The book has some nice blogging and monetization tips, including a reminder that PPC ads like AdSense are better for un-web-savvy visitors, not so good for your regulars, and then at the end there was a handy link to more free reading called Stop Procrastinating Now. Maybe later.

Why write an eBook?

• You probably have 80% of the content already from your blog posts
• It’s a nice service for your regular readers/new readers
• It helps promote your blog
• You can add affiliate links to it
• Street cred

Would you write an eBook?

If you already have, I’d be interested in hearing how it went.

I admit that I did once write an eBook. About seven years ago, at the grand old age of 23, I wrote a guide for men about how to attract women (priceless tips such as ‘wash’). It sold okay, not well enough for me to dedicate my life to writing eBooks though. If I did write another one now, the topic would probably be one of the following scorchers:

• How to make 4c a week from your blog
• A painstaking, point by point recap of the ’07 iPhone hype
• Tom Cruise: you can help for just $1 a day (plus meds)
• How to write good: present perfect simple vs present perfect continuous on your blog!

I went to see Harry Potter and the Order of the Phoenix yesterday and have reviewed it on my Movie Minx blog. I’ve also written about The Joy of Fantasy Travel on Travel Minx. Now I’m going to blog about money and Harry Potter here.

I’m not just milking the search terms, I’m genuinely interested. Since discovering Mr Potter about five years ago I’ve been hooked, despite not normally loving fantasy tales. When the books are released I pre-order them, pick them up immediately and read them in a few hours before encountering the plot spoilers on Digg and countless other sites about Dumbledore dying on page 596 of The Half-Blood Prince (oh come on, that was from the book two years ago! I didn’t spoil it!).

Harry Potter and the $4 Billion Empire

So let’s look at the figures. Since Harry was ‘born’ in 1997 the books have sold 325 million copies, according to Wikipedia. The seventh and final book, due to be released on July 20, has already sold 12 million copies in pre-orders alone.

The author, JK Rowling, is believed to be the richest writer in literary history. She was sitting on a train one day when the idea of Harry Potter just popped into her head. Lucky she made notes.

The books have spawned five films so far, and video games and other merchandise, with a theme park coming soon. According to Wikipedia, the total worth of the Potter empire is a cauldron-spinning $4 billion. Although it’s more of a twisted tale for retailers.

Harry Potter and the Order of the Finances

Currency: Galleons, sickles and knuts. Convert them into dollars.
Banking: Gringotts. Its vaults are guarded by goblins and perhaps dragons.

Harry Potter doesn’t need to worry about money. He inherits a vaultload at the beginning of the first book once he discovers he’s a wizard. Sorted.

His friend Ron Weasley comes from a poor family with six kids. Mr Weasley works at the Ministry of Magic in the Misuse of Muggle (non-wizard) Artifacts department and is not well-paid.

Ron’s naughty twin brothers, Fred and George, become entrepreneurs when they start creating fun magic products like Extendable Ears to help people eavesdrop, and a Skiving Snackbox to help students get out of class by taking ‘remedies’ such as Nosebleed Nougat, Puking Pastilles or Fainting Fancy. They quit school and opened their own shop, which is doing very well.

Main points

• Open source strategies allow you to create the best possible product.
• Web users can help you market your product for free.
• New business developments will result in more freedom and unlimited potential.
• Access to free information and services is becoming a right, not a privilege.

Rush out and buy it?

For me, Wikinomics was lacking the ‘wow’ factor. I’ve spent enough time glued to a computer screen to be familiar with the Web 2.0 revolution that Tapscott and Williams gush about through the book. Actually, I think I’m half-way between the two groups they refer to; I’m old enough to remember growing up in a time without the internet, but I’m not a stodgy middle-aged company owner who’s afraid of the Big Bad Sharing of Information.

Plus, the ‘You Write The Final Chapter!’ ending seems a tad like a dad embracing the grunge trend 10 years late to show how in touch he is. Surely in an age of mass collaboration, and following the examples touted in the book, the entire thing should have been written en masse? It could’ve done with some pruning, too, and a little more critical insight.

Wikinomics is a well-researched book with some good examples of outside-the-box thinking, and it contains some useful tips on using the information superhighway to improve your business. But unless you’re still open-mouthed at the exponential growth of user-driven content sites and need basic advice regarding how it all applies to you, I’d give it a miss.

