They think big when it comes to money matters. You can work all
your life and save every penny you earn to become rich but it's not the
best way. Most millionaires have created their wealth by starting their
own businesses.
The Basics
The irony about business and wealth is, the more you think about
making money only for yourself the harder it is for you to become
rich. In order to be truly wealthy, start thinking about others. How
can you help people get what they want?
Do you have something want a product or service that others require?
When you start helping people by providing your products and
services you start to make money. The more people you serve the
richer you become.
The way people like Warren Buffet and Bill Gates think about money
is totally different compared to a layman. They don't work for money
but put money to work. Bill Gates is the founder of Microsoft. He
found a solution in the personal computer.
No one really knew what it was used for. They didn't know it was
going to become one of the most useful inventions ever. Today every
household has a personal computer. Can you imagine a world without
computers?
There would be no Facebook, YouTube, emails, social media and
there won't be an internet in the first place. Think big, how can you
provide massive value to the world.
You don't have to come with a high tech invention to become wealthy.
Perhaps something simpler and practical. Have you ever given a
thought on how our lives are much easier due to some ingenious
creations?
What do you use when you want to leave a short memo for your
family or colleagues? Something you can stick on the fridge or the
computer. You use Post-IT's a simple piece of yellow paper that has a
sticky adhesive.
It made the inventor a very rich man. The funny thing is, the
invention was an accident. The scientist was trying to come up with
strong glue but instead what he got was a weak adhesive that did not
stick properly.
This silly mistake made them millions of dollars. Don't you wish you
made more mistakes like that?
Don’t be afraid of failure
Like the Post-It story, there are many more tales of success that began
from an honest mistake. What does it tell you, you have more to lose
if you don't try? Don't be afraid of failure. Learn as much as possible
and take action.
One of the fastest ways to riches is to fail fast and quick. Which means
if you want to reach success faster, don't wait too long. If you want to
start a business, just do it. Don't let others tell you why you can't do it,
or tell you that it won't work out.
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At the same time, that doesn't mean you need to go out there and
purposely fail at something. Take calculated risk and get some
knowledge. Only then you will be more prepared to start your
business or any other venture.
Warren Buffet bought his first stock when he was 11 years old. Even
then he regretted not starting at an earlier age. Why did a young boy
had a thinking far mature than most adults.
He saw an opportunity of getting stocks at a low price and his
principle was to hold it, and hold it for a long time.
Today Berkshire Hathaway owns more than 60 companies in the
world and some are big names like Coca Cola, American Express and
many others.
Would you like to learn the way they think about life and money?
Popular figures like Bill Gates and Warren Buffet are not afraid to
take risks and work their way to the top. They know how to take
calculated risks.
Stop being a perfectionist
If you are a perfectionist, it’s difficult for you to get started with
something. If you are working on a project, you want to make sure
you have all the angles covered. Even if one little detail is not proper,
you will not be happy about it.
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Being a perfectionist is not a crime but if you want to be like the rich,
you have to be more forgiving. The path of success is messy and a
most of the times you will be going through a lot of ups and downs.
Are you going to stop yourself from moving forward because of a little
imperfection in your life?
Don't be afraid to get your hands dirty and just do it. That is the
fastest way to learn something. If you want to start an online business
but you don't know how to set up a website, create content and set up
a payment system, just learn as you go.
If you are planning to create your website after you learn everything
there is to know about it. It is going to take a lot of your time. What if
you just take a dive and learn by actually creating the website.
If you hit an obstacle or not sure how to do something, there are so
many sources you can look for answers. Search for it on Google, or
look for a video on YouTube.
Which way do you think is going to take you less time and get your
site up and running for your online business?
Focus on opportunities instead of problems
How do you feel when you encounter a problem, do you feel stressed
or you start to think how you can solve it.
The Chinese word for "Crisis" consists of two characters which
represents "danger" and "opportunity". How you view your problem
might be seen as an opportunity by another person.
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It is a matter of perspective and your mindset.
Soichiro Honda was on such person. When Japan was hit by the
Great Depression in 1930s. Mr. Honda began to develop the piston
ring in that period. It was a still a new concept but he had a
fascination by cars from an
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supplies of raw materials. This man really went through it all and was
still persistent to be successful.
