How A Teen Mom Used Her Tax Returns To Start A Multi-Million Dollar Business

On how she got started: 

"Well, I fell pregnant very early in life, at 14 years old. That's what molded me and the rest of my life. I had to learn responsibility very, very early. I had to be a mother all while balancing being a teenager, trying to find and learn myself. Having that type of responsibility at such an early age gave me a quicker start at life.

"Anyway, my daughter's father’s side of the family was into childcare. I had to work for them to kind of earn my keep and to take care of this new child that I had sprung on everybody. So in working for her father's side of the family, I learned the childcare industry – really unbeknownst to me. I was kind of being molded into being the person that I am today. Then I decided I wanted to step out on faith and try to open my own childcare center; I did that by 24. Long story short, that's what got me to where I am today."

On her initial relationship with money: 

"I didn't have the option or experience to be good with money. I didn't know anything about it. My mom was just the average everyday working woman trying to make ends meet. I didn't know what a wealthy lifestyle was. I didn't know what having money looked or felt like. I think I got my first understanding of it when I met his family and saw what they had. That's when I knew we didn't have money."

On stepping out on her own: 

"I was very scared because, at this time, I was working as an executive assistant to the principal for [the] Atlanta Public School System. So I was making maybe $35,000 in my early twenties. I had always been in corporate America. I worked for Wachovia Bank (Wells Fargo) and H&R Block and felt like I had gotten a good job at the school system.

"I mean, 16 years ago, $35,000 was a lot of money for a 21-year-old. But I knew that I wanted to always be a resource for my daughter, and even on $35,000, I was barely making ends meet. I had enough to pay my rent, my little car note, and maybe buy some McDonald's here and there."

On using her taxes for startup money: 

"When I made the decision to jump into childcare, I had saved three years' worth of tax returns. At the time, I was getting between a $2,500 to $4,000 return. And one year, I just decided not to spend it. Also, I was saving like $100 out of each check. For two years, I ended up with about $5,000 – so that was my startup. I literally just buckled down and decided not to waste the money."

"When I made the decision to jump into childcare, I had saved three years' worth of tax returns. At the time, I was getting between a $2,500 to $4,000 return. And one year, I just decided not to spend it... For two years, I ended up with about $5,000 – so that was my startup. I literally just buckled down and decided not to waste the money."

On her favorite splurges:

"Sadly, I do not splurge. I like cars so when I want a new car, I'm going to get one. But that's not all the time. You know? I really don’t do much for myself. Everything I do is always for other people. My life is really 'complex-simplicity.' But for my 40th birthday last year, I threw a huge party and went to Turkey. That was the beginning of me doing more for myself. Oh, and property! I’m responsible, but I’ll buy a property in a minute."

On money-lessons she learned the hard way:

"I was never taught budgeting, so I had to figure it out on my own. And honestly, most Black people are counting and spending their money before they get it. So mentally, they know exactly what they do and don't have.

"Childcare is fast money. If you set up shop in the right location, you can go from $0 to $40,000 quickly. And this happened so early on in my business and so fast that I was out having fun, spending all this money, but I wasn't growing the business that I started.

"You gotta think, I went from getting around $1,200 every two weeks to $8,000. But I learned very, very quickly that I couldn't be gone on vacation 24/7 because no one was running or growing the business. And so it wasn't until that $8,000 a week was $2,500 a week, then $1,800 a week, that I realized I didn’t have as many kids to care for!"

"Childcare is fast money. If you set up shop in the right location, you can go from $0 to $40,000 quickly. And this happened so early on in my business and so fast that I was out having fun, spending all this money, but I wasn't growing the business that I started."

On real estate and passive income:

"I'm a licensed Realtor in both Georgia and Florida, and I became licensed in both states because I invest in real estate. I own the buildings for all my childcare centers outright, with no mortgages. I also own the buildings for any business I operate; I don't rent from anyone. My investment portfolio is focused on real estate because it consistently gains value, and you can always generate income from it.

"Whether you choose to start a business or rent it out, real estate offers flexibility. If you need to access funds, real estate allows for that too. I always recommend investing in real estate because it has worked well for me."

On a final, personal money-saving tip: 

"I would say, if your business is a heavy cash flow business, meaning you get a lot of cash but also accept credit cards, checks, and etc., save the cash that you do not need. Put that cash in savings, don’t ride around with it. That way you don’t think twice about spending it."

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