You’re about to get schooled in business by Kim Kardashian

Haters are gunna hate. If you’re one of the many people who wonder how Kim Kardashian got famous or think it was via a sex tape you need to pay attention and read on.

You see, her father was actually a lawyer in the O.J Simpson case. Kim talks about how growing up her father made her and her siblings sign a contract for everything.  (Perhaps a good business lesson right there). They had to agree to terms that if they crashed their car they would be required to pay for the damages. But it was through her inner entrepreneur that  was the foundation of her success.

Kim worked in and loved fashion. As with many of her fellow members of Gen Y, in the early 2000s we all just loved the idea of eBay. During her search for the next statement piece to add to the collection, she came across 5 pairs of shoes for $700 each. Expensive I agree but they were actually the shoes J-Lo wore during the filming of her film clip. She knew they were worth more than $700. Especially to a dedicated fan.

In true entrepreneurial form she had little cash and decided to raise funds. She managed to get a loan from her father for $3,500 and had to pay it back with interest. Yes it was convenient that her dad had the cash but this is no different to you or I going to the bank to fund a venture. Debt financing was her only option so she secured the funds.

After contacting the seller she purchased the 5 pairs of shoes for $3,500. Kim managed to re-sell the shoes for  $2,500 each! More than tripling her investment on each pair.

She says she became addicted to those profits and wanted to build.on the momentum. She would team up with her celebrity friends and sell their old clothes taking a cut of the revenue. To further boost her image she got featured on Paris Hiltons TV show as a celebrity closet organiser. (Back during a time when Paris was everywhere you looked). This little online stint would return her over $200,000 in sales all from her eBay account.

The key lessons for aspiring business owners is to utilise the resources around you. You may not have celebrity friends but you have a competitive advantage within reach.

You just need to look for it. The second note is when you can use other people’s money to start a business. As Kim got a $3,500 loan from she was able to repay the debt from the profits essentially costing her $0.

Image source: Michael Loccisano/Getty Images for eBay

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