Chapter 8 -It's not about Income - It's about assets that generate income

The things that most people think of as assets or not assets at all. In fact they are liabilities.

What defines whether something is an asset or liability is cash flow, not abstraction of value . In other words, it is generating money that goes into your pocket , or is it taking money out of your pocket?

If something doesn't make you money it's not an asset, it's a liability.

In network marketing, the whole point is not to sell a product but to build a network, an army of people who are representing that same product or service to share with others.
I am here is the reason you want to build that Army of independent representatives. Once you do, you know what you will have? And asset that generates income for you - passive income point

Actually it's about building 8 assets all at the same time. And in the next chapters we will look at each one of them

Chapter 6- It's time to take control

Working hard at making money will never create wealth. People who work for income work harder and harder only to be taxed more and more. Forget working hard at making money minus all you will do you spend it, and then have to work hard all over again.

You might be asking, "Ok, so what do I do? "

You have to take control of your source of income

Most people's income source works like a faucet point you get a little money flowing, and then when you let go it bounces back to off. You can never build freedom that way. What you want to some money for said that you can let go of once you have turned it on, because it stays on by itself.

This is passive income also known as residual income minus income that kind news coming in coming over and over, long after you're finished expanding the effort and capital it took to create the source of the income.

There is one business model stood out from the rest. This particular business model creates passive income, but requires relative little cash investment to start up. It has very low overhead, and can be operated on a flexible part time basis and delete generates enough cashpro for the entrepreneur to transition out of his current full time job.
This business model is called network marketing and its for the rest of this book is all about.

Chapter 5 - The Mindset of an Entrepreneur

One reason you want to create your own business is to get your dignity back. Don't underestimate the importance of this reason. The world is full of bullies and small minded people, and whether they are your boss, your manager, your neighbour or even your friend, you don't want them pushing you around anymore. You want to take control of your life. You want to have the courage not to care when other people Bully you around.  You want to have the freedom to think and act for yourself.

You need to adopt the mindset of an entrepreneur.The mindset comes down to this: an entrepreneur is self determined. You make things happen, which means you don't get to blame anyone or anything outside yourself.

Not that you are going to have to do it all yourself from the ground up, like I did with my business. No, one of the beauties of the 21st century is that all the groundwork of the business is already done for you minus and you get to have experience the leaders committed to your success to guide you.

Chapter 3- Where do you live?

The author speaks about four different cashflow quadrants- the ways people make money.

1. Employee
2.Self-employed or small business owner
3. Business owner
4.Investor

The author says at least 80 percentage of the population live in the quadrants-"Employee and self employed". On the other hand,  freedom resides in the quadrants " Business owner, Investor".

These four quadrants are discussed more elaborately in the author "Rich Dad Poor Dad"

Chapter 2 : The Silver Lining

During the financial crisis of 2008 the author was asked are there opportunities to create new companies in this turbulent economy?
The answer of the author :
This is the best time. When times are bad is when the real enterprenuers image. Entrepreneurs don't really care if the market up or down point they are creating better products and better processes. So when somebody says there is less opportunity now because they are losers
In times of economic uncertainty, people get creative. They break out of their comfort zones and take initiative to help make ends meet. It is a matter of good old - patient American entrepreneurialism at its best. When the going gets, tough the tough gets going

In the words of Paul Zane pilzer
" Traditional wisdom in the second half of the twentieth century was to go to school, get a good education and to go to work for a large company. The idea of going into business for yourself was most often regarded as kiski. Admirable perhaps but risky and maybe a little crazy . Today is completely the other way around"

People are waking up to the fact that they want more control over the lights. They want to be more connected to their families come be in charge of they want time, work from them homes, determine their own destiny. In a research study, 84% of respondents said that they would be passionate about their work if they want they want owned their own business. The number one reason they give for wanting to work for themselves is to be more passionate about their work life

There may be economic hard times for the majority, but for some entrepreneurs - the ones who are open minded enough to understand what I am going to explain in the next few chapters - these are times pregnant with Economic potential. Not only is now the time to have your own business, but in fact come they have never been a better time than right now, today

When the going gets tough, the tough gets going. And if that's true then that leaves you to questions.

First:  Are you willing to be tough?
And if you answer is yes, then question number 2 is get going doing what?

I can't answer that first question for you, but I know exactly how to answer second one. Answering that question is what this book is all about.

Business of 21st Century- Chapter 1

Just started reading a book after a very long time- The business of the 21st Century by Robert T. Kiyosaki. Have started to read with absolutely no prejudices.  The book was given to me by a friend of mine. But I got some idea about the book's context during the discussion with my friend.

Going forward, have planned to post the key- takeaways from every chapter of the book.

Every human voyage of life is directed towards the end of maximizing one's wealth and lead a life richer life than the previous day.  But hardly do we think beyond the stereotypes. The book attempts to change the idiosyncratic human thinking in his pursuit of getting richer.

Hope, I will complete the book as planned and blog the key ideas of the book by God's grace


Chapter-1 -The rules have changed

When I was a kid my parents taught me the same formula for success that you probably learnt - go to school, study hard and get good grades so you can get the secure high paying job with Benefits - and your job will take care of your future.

But that is Industrial age thinking, and we are not in the industrial age anymore. Your job is not going to take care of you. The government will not take care of you. Nobody is going to take care of you it's a new century and the rules have changed.

Life is tough. The issue is, what are you going to do about it? Moaning and groaning one secure your future. Neither will blaming Wall Street, big bankers,corporate America or the government.
If you want salt future you need to create it. You can take take care of your future only when you take control of your income source. You need your own business.