeds earning at least 8% per year, more accurately over 15% per year.  They get rich off the difference!  It’s called focusing on the spread.

Once you get the concept of focusing on the spread instead of the cost of things, being the bank, and generating money for yourself from, not thin air, but the knowledge of investing in that three pound gray organ you have between your ears, you can quickly chart yourself a course toward financial freedom.  I know, that’s what I did.  I stopped tripping over hundred dollar bills to pick up pennies.

Here’s a perfect example. With my knowledge of covered call writing, I borrowed $50,000 in unsecured business lines of credit at an annual rate, locked in for life at 1.9%.  Since I got this line of credit less than a year ago, I have diligently written covered calls on it, month in and month out earning anywhere from 4% to 17% per month.

Again, once you have the knowledge to invest, then all you need is the money to do it.

I want to introduce you to the national credit expert that taught me where to get huge unsecured business lines of credit for any purpose.

His name is Thomas Kish and he created the Ultimate Real Estate Investor’s Guide. Don’t get distracted by the name.  Yes, he has focused on real estate investors as his clientele for this course, but the information he taught me works for any business and/or investment.  In fact, he even used unsecured business lines of credit to buy himself a race horse.  (If you ever meet up with Tom, have him tell you that story.)

His guide shows people where to get $200,000 to $300,000 in cash and UNSECURED new business lines of credit by following a 4-step system.

In my mind, an unsecured business line of credit is the easiest shortcut to getting money that you will ever find.

The best thing about this source of money is that they don’t charge any back-end points, balloon payments or annual fees. Some of these lines of credit are at 0% interest for 9 months and 3.99% for life!

Please read this article written by Tom to learn more about this shortcut to money.

By Thomas Kish, President of CashFlowExperts.Biz

I can teach you how to stop getting money using your own personal name and social security number and start getting money in the name of a business using a simple registered business entity like a LLC or S-corp.

You can register a new business name on-line with your secretary of state and request a Federal Employer ID Number called a EIN.

The reason you will be able to get money that does not report on your personal credit report or harm your credit score is because you will be applying for credit using the name and Employer ID Number of your business entity.

Many people wonder how a brand new business or one with no income or revenue of any kind can qualify to receive unsecured business lines of credit.

The answer to this question is that certain lenders have always offered start up businesses the chance to apply for lines of credit using what the banking industry calls "Stated Income Applications".

It’s true that if you try to get a million dollar business line of credit from your local bank, you would probably need to complete a rigorous credit application and provide copies of business tax returns and profit and loss statements.

But many national lenders offer business lines of credit that range from $20,000 to $100,000 for new businesses with no income history.

The secret to successfully getting large amounts of business credit is to use stated income applications to qualify for money from many different lenders.

You will find that it is much easier to use my system to get many $50,000 business lines of credit, even with no business income or job history, than it is to qualify for a single million dollar line of credit at your local bank.

And my system will show you exactly how to properly complete the stated income application process at each of the national lenders on my lenders list.

An unsecured business line of credit is the easiest short cut to getting money that you will ever find.

Business lines of credit come in the form of multi-year loans, convenient checks and business credit cards that offer cash advances that can be used anywhere.

The money available from a business line of credit can be accessed as cash wired directly into your account, with check writing privileges or like any other credit card with a interest free grace period.

Get the complete guide with workbook, lenders list, CD set and everything you need to get the money @ www.cashflowexperts.biz
This guide to getting business credit offers you a way to get money for real estate or any other investment.

Here is a sample of some of the lenders I will introduce you to that offer huge unsecured lines of credit to people that are using my Ultimate Real Estate Investor’s Guide.

Bank 1 - Contact Website and Phone available in my program.
Now offering new businesses a $50,000 unsecured line of credit that can easily be accessed by mailing in a paper business credit application.

