The Peebles Principles

Prologuea government clerk and auto mechanic, he never
I was not born with a silver spoon in my mouth. Isupported us. My mother did that, through a
came from what most people would describe asvariety of jobs in the industry that I would end up
a middle class home, an only child in a one-parentchoosing: real estate. She worked variously as a
household. But by the time I was twenty-seven Isecretary, a broker and a mid level executive at
was a multimillionaire, and by the time I wasFannie Mae. We lived mostly in and around
forty-five I was worth more than a quarter of aWashington, D.C., with a couple of years in
billion dollars.Detroit, and our fortunes went up and down as
This book is the story of how I created thather career changed. We did very well in Detroit,
wealth, beginning with nothing. It is also a bookfor example, when she had her own real estate
about how to get rich, following the principles Ibrokerage. Later, when we moved back to
learned over more than two decades of buildingWashington, she was a secretary again, and again
my personal fortune. It is the breakdown of thewe had to worry about money.
deals that created that fortune and how I wonMy point is that from the age of 13 on I was
those deals. It is a handbook of tales and tacticsaware of our financial limitations, about being able
for a twenty-first-century entrepreneur.to afford the necessities of rent, groceries and
Perhaps not everybody wants to get rich, but Ischool clothes, and from that age on I wanted to
would say that this particular desire is somewheremake sure I could avoid those same worries
close to the core of the American dream. I knowwhen I became an adult. Fortunately, my mother
that I wanted to be rich when I was young. Iwas a very bright woman. Both she and the
wanted to achieve a financial stability that wouldother members of my extended family --
free me from the worries over money that Iespecially my grandfather, a hotel doorman who
experienced growing up. I wanted to leave thatsent four of his five daughters to college --
field of gravity forever.believed there were no limitations to what I could
My dream came true with my first big deal, whenachieve in life. They gave me a great sense of
I was twenty-seven, which turned me into aself-confidence and ambition, and did the sorts of
multimillionaire. I have since consummated dealsthings, like my mother teaching me to play chess
that dwarf my first win, but I have never hadwhen I was in grammar school, that pay off so
that same feeling.handsomely in later years.
I remember that day vividly, when I signed aThis book is not an autobiography, however,
letter of intent with the city of Washington, DC,except to the extent that such information helps
to develop an office building on Martin Luther Kingreaders understand that I entered the economic
Avenue. The bricks and mortar were still tojungle with no resources beyond my native
come, but that document meant I would own halfsmarts, a decent education and a good family
of a multimillion-dollar project and would bebackground. This book is rather about the
receiving a mid-six-figure income annually formethodology of creating success and wealth and
decades to come.an explication of those methods.
When I returned to my apartment, at about 8I know I have had my fair share of good fortune,
o’clock, a group of my friends were there.and I am thankful for it. But I believe the principles
To celebrate, my girlfriend had gotten a cakethat guided me are principles that can help anyone
from the Watergate Bakery, a white chocolateto achieve success. I don’t believe you need
mousse cake, and a few bottles of champagne. Itto be born with any special advantages, or any
was a moment worthy of celebration, aspecial instincts, other than a basic amount of
breakthrough moment, the biggest event of myintelligence and a drive to succeed.
business career to date. It meant that myI have written this book to share my principles
financial future was set from that moment on. Iwith those who also aspire to make something of
could quit right there if I wanted to; making a halftheir lives in this land of opportunity called
million a year was more than I’d everAmerica. I do a lot of public speaking, and what I
envisioned as a kid, when I was a teenager livingtry above all to convey is the idea that the
with my mother and helping her make ends meet.number-one challenge of the entrepreneur is belief.
That night, lying in bed, I thought about it all. IIf you believe in yourself, and believe that
thought back to how I was so impressed in highanything is possible, then the road to success is
school when I learned that Walt Frazier waswide open.
making $300,000 a year playing basketball. I’dWhat follows in this book are the deals that took
wished that one day I could do that, and here Ime from a wage earner to a world shaker, from
was, on my way to making more than that. Ita single man in a tiny apartment to a happily
was just such a sense of relief. I was done. Imarried man with a loving family and a substantial
didn’t have to do another thing except makefortune. I learned something from each one of
sure the construction company actually built thethe deals I describe, as I hope you will. While the
building. What a great moment.profession I chose was real estate, I believe that
It was more than just the money, too. In thatthe same principles apply to any entrepreneurial
moment I was vindicated: The road that I hadendeavor.
taken -- to quit college after one year, to forgoMany people will say you have to be lucky to get
the pursuit of a medical career in favor of realrich, and I agree. But understand that luck, as a
estate -- had proven to be the correct one. Thedear friend and mentor once told me, is
risks had paid off. As I lay in bed I even“where opportunity and preparation
calculated how many years I would have been inmerge.” This is the kind of luck required to be
medical school, followed by an internship anda successful entrepreneur. My hope is that this
residency. At that point I would have been in mybook will give you the principles you need to
first year of internship, struggling financially. Now,prepare for the opportunities that will undoubtedly
with one deal, I was going to make more moneycross your path.
each year than top doctors.Good luck to you all. May the next big deal be
It was a bigger moment for me, perhaps, thanyours.
someone from another background. I did notExcerpted from The Peebles Principles: Tales and
come from poverty or ignorance, but neither did ITactics from an Entrepreneur's Life of Winning
come from affluence, the kind that allows childrenDeals, Succeeding in Business, and Creating a
to enjoy a sense of indifference about money.Fortune from Scratch by R. Donahue Peebles with
My mother and I had been on our own since sheJ.P. Faber. Copyright © 2007 R. Donahue
and my father divorced when I was five yearsPeebles. Published by John Wiley & Sons, Inc.; April
old. Although my father was gainfully employed as2007; $24.95US/29.99CAN; 978-0-470-09930-8.