He then began collecting gasoline cans that were thrown away by US
fighters. It became his only source of raw materials for his piston ring
manufacturing process. Finally in an unfortunate turn of events, an
earthquake destroyed his factory.
Once the war was over, shortage of gasoline supplies left many people
without any sort of transportation. They had to walk or used bicycles
to travel. Honda created a small engine and mounted it to his bicycle.
His neighbors’ saw his clever little invention and wanted one as well.
However even after he tried, he wasn't able to meet the demand.
Instead of giving up and blaming it on fate. He started thinking of a
way and wrote a letter to 18,000 bicycle shop owners to help him in
his quest to rebuild Japan.
About 5000 people gave him the green light and gave him some
capital so that he could start working on his little bicycle engines.
After revising his design and making a really compact engine, his
invention was a success.
Honda began exporting his little bicycle engines to Europe and
America. At the moment, Honda Corporation has over 100,000
employs from Usa and Japan.
It is one of the largest automobile companies in the world. It was
because of one man’s undying attitude to failure and spotting
opportunities.
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The different types of riches
Everyone is chasing after money and wealth. The media portrays the
rich person as someone who is enjoying the ultimate life with their
yachts, Ferraris and expensive holidays.
However there are many types of riches, besides they type of people
shown on TV shows.
The low profile rich
This people are the eccentric of the riches. The way they earned their
wealth is mostly through the arts and sciences. They lead a life full of
purpose and cause. Sometimes they don't seem like rich people
because the way the dress or behave is different. They are more
concerned about their work and social causes than to focus on
material wealth.
The corporate rich
These people are the some of the most hard working people you will
ever meet. They went through the corporate ladder and rise up the
ranks to hold high positions in the company.
They are the high profile people in the financial world. Frequently
appears in the news and have very strong corporate goals and able to
make prompt decisions confidently.
Usually their wealth is passed on the next generation their children.
Which leads to the next type
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The Inherited rich
If you have heard of the Hilton family, then you will know how where
they got their wealth from. The wealth is passed down from the older
generations. These are the lucky ones who don't have to work a day of
their lives.
Their wealth is preserved by solid investments over the years in
businesses and companies.
The New Rich
Actors, athletes, singers and entertainers fall in to these categories.
They would have been come from rags to riches, and went through
the hard life. Their wealth would have been created in such a short
time that they earn millions every year.
The Super Rich
This category is for the movers and shakers of the world's economy. If
you remember the Pareto's rule that states, 99% of the world’s wealth
belongs to 1% of the worlds richest. They are in this group.
Hard work, intelligence and a little bit of luck has brought them all
the wealth. However they have a proper strategy for gaining all their
wealth.
The Banker, Millionaire and the Ferrari
There was a story about a millionaire who walks into a popular bank
in New York City and he meets a loan officer. He tells the officer that
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he's going overseas on a business trip for few weeks and he wants to
borrow a small sum of money, $5000.
So the banks asked to give collateral and he showed them his bright
red Ferrari. The loan officer checked his paperwork and the Ferrari
did belong to the guy.
Right after he went off, the loan officer drove the car to the
underground garage. He thought to himself, "what an idiot he is, so
rich yet dumb".
Two weeks later the guy returned, he paid $5000 plus an interest of
$15 dollars. The loan officer got really curious and asked him a
question." We found out you are actually one of the wealthiest men in
America, why would you need to borrow $5000, cause it doesn't
make sense."
The guy smiled and said “Can you tell me another way I could have
parked my new Ferrari in the middle of New York, for just $15, and
still expect it to be in perfect condition when I get back?
He walked out of the door leaving the loan officer stunned but he
smiled thereafter. He thought to himself what an intelligent guy is, no
wonder he's wealthy.
In this story, the guys saw an opportunity and he took advantage of it.
Not many people thought of it but he did. These are the kind of
thinking that most rich people have. How can you get the most out of
a situation? Always think of all the possibilities.
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The 4 types of income earners
What is the usual advice to a youngster who is still schooling? Their
parents usually tell them to go to a good College, score good Grades
and join the corporate world.