Bank 2 - Contact Website and Phone available in my program.
The best of all the lenders I recommend. They have the fastest response time, and generous limits ($40,000 each). And they offer a ZERO percent interest for the first nine months you use the line of credit.

Bank 3 - Contact Website and Phone available in my program.
Low 0% Introductory APR on this NO annual fee business card.
I recently got a 3.99% interest rate for the life of loan from this bank. A great resource!

Bank 4 - Contact Website and Phone available in my program.
You can walk into any branch location and get an application from the counter for a business credit card with up to a $30,000 limit.

When you open a free small business account at a branch office, you can wait a month and then apply for a $50,000 reserve line of credit on your business checking account. Be sure to fill out the application for the reserve lines of credit with the same template information as all other stated application I provide.

Bank 5 - Contact Website and Phone available in my program.
A business line of credit card that offers mileage rewards for every dollar spent and convenient redemption with immediate use of miles earned.

You can use your rewards for One-class upgrades on multiple airline carriers. Award miles may be redeemed on Delta, Continental Airlines and Northwest Airlines.

You can transfer awards to people other than cardholder member or donate miles earned.

You can also use your miles for subscriptions to all your favorite magazines, incredible experiences, exclusive merchandise, and VIP access to events you can’t get anywhere else.

These are just some of the 15 national lenders you’ll find in my business credit guide.

Get my complete guide with workbook, lenders list, CD set and everything you need to get the money @ www.cashflowexperts.biz
 
About Thomas Kish and his trademarked business credit system…

Thomas Kish is an investor, life long entrepreneur, author, and business consultant.

He is a national expert in the area of business credit and has shared the stage with best selling authors Robert Allen, Mark Victor Hansen, and Robert Kiyosaki .

Tom has bought and sold 8 million dollars worth of real estate using business lines of credit instead of using his own money.

And he has helped thousands of people change their lives with business lines of credit.

Categories: Covered Calls / Resources

26 Responses to “Here Is Where I Get Money for My Covered Call Writing Practice…”

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  1. Ben @ 5:59 am:

    Hi AJ,

    This is interesting. However, given the nature of options investing - the fact that most people LOOSE money trading options (and stock, for that matter), is it not VERY risky to invest with unsecured borrowed money? After all, if you default on your payments, the credit card companies can come after ALL your assets to secure repayment of your debt.

    Thanks,
    Ben

    • 
  2. A.J. Brown @ 9:50 am:

    Hi Ben,

    You make a fantastic point (although its ironic that you emphasized in all capitals that you can’t spell… It’s lose, not loose. ;-) I do that all the time!)

    One thing to keep in mind, however, is the concept of borrowing on margin. Aren’t we talking the same thing here? Isn’t borrowing on margin just another source of capital for investing in the markets?

    Successfully trading stock options, stocks, writing covered calls, investing in futures, in the forex, and for that matter, in real estate and starting a business, requires that you first invest in yourself in the form of education and skill development. This is the only way to not be like the ‘most people’ you describe.

    I thought I said just that in the above article.

    Perhaps saying, “For some of you, the next most important thing, after learning how to reap the high returns from trading stock options, you need in order to make profits is the money for investing,” and, “Once you get the concept of focusing on the spread instead of the cost of things, being the bank, and generating money for yourself from, not thin air, but the knowledge of investing in that three pound gray organ you have between your ears, you can quickly chart yourself a course toward financial freedom,” and, “Again, once you have the knowledge to invest, then all you need is the money to do it.” was not blatant enough.

    Let me try again to say it as clear as I can. Before borrowing money from anywhere, margin, a bank, equity from your house, a loan shark, your friends and family, unsecured lines of business credit, you must make sure the investment strategy you are borrowing to invest in will pay a higher yield. That’s what creating a spread is all about. And, the corollary I have found to be true is, the higher the yield you are trying attain with your investment strategy, the more time, energy and even money you must invest in the education and skill development behind it.

