Let's look at the tab on the Excel spreadsheet called Payback Period. Recall that the payback period identifies the number of periods or the number of years it takes to pay back your initial investment. So here's the scenario. I'm going to spend $100,000. And I'm going to receive cash flows of $5,000, $10,000, $10,000, $50,000, $6,000, et cetera. What's going to happen is that I'm going to calculate the number of periods it's going to take for me to get my money back. And this formula does it just right there for me. And so, given this cash flow, it's going to take me 8.8 years to pay back. And let's suppose I manipulate this. Let me show you how fun this can be. Okay, so here I got period one, it's going to pay me back $100,000. It takes me one year. So the payback period is one year. Let's suppose in the first year, I've got $200,000 that pays back. See it? It would take half a year to pay it back. Or if the first year I get $120,000, then it takes, you know, .83 years to pay me back. Let's suppose the first year is $60,000 and or 60 excuse me $60,000, and the second year is $50,000. It can take me 1.8. Right? Suppose each year was $50,000. It takes me two years. Right, so what you can do is, you can say that my initial and cash outlay and the number of periods, the cashflow going forward, and it will take you how long to pay it back. All right, let's do an example. Suppose I've got one of those roaming food trucks, going to be a macaroni establishment, make mac and cheese. So let's suppose I've got $250,000 it's going to cost me to buy this food truck. And I've got cash flows of $50,000, $25,000, $30,000, $30,000, $40,000, $50,000, another $35,000, another $40,000, right? What's going to happen is this will pay back in 1, 2, 3, 4, 5, 6.71 years. Then I can use this exact same technique to identify whether or not I should buy a food truck, or should buy a dry cleaner, or should be a franchisee for a sub sandwich place. I mean, the truth is that this is really easy to go in and suggest that someone should or shouldn't give you money based on the number of years you're going to get it back. It's very easy to manipulate, it's very easy to translate. Let me do it one more time a little bit smoother. Here is another example, let's suppose you're going to buy yourself a food truck for $250,000. And it has a cash flow of $50,000, $25,000, $30,000, $30,000, $40,000, $50,000, $35,000 and $40,000. Given this scenario, it's going to give me a pay back period of 6.71 years. I'm going to get my money back in 6 and 7/10 of a year. How can I use this? I could look at this relative to a different investment. Let's say buying a dry cleaner or becoming a franchisee for a sub sandwich place. And identify when I'm going to get my money back or which investment is going to give my investors their money back quicker. This is a great technique for showing how fast you are going to get your money back. Doesn't tell you everything, but it does give you a very easy number and very digestible information to make decisions.