With good qualifications, you will climb the corporate ladder swiftly.
But most of the wealthiest people in the world didn't go to a college;
some dropped out and didn't work in a 9 to 5 job, at least not for long.
They started their own business or money making machine because it
gave them an advantage. They were in charge of their own fate and
had no bosses to tell them what to do. They had freedom to whatever
they wanted.
There is a powerful conce
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Unless you’re a high income earner. Most professionals have that
ability but they are still tied to their job.
Self-employed
These groups of people work for themselves. Usually freelancers, they
still work for people but has the ability to command a high fee if they
are really good.
But they are still limited to their own ability and talent to earn money.
Business owner
This are the people who runs the show, they have their own business
to derive an income from. A set of system run by a group of people
who works for you, that's a business. It's a sure way to get rich, if you
know what you are doing.
Investor
This is how the rich get richer. Once they have accumulated massive
riches, they began to invest to grow their wealth. They usually invest
in share market, properties and startups. This how the goal of every
person with an aim to make it big. They make their money work for
them.
According to Robert Kiyosaki, most people are in the employer and
self-employed quadrant. That is the reason most people are struggling
make enough money to be put into savings.
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In order to be rich, we have to cross from these two quadrants to the
business owner and investor quadrant.
Which means instead of working for people and limiting yourself, you
can get rich faster by starting your own business and investing your
money in other ventures?
It takes courage and a level confidence to face the risk by starting
your own business. If you are not willing to take a risk, you will never
know what you might achieve on the other side.
Are you willing to think like the rich?
Limiting beliefs about money
The major difference between a rich and a poor is usually how a rich
person lives the fast life, driving fast cars, going around the world for
holidays and living in big mansions.
They have achieved a financial freedom in their lives. It gives them
the chance to do whatever they wish to do. However that's only on the
surface. The difference between the rich and poor are their limiting
beliefs. It has a common thing to hear, when a person wins a million
dollar jackpot out of the blue, they won't have that wealth for very
long.
They will start spending it on their family, friends and everyone in
between. Only to wake up and realize that all their wealth is gone. It
shows the person had a lot of money but he had poor beliefs. That's
how the wealthy build their wealth.
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Most people think of money as an evil thing. That itself is a negative
thought. Money is just a neutral things and it's used to put a value on
something. It's a medium of exchange. So why do most people feel
that way about money.
Have you ever felt jealous of successful people who had amassed huge
wealth? Do you think of rich people negatively, for instance you when
see someone rich, do you think to yourself "where did he get that
much of money, he must be doing something illegal."
These are the kind of thoughts you need to change otherwise you are
actually limiting yourself from getting rich.
If you think money is evil, why would you want more of it? What if
one day, you became rich all of a sudden? How would you feel? You
might be happy for a moment but you might start to think that, who
starts to be friendly towards you might have other motives.
As if the whole world is trying to take advantage of your new wealth.
It's a damaging belief and you will be paranoid at every little thing.
Have you ever joined a contest and won cash prize? What did you do
with the money? Did it go to your savings or you just spend it all
because it was extra cash.
It was no harm to spend it yourself, right? What if you win a
$100,000 one fine day? What will you do with that much of money?
If you don't have a proper plan for your spending, it will all go to
waste. Get rid of all the negative thoughts from your mind. Think
positively and how you can do so many positive things if you had a lot
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of money. You need money to help others who are less fortunate, give
them a roof above their head. Some of the richest men in the world
are the most generous people as well.
Bill Gates has pledged to donate half his wealth and have asked other
billionaires to take the pledge as well.
Mark Zuckerberg donated to $100 million to schools in the state. If
you have good intentions, money will help you towards achieving
your goals.
If you have people around you who have negative thoughts, try to
avoid them. The closest people to you affect how you think and what
you do.
Meet new people who are positive about money and life for that
matter. If the negative people are in your family, then not to let their
thoughts creep in yours.
Follow the lessons of great figures and mentors. Do what they did and
you don't have to reinvent the wheel. Just implement what they have
done before and apply your own ideas to it.
If you want to start a business, you don't have to come up with a mind
blowing and complex idea. Think of something simple and how you
improve it.