Question: I would like to hear from someone who didn’t have any money and used someone else’s $$$’s to invest. I don’t understand this concept and need to learn more about it.
Answer: It’s everywhere!
Probably the most common strategy is in real estate – it’s not “no money” – but 20% money. For instance, a building that costs $100k. You put down $20k, the bank puts up the rest. You make a small profit every month (say $100 after all expenses + PITI are covered), and get plenty of other advantages as well (appreciation in the market, loan payoff over time, deprecation through taxes, inflation of rents while your mortgage stays at the same rate, etc. etc.).
Obviously if you have no money, you find a good deal and look for investors. And it’s basically the same strategy, except they get a portion of it, and you get a portion of it.
There are lots of other, more complex “no money down” real estate types of transactions (owner financing, etc.)
There’s also flipping with debt financing (usually private money). You take a house, and take on debt from a creditor. You provide them with a high interest rate. In exchange, you do construction on the house. You then sell the house for more than the construction + the price you paid for it (financed by the creditor) + interest on the loan, pocketing the difference.
Or consider any business that is started. A traditional brick and mortar business: you go to a bank and pitch them on your idea, how you’ll make money, etc.. You take on the debt, and are expected to repay them with interest over time.
Or consider startup companies. These are equity financed instead of debt financed. You pitch an idea to an investor, and – if they think it has potential and they like it, they give you money in exchange for a portion (equity) of your company (but – you don’t owe them anything if the company goes bankrupt. This is why it’s “equity” instead of “debt”).
Or consider writing an e-book or a video course on Udemy/Skillshare/wheverever. It takes your time, but probably not your money. You publish this on amazon or wherever. Every month you make some money off of sales. This is a no-money down transaction.
If you are short of money, you can always swap time. This is what most people do when they work jobs. They trade their time for fixed amounts of money.