THe Magic Of interest
Written by Ken Fernandez
When I was about 12 years old, I had a conversation with my brother-in-law Larry. He explained to me how interest worked and that you can create interest income from money that you invest. Even at 12 years young I was intrigued. I remember thinking that if I had $100,000.00 invested with an 8% return, I would have an income of $8,000.00 a year, which would be about $77,000.00 in 2024. For a 12-year-old boy, that was a fortune. I would never need to work another day in my life. Never mind the fact that at 12 I had yet to work a day in my life.
I spent the next 20 years scheming about how I was going to make my fortune so I could live the lifestyle that I had dreamed about living as a 12-year-old. I created many business ideas in my mind. I started a couple of very small businesses that failed. I remember telling a co-worker one day that I needed to quit trying these business ideas because they were costing me money that I couldn’t afford to lose. I was married and trying to support my large family on a small income. But the ideas kept coming and I kept dreaming.
Just before I turned 32 years old, I came home from work one day and informed my wife Sherry that I had quit my job. Keep in mind, we had four young children and no money. Sherry said, “Good you can make better money on your own.” She had more faith in me than I had in myself. But I was determined. We borrowed some money from my parents and I picked up some side jobs doing painting and remodeling to get us through the winter.
In March of 1986, I opened the doors to our new business, Concrete Construction Supply. I started in a 1,200-square-foot warehouse with no yard, one employee, and a truck. In our first year in business we did $190,000 in sales, 10 years later we did over two million, then we hit 10 million, and a few years later 20 million. This year the company goal for sales is 50 million. We sold the company to our employees in 2019 as an ESOP. It is now owned by the employees.
Today, 38 years after its conception, Concrete Construction Supply has seven locations with over 100 employees and 35 trucks of all sizes. It is stronger and better today than it ever has been and its future is bright. Even though we have no ownership, I am still involved, more as a consultant. I hope that it will continue to grow and prosper for years to come.
A few years ago, we were on a fly-fishing trip in Montana with my friend Bob Cox, who I grew up with. One day he said to me. “Kenny, remember how you always talked about how you were going to make your millions?” Then he paused and said, “Then you went out and did it.”
Today, Sherry and I live comfortably on our retirement income, most of which is interest income. It took a lot of years of hard work to make my dream come true. But it was work that I loved because I was working for myself. And no, I do not have to work.
A principle that my wife teaches and I have now adopted, is teaching people that when they dream, that they dream big. Because there is no limit to what we can accomplish in this life, not just financially but in every area of life, I don’t think God put us on this earth to be mediocre. I believe He wants us to be the very best version of the person that we are.