Step IV: L is for Liberation

12. Disappearing Act

• Gently introduce your boss to a trial period of you working from home. Make sure your output on days out of the office is significantly higher. Gradually increase the trial period and time away from the office.

13. Beyond Repair

• Some jobs are simply beyond repair, especially if your boss won’t trust you enough to give you time away.
• Admit and accept when it is time to move on; a lot of work doesn’t mean time has been spent productively.
• Most future employers will envy the experiences you’ve had after quitting your job and find you more interesting for it.

14. Mini Retirements

• Vacations are often exhausting binge exercises: stressful and pointless trips away. You need time to absorb your surroundings.
• Learn to slow down.
• Rid yourself of draining and unnecessary possessions. You need very little.
• Plan mini-retirements and see the world with the automate and eliminate lessons in mind.

15. Filling the Void

• People who suddenly quit the 9-5 routine expect to be happy and find they aren’t. That’s because there is now a void where the work was and your inner chatterbox starts bringing you down with guilt and questions about the meaning of life.
• Find meaningful goals to pursue throughout your life. Find ways to serve the world which are important to you.
• Learn a language, or several languages. It’s one of the most rewarding and enlightening experiences you can have.

Reactions to Section IV:
This section redeemed the book for me. I was close to putting it down in annoyance because I couldn’t really relate to the previous sections. I actually expected this to be the least useful section because I have already “liberated” myself from my cubicle job (three months ago) and am already traveling. But the section gave me some really useful tips for making the most of my travel experiences and believing in myself even when other people don’t understand what on earth I’m doing. I’m a huge fan of learning languages so I agree 100% with his advice to learn one. I have nothing negative to say about this section and now have a higher opinion of Timothy Ferris than I did.

Final Verdict on The Four-Hour Work Week
I feel a little confused now. My initial reaction to Mr Ferriss and his life lessons was one of scepticism. There were certainly plenty of things I didn’t agree with: the superfluous Comfort Challenges, the seemingly callous delegation of unwanted work to cheap assistants and the apparent unwillingness to communicate or interact with people. The achievements mentioned (China kickboxing champ, tango world record holder etc) are more through discoveries of loopholes and bending the rules than anything else.

Which isn’t to say he isn’t smart or dedicated. He takes on new challenges with a doggedness that would elude most people until he has achieved them, whether it’s learning fluent Spanish or jujitsu. I admire him for thinking outside the box, for valuing experience over possessions, and his enthusiasm for everything life has to offer. I won’t be a full-time disciple of the Timothy Ferriss way of life, and he admits himself that many people may find his attitudes threatening or even offensive, but there’s something in this book to affect and inspire most people to live happier lives. I recommend at least taking a look if any of the points in my four-part review have intrigued you. 7/10.

This is the final part of the review. Click here for Part One, Part Two and Part Three. Has this review and book summary been of use to you? Leave a comment and let me know.

Step III: A is for Automation

8. Outsourcing Life

• Outsource all the little tasks you hate doing to a virtual assistant at a cheap rate (in India, for example). This will free up your time no end.

• You will need to learn to manage your new employees: start small, give them specific instructions and tight deadlines.

9. Income Autopilot I

• The goal is to create an automated business that can run efficiently and make money without much/any input from you.
• Try reselling/licensing or creating a product to sell that is aimed at a market you are familiar with (eg. moms if you are a mom). First, test the market by going niche and looking at ads in magazines related to that niche.
• Advertise your new product before manufacturing to check the market demand. Then outsource everything including manufacturing, customer service and marketing.
• Become an expert on your chosen topic in three weeks by joining organizations related to the topic, buying three top-selling books related to that topic, making notes, then giving a seminar on the topic using those notes. Hey presto, you’re an “expert” and the media will call you.
• A list of URLs are provided for testing the market, manufacturing a product and marketing it.

10. Income Autopilot II

• Best (check the product is better than the competition), test (create a site selling the product and have a small spend on AdWords to check interest) and invest/divest (depending on the results of your ‘microtesting’.)
• A list of URLs are provided for testing keyword popularity, learning more about AdWords and setting up a website with purchasing enabled.

11. Income Autopilot III

• When is the time to remove yourself from the business?
• Focus on the customers who are pleasant and reliable; don’t waste effort on the difficult ones. Think of your customer base as an elite group.
• A list of URLs are provided for call center outsourcing, affiliate programs, sales and marketing help, infomercial companies.

