Creating Iyia Liu’s Financial Plan

Many business owners pour all their energy into their companies but don’t necessarily have a structured financial planning strategy in place. Iyia admitted that while she has thought about property investment and shares, she hasn’t always had a clear roadmap.

“I feel like I haven’t really done much financial planning,” she said. “When I started a business ten years ago, I sort of stumbled into it.”

While her business success has provided financial stability, Iyia acknowledges that she could have started investing earlier, particularly in property and shares. However, she’s now focused on making informed financial decisions to build long-term wealth.

As an entrepreneur, Iyia’s income isn’t always consistent. Her revenue can be lumpy, with large cash inflows from business sales or launches, followed by quieter periods. This can make budgeting and financial planning more challenging.

She has started investing surplus funds into shares as a way to prevent impulse spending, noting, “I put money into shares so I can’t see it and I can’t really spend it.”

However, we discussed the benefits of focusing on paying down debt instead. While shares offer the potential for returns, paying off a mortgage provides a guaranteed financial benefit by reducing interest costs over time.

One of Iyia’s key financial goals is to expand into property investment. She previously attempted to purchase a multi-unit property but found the lending process challenging as a self-employed individual.

“It is really difficult. I applied three times last year and kept getting asked for more forecasts and documents. I eventually gave up,” she shared.

Many self-employed individuals struggle with securing lending due to the way their income is structured. A key takeaway for Iyia – and other business owners-is the importance of timing. Applying for a mortgage close to the end of the financial year can make the process harder, as lenders typically prefer up-to-date financial statements.

While some entrepreneurs aim for early retirement, Iyia is focused on building a lifestyle where she can continue doing the work she enjoys.

“I feel like I’d be so bored if I stopped working. The work just has to be things that I enjoy,” she explained.

Her long-term goal is financial security, ensuring that her assets generate enough passive income to cover her lifestyle expenses. After discussing potential figures, we estimated that to achieve true financial freedom, Iyia would need around $4 million in assets (excluding her home) to generate a sustainable $200,000 per year in passive income.

With a clear financial plan in place, Iyia’s next steps include:

• Paying down her mortgage faster to reduce debt and build equity.
• Revisiting property investment after the financial year to secure lending.
• Potentially working with a buyer’s agent to identify cashflow-positive multi-unit properties.
• Structuring her investments in a way that supports long-term wealth-building.

Additionally, we touched on the importance of having an up-to-date will and life insurance, which are essential components of a solid financial plan—especially for business owners with dependents.

• Entrepreneurs often focus on business growth but need structured financial planning for long-term wealth.
• Managing irregular income requires a strong budgeting and investment strategy.
• Paying down debt can be more beneficial than investing in shares, depending on financial goals.
• Self-employed individuals face challenges with lending and should plan mortgage applications strategically.
• Building a property portfolio with cashflow-positive investments can create financial security.
• A strong financial plan includes estate planning and insurance to protect assets and dependents.

Iyia Liu’s journey is a great example of how entrepreneurs can transition from focusing solely on business success to structuring their personal wealth. By taking a strategic approach—paying down debt, making smart investments, and securing lending at the right time—she’s setting herself up for long-term financial stability.

Whether you’re an entrepreneur looking to structure your wealth or someone seeking financial security for the future, having a solid plan in place is essential. Lighthouse Wealth can help you create a personalised strategy—whether it’s buying a home, investing wisely, or securing your retirement. Get in touch with us today and take control of your financial future.

If you’d like to learn more, check out these blog posts or other episodes below