Passive Income

I have always dreamed of having my own business. So last year, I attended a franchising seminar in the SMX Convention Center. I initially wanted to have a food cart business.  After that, I also interviewed my staff who previously had a food cart business. He mentioned that he needed a revolving capital for the first six months of the operation. Then, I realized that I wasn’t really ready to have a business.

In my desire to have extra income, I researched different options. I read forums that I found in Google search until I discovered DV Boer Farm (www.dvboerfarm.com)  in one of the threads that I stumbled upon. I researched the company and reached out to the contact person via email. Here is the SEC registration of DV Boer Farm as posted on Facebook.

The contact person introduced me to  profitable agricultural business program for beginners. She also sent me sample contracts of the different packages that they offer.  That’s when I was introduced to a new concept, landless farming.

In this agri-business venture, I, the Paiwi partner, availed the services and farm facilities of DV Boer Farm as provided for under its  Profitable Goat Raising Livelihood Program. Basically, in this venture, I availed 30 upgraded does and DV Boer Farm will take care of them for me for the duration of the contract which is 35 months.

The Paiwi Partner will earn based on the sale of the kids. There are four kidding cycles so there will be four payouts. At the end of the contract, DV Boer Farm  will buy the 30 breeding does.

Last year, I was able to avail this package at Php 290,000. And it is good that I made that decision. I haven’t visited the farm where I availed my package since it is in Iloilo. I just asked for a picture of my goats. Meet my goats. =)

I had my first payout this year.  Please see proof of first payout below.

How much do I earn from this venture? I will earn a total of 122% interest after 35 months.

Starting next year, the availment package will be reduced to Php 160,000 and earnings will be 45% interest after 35 months.

With this agri-business venture, I have a notarized contract which stipulates all the terms and conditions of DV Boer Farm.  With regards to payout schedules, they are posted in the Paiwi Online web application.

The company is legitimate and has subfarms throughout the country.

I must say I am glad I availed this package. I still have my job in the company I work for and I have passive income.

I would still like to have my own business someday. I just need more preparation. As of the moment, I will keep the passive income separate and continue to re-invest the income I earn from it.

Building My Retirement Fund

Retirement is one of my worries as a single parent even though I know I have been funding it. Why does it worry me? I know how my father’s SSS pension is not enough for his monthly needs. He still works as a consultant to augment his and my mom’s daily needs.

After having attended the Associate Financial Planner’s Training early this year, I was able to compute how much I will need for my retirement. With that, I decided to find more ways to build my retirement fund.

Retirement is something I would really like to look forward to.  Having that said, here are the things that I have been doing in order to build my retirement fund.

1.  I have been investing in the stock market through Citisec Online since 2014.  I will continuously invest in the stock market.

2. I availed of Sun Life’s My Future Fund 2040 two years ago. I am paying for it on a quarterly basis. My annual premium is P48,000.  I lessened the insurance coverage on my My Future Fund 2040 so that the premiums will be placed on the investment.

3. Our company has a retirement plan and mutual savings fund. I became eligible after one year of continuous service in the company. In this plan, my employer will contribute 4% of my basic salary on a monthly basis. If I reach three years tenure, my employer will contribute 5% of my basic salary on a monthly basis.

On top of that, I enrolled in our company’s mutual savings fund. I am currently contributing 2% of my monthly basic salary. I plan to increase this once my daughter finishes college education, which is six years from now.

Vesting starts at 30% for at least three years of service, increasing 10% per additional year of service from years 4 to 10. Full vesting is attained at 10 years of service.

4. Since the stock market is volatile, I researched for other alternative investments and discovered Vidalia Lending Corporation (https://vidalia.com.ph).  With this company, you can invest in loans. It is like FundKo. The difference of Vidalia Lending Corporation is that it is a managed peer-to-peer lending company. You don’t have to choose who to lend money to since it is the company who will do it for you. They also handle the collection of loans.

Vidalia Lending Corporation guarantees returns on your investment. You can earn as much as 18% in interest earnings for a 12 month term. For this year, I invested P72,000 for three months with an interest rate of 3.5%.

Upon placement of my investment, I received an email with my investment confirmation. Instead of having the check delivered to my house, I opted to pick it up in Vidalia Lending Corporation’s office.

After this initial investment placement matures, I plan to re-invest it for another three months. Why not re-invest for one year? I plan to add to this placement on January 2019 when my remaining leaves are encashed. That is the time when I will invest it on a twelve month term.

I know I can make additional investments anytime. I just want to be organized and have a single check for this purpose. I want to be able to track my retirement fund in an organized manner.

All these four items comprise my retirement fund. Some people may think I am uptight. Reality is I have only myself to rely on. It is better to have a plan for this very big goal.

Retirement is something I would really like to look forward to.  It would be the stage in my life that I would like to see myself be involved in charitable causes.

FundKo Investment Process and Review

Diversification is important when investing your hard-earned money.  This is to manage risks in investing. One can put his or her money in different financial products.  Thanks to the internet! I have discovered an alternative investment. And that is FundKo (https://fundko.com/).

FundKo is an online peer-to-peer platform that connects borrowers and lenders.  As with any other lending institution, FundKo verifies borrowers by reviewing the documents that they have submitted.

Since we’re talking about investments, I will give my review as an investor.  Obviously, you will have to register for an account.  Once you have registered, you will need to  add funds to your FundKo wallet. You have two options: Dragonpay and Direct Deposit.  Instructions are easy to follow once you have selected your option.

As for me, I funded my FundKo wallet using Dragonpay. With Dragonpay, I made a bills payment at any 7-11 branch nationwide. My bills payment was processed in less than two days.

After funding your FundKo wallet, you can start investing in the FundKo Marketplace.  The FundKo Marketplace can be found in the Lender Dashboard. You can filter the loans you want to invest in.  The loans that I have seen in the market place have terms up to 48 months. The maximum term that I invested is on a 24 month loan.

Before investing in any loan, you can check the purpose of the loan and the documents that the borrower has submitted by clicking on the Loan id. If you want to invest on that loan, click the Invest button and enter the amount you want to invest.

Note: FundKo recommends that you invest only a maximum threshold of 10% of your money in a single borrower to manage your risks.

Once the loan is fully funded, you will receive an email notification. The next step is to sign the loan agreement. The loan agreement can be found under the Check My Loanbook tab.

Once the proceeds are released,  you will get an email notification.

The next step is to monitor the payments of the borrowers. You will see the schedule of the borrowers’ payments on Investment Details tab.

I like how FundKo’s website is designed. It is very detailed and summarizes how much your cash flow is for the current month. The Loanbook shows you a summary of the loans you funded and the status of the payments of the borrowers. The dashboard shows you your effective yield.  As of this writing, my effective yield is 14.7%.

So far, the borrowers have been paying on time on a monthly basis.

You can actually re-invest the payments you receive on a monthly basis.

Overall, I like how my money is working for me. The returns that I am getting are returns that I won’t earn by just saving in the bank.