Reactions to Step III:
An awful lot is covered very quickly. His approach of testing the market before creating a product to sell would probably benefit a lot of people. There are some useful urls in there that I’ll probably use to help build this blog (which is my “product” – I’m more interested in virtual information, not manufacturing.)

The idea of creating a business that simply runs itself is kind of appealing but then I enjoy being involved and working. His lifestyle doesn’t appeal to me at all (apart from the travels, but I do that already). Outsourcing is something I wouldn’t have a problem with if the employee was treated well and paid fairly but it seems to be taken to silly extremes. I would not outsource things like buying gifts for my family; that’s lame.

A few questions arise: did he outsource the research for the book? The writing of the book? There seems to be a bit of hypocrisy in there: do things you don’t want to do to challenge yourself (eg. the latest Comfort Challenge: lying on the floor for 10 seconds at Starbucks) but outsource the things you don’t want to do to save yourself the bother. Can I outsource the Comfort Challenges?

Next: Section IV: L is for Liberation

Section II: E is For Elimination

5. The End of Time Management

• The goal is to decrease your workload while increasing your revenue (there should be a 20% input: 80% output ratio.)
• Lack of time is actually a lack of priorities; looking busy and multi-tasking just disguise poor time management.
• Focus on a select few tasks each day (planned the night before) and complete those with short, clear deadlines and no distractions.

6. The Low-Information Diet

• Learn how to become selectively ignorant and take in only the important stuff; target the top few sources in any area (top headlines, top role models etc).
• Learn how to not finish something if it is not worth your time (eg. a bad movie) and to recognize pointless information.
• Learn to speed-read (tip: run your finger along the page as you read to stay focused and keep your speed up.)

7. Interrupting Interruption and The Art of Refusal

• Learn how to be assertive in your workplace to be interrupted less often and work more independently.
• Set up systems: check email twice a day at 12 and 4. Set up an automated response so people are aware of your system. Put your phone line on voicemail and save the cell for emergencies. Train colleagues, clients etc to use email first and the phone/in person for emergencies.
• Keep interaction focused and brief. Avoid meetings. If you must attend, keep them short or plan to speak first, set an end time or leave early.
• Ask for more autonomy to minimize manager interruptions and also give others more responsibility to lighten your workload.
• Work in ‘batches’ if you can. Try and do a single task for a focused period at a fixed time (eg. all laundry every second Sunday) instead of bits here and there.

Reactions to Step II:
This was a meaty section. Ideas on working more effectively and training others to interrupt less often are great. The tips on speed-reading were helpful. Giving others the credit to handle more responsibility is something I really need to work on. I also need to cut down on ‘checking’ things unnecessarily at regular intervals (emails, stats, Technorati…). Writing down my top priorities the night before is a good tip to focus on.

However, his tips on minimizing information and interaction are all a bit clinical and not for everyone. I enjoy reading the news; I am not going to supplement it with word of mouth for years at a time, as he has. I also enjoy checking email and being in touch with people so I would never cut it all down to one hour a week, as he has. And his Comfort Challenge on Page 89 about asking two random attractive strangers for their phone numbers is terrible! Granted, asking someone for a phone number is a good confidence booster but couldn’t he keep it professional? (“If you’re in a relationship,” he adds, “just toss the numbers if you get them.” Oh dear.)

Next: Step III: A is for Automation

FAQ and My Story: Why You Need This Book

• Life is about having time and mobility, not $$.
• The goal is fun and profit.
• “What do you do?” is the most annoying question people can ask you, as if your job defines who you are.
• Ferriss gives a brief chronology of his life. It hasn’t been smooth sailing. He wants to share his lessons.

Step One: D is for Definition

1. Cautions and Comparisons

• You are part of the “living dead” if you simply work to have things you don’t really want.
• The Deferrers are working hard for future retirement, with the vision of not having to work in the future and having lots of money to enjoy; the New Rich believe it’s what you do that counts, not what you have, and that it’s better to have a more immediate purpose, know your dreams and live them, not plan for some vague future of inactivity.
• The first step is to replace assumptions about how life has to be lived.

2. Rules that Change the Rules

• Being different is better when it’s more effective and more fun.
• Alternating periods of work and rest are essential to survive.
• Focus on being productive instead of busy; make positive use of free time.
• Leverage your strengths, don’t focus on building up your weaknesses.
• Money alone is not the solution.
• It’s not how much you make per year, it’s how much you make per hour you work.