    You’re right, Ben, that if you don’t make your monthly payment on any loans your borrow from anyone or any financial institution, you will get yourself in hot water.

    I have over 30 people I have been keeping track of that are writing covered calls with protective puts on unsecured lines of business credit. They are all doing very well. So well, they actually asked me to stop talking about this strategy. (Now they are coming from believing in a world of scarcity versus where I like to plant myself, which is living in a world of abundance, but I digress…)

    One other statistic you may want to look at Ben is…

    The number of small businesses that fail within their first year. If you can believe it, that number is higher than the number of traders who lose in stock and the number of traders who lose in options. Who do you think the biggest users of unsecured lines of business credit is?

    Thank you for you comment Ben.

    • 
  3. Ben @ 1:15 pm:

    Hi AJ,

    Thanks for your reply. I think I understand your premise. Let me make sure I’ve got this straight: LEARN first; TEST your education and make sure you can be profitable more often than not; TEST again; TEST a 3rd time; THEN BORROW, like crazy, your way to wealth.

    By the way, unless someone correct my spelling, above, it looks like I did, in fact, spell “LOOSE” correctly. ha ha

    Thanks,
    Ben

    • 
  4. A.J. Brown @ 2:19 pm:

    Hi Ben,

    I was watching an old video replay of Robert Kiyosaki where he was explaining his definitions of assets and liabilities.

    He explained that an asset is anything that puts money into your pocket. A liability is anything that takes money out of your pocket.

    In his definition he emphasized that even your personal home is not an asset. Rental property, yes. But, your personal home, no. It doesn’t put money into your pocket. He then went on to say that you never want to borrow money to buy a liability. And, he further said, we should really focus on streamlining the number of liabilities we own. Then, he went on to say that when it comes to an asset, the idea is to borrow and borrow and borrow and borrow. Buy as many assets as you can. Take advantage of OPM (others people money) and always focus on the spread, not the cost.

    Reading your second comment made me think of this Kiyosaki video replay. It’s a classic.

    • 
  5. Don Mutch @ 4:01 pm:

    Greetings A.J.:

    You may not know me, but I’m a member of your Trading Trainer team.

    I have a website setup with over 116 credit card offerings, categorized by credit card issuer and type with online approval.

    Since you were talking about unsecured lines of business credit in this blog post, I thought it would be worthwhile to mention my website.  Is that okay?

    It’s a valuable tool to gain some needed seed money for writing covered calls.

    ==>  http://premium.ezcreditcardz.com

    Too everyone’s success.

    Thanks A.J.

    Don Mutch

    • 
  6. Thomas Kish @ 12:11 am:

    Hello,

    There is NO problem with business credit.

    Sub-prime real estate loans have nothing to do with my business credit lenders.

    They are giving out more and more business lines of credit this month to the clients that follow my system.

    Real estate mortgages come from a totally diff. pool of equity than business credit lines - so businesses that use my lender list will keep getting a lot of money.

    • 
  7. Hope Cooke @ 11:27 am:

    Please send me free materials.

    Thanks
    Hope

    • 
  8. A.J. Brown @ 1:01 pm:

    Hi Hope,

    You’ve posted a comment on my blog. I’m not sure what you were expecting to get by doing that, but, sadly I have no free materials for you.

    Are you looking for something from Tom?

    If so click here to go to his website.

    • 
  9. Arnold Mager @ 12:34 pm:

    In reference to your question concerning the apprentice program. If I can double my money annually, it will help me put aside money towards retirement but more important, I work with the local animal shelters in New York and I would like to devote more time for them. In addition, I would like to find more like minded people who have concrete goals and a passion for getting things accomplished in this great country of ours.

    • 
  10. A.J. Brown @ 6:04 pm:

    Hi Arnold (I like your name by the way),

    Great answer. But sadly, you have submitted it in the wrong place.

    Click here to get to the contest entry blog post. Add your entry as a comment there.

    Thanks.

    • 

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