Re-read is an another key to become rich and wealthy, Learning never ends my friend so don't ever stop learning it's my request. :) Time to recall and re-read and re-learn few concepts that we discussed in our previous chapters, The Fear of Working for Money, Trap, Importance of Financial Education, Assets vs Liability and Their Cash Flow Pattern.
So without wasting your time let's start with our today's chapter, i.e. Focus on Your Business Income.
Primary Focus
When it comes to Focus on your Business Income there is another story by Robert T. Kiyosaki from his book Rich Dad Poor Dad that everytime I read that story it opens my eyes and my mind on How to actually focus on your Business Goals as well as your Business Income.
Here is an excerpt from the book Rich Dad Poor Dad,where the story goes like this...
In 1974, Ray Kroc, the founder of McDonald's was asked to speak to the MBA class at the University of Texas at Austin. A friend of mine was a student in that MBA class. After a powerful and inspiring talk, the class adjourned and the students asked Ray if he would join them at their favorite hangout to have a few beers. Ray graciously accepted.
"What business am I in?" Ray asked, once the group had all their beers in hand.
"Everyone laughed," my friend said. "Most of the MBA students thought Ray was just fooling around."
No one answered, so Ray asked again, "What business do you think I'm in?"
The students laughed again, and finally one brave soul yelled out, "Ray, who in the world doesn't know that you're in the hamburger business?"
Ray chuckled. "That's what I thought you would say." He paused and then quickly added, "Ladies and gentlemen, I'm not in the hamburger business. My business is real estate."
Story opened your eyes? Yes? The explanation to this story will open your minds too. :)
Here is another excerpt from the book, that explains the above story more clearly...
Ray spent a good amount of time explaining his viewpoint. In this business plan, Ray knew that the primary business focus was to sell hamburger franchises, but what he never lost sight of was the location of each franchise. Basically, the person who bought the franchise was also buying the real estate under the franchise for Ray Kroc's organization.
Today, McDonald's is the largest single owner of real estate in the world, owing even more than the Catholic church. McDonald's owns some of the most valuable intersections and street corners in America and around the globe.
As you can see how Ray Kroc knew about his Primary Business Focus and Where his Business Income will come from, That's the result that you can eat McDonald's hamburger at any corner of this globe, so before doing anything for your entire life you should be focused first on what you are doing, rather than just working without knowing anything.
Profession Vs Business
By the time we have been discussing about the Focus on your Business and the Business Income, Another base question that normally knocks in our mind that What should I choose for my main source of Income or the best path to Financial Freedom?
Well In this section I will show you the thin line (Though, I call it thick and Big!) between Profession and The Business.
Often when you ask someone about, "What is your business?" they say, "Oh! I'm a banker" and then you should ask them, "If the owns the Bank?" then they will usually reply, "No! I Work there." So they are calling themselves a banker (A Businessman) though they end up all their life being an Employee (Profession) of Banks.
The Problem is not in the Peoples out there, the problem is in the education system, our education system teaches us to get good grades, find a safe and secure job and live your life expecting an appraisal in your salary every year. Our Education system teaches us to get more skills and degrees and trainings so that you can get more high paying jobs which means more money every month, most of the people thinks that more money will solve all their problems instead they end up left with nothing because of their Financial UnEducation!
You should learn about the basic difference between the Assets and Liabilities as I discussed in my previous chapter that it's the only rule to become rich and wealthy..Just know the difference and buy assets. Focus on your asset column not on your income column - This is the simple and only rule Financial Education and becoming rich, Learn It, Impliment It..Again and Again!
Assets You Should Invest In
There are few income generating assets that you should Invest in while focussing on your assets column to become rich and wealthy.
- Businesses - That do not require your physica presence. (Will discuss about them more in my next series)
- Stocks - (Don't Forget Value Investing)
- Bonds
- Commodities (Day Trading is best for them, Don't Invest more than 10% of your Total Investments)
- Income Generating Real Estate
Bottom Line
So, start focusing on your business first, know what is the main focus of your income from that business and how you can focus on your business income, after that know the difference between the assets and liabilities then just keep on buying income generating assets. Don't focus on your income side start focus on your assets side, build as much income generating assets you can, soon you will see yourself financially free, rich and wealthy.
Rich Dad Poor Dad by Rober T. Kiyosaki
7 Chapters That Can Make You Rich & Wealthy
Must Read For More Insights:
Rich Dad Poor Dad by Rober T. Kiyosaki
7 Chapters That Can Make You Rich & Wealthy
No comments:
Post a Comment