3. Dodging Bullets

• Doing something is less frightening than thinking about doing it.
• Define your fears. Nothing is generally as bad as you think.
• Compare where you are now with one year ago. Are you better or worse off? Look at people 15-20 years ahead of you on a similar path. Is that where you want to head?
• Don’t save living your life for the end.

4. System Reset

• Be unrealistic; there is much more competition for ‘realistic’ goals but most people back away from the ‘unrealistic’.
• Don’t pursue ‘happiness’, pursue ‘excitement’. What excites you?
• Most people don’t replace work with something else. If they are not working, they feel a void.
• Create some 6-12 months goals. Replace any ‘having‘ goals with ‘doing‘ goals. Calculate the TMI (Target Monthly Income) needed to achieve these goals.
• Don’t be afraid to ask people for advice.
• Brace yourself for Comfort Challenges in the next chapters.

Reactions to Step One:
Wow, there’s some inspiring stuff in here so far although I am still looking forward to the specifics. I think his point about many people deferring life and being afraid to pursue their dreams is often true, but then he is a young, middle-class, single-no-kids guy so he doesn’t have other people to worry about. I think the idea of thinking unrealistically is a good one; defining your dreams isn’t really original advice, but thinking in 6-12 month blocks helps make the idea more tangible.

I’m a bit nervous about these Comfort Challenges coming up, but will give them a go. The first one he suggested seemed dumb: stare at someone until they look away. I did it today on the subway and people thought I was either coming on to them or just a lunatic, I think.

Next: Step II: E is for Elimination

He sounds extraordinary. I’m going to buy the book, and I promise to use your affiliate link, Jon, but before I blog about anything I have actual knowledge of I thought it would be worth taking a preliminary look at this “life-changing” book near the top of Amazon’s Bestseller list, and at the so-called “Indiana Jones of the Digital Age”. I want that title! Or perhaps, “The Garfield of the Digital Age.”

Interesting Facts About Timothy Ferriss (as reported on his website):

• He speaks six languages
• He’s been a cage fighter in Japan
• He holds a Guinness World Record for Tango
• He’s an actor, an author, a wealthy businessman, a keen traveler and sportsman
• He’s 29, just like me. Only blonder and wealthier.

Things I have already learned from Timothy Ferriss:

• Outsource everything overseas. Hrm. I seem to have outsourced myself overseas.
• Don’t work too hard. Okay then.
• Check your email only twice a day at the most. Now that’s just insane and impossible. Can’t be done.
• Learn to tango. I tried this once in Argentina but it was a disaster. The only world record I would accomplish is treading on one person’s toes the most times in under a minute.

First impressions from learning about Timothy Ferriss:

• I want to be just like him! But that’s not really true. I can’t stand sports, I already travel a lot, I’ve already learned six languages (though I can only claim fluency in two tops), and I would get tired doing all that stuff. But I would like to write a book and work more effectively and inspire people.
• He’s talked himself up. Probably, but browsing his blog there’s a fair amount of video evidence that suggests he has actually done all the stuff he says he has. Crikey. Although the tango world record didn’t look hard.
• He’s super-media savvy. He even has a page on his site offering to let bloggers interview him. Aww, what a nice guy!
• He doesn’t need coffee. He has more energy than a caffeinated puppy.

Okay, so I’ll read the book and report back. Anyone else read it yet?

Now, according to Chapter 2 of Smart Women Finish Rich, I should look at my spending and see if my spending reflects those values. And it does – in part. I spend my money on travel. But I don’t compensate for that by investing or creating assets which generate money for travel. I just travel, and so the money goes down until there’s none left.

I also spend money on: food (cafes, restaurants, takeaways) and clothes (often expensive boutique fashion that I barely wear, and don’t really care about).

So, as my friend says, back the truck up! I should cut down on those things and create a proper budget and stick to it. That’s what I never do. I just spend until I have nothing left.

Having said that, there are two things I spend money on that I refuse to give up. Because you have to live your life as well. These things are: my morning espresso and my monthly film magazine. To throw in a random German word, these things are unverzichtbar (un-give-up-able).

So I sat down with pen and paper. Here’s my money/values ladder (start at the bottom):

Travel, socialise, help others, rewarding work
Better work/life balance
Fulfillment, peace, independence
Control of life
More time
Freedom