Work for yourself

This basically means that a person should concentrate of his work only, and what is that work,
to collect his assets. Someone asked ray (owner of MacDonald’s) what was his business? And
he answered his business is being a real estate agent ( remember I wrote value of real estate is
the future expected cash flow for that particular piece of property ) so what he meant was that
he buys worlds best real estate by the money of franchisee owners , and in return he takes a
part profit to the franchise owner. So in effect he is buying the worlds best real estate for free,
and taking a percentage of profits from the franchise owner (remember profit, he as such has
NO liabilities, just a lot of franchises worldwide that pay him a lot of money daily, with NO
problem) so doesn’t’ matter where in the world you buy a hamburger from, you always are
going to pay Mr. ray a tiny bit something And that is what is making him hugely rich.
Rich buy luxurious stuff in the end while poor and middle people buy it first.
Financial intelligence is made of basically three things,
Financial literacy, understanding figures (accounting)
Investing literacy, understanding money, how money is made from money.
Market (supply and demand) understanding what the world wants and whether you can
supply it.
Law
There are two types of investors
One are the ones who go and buy investments like mutual funds/ bonds/or real estate fund
Second are the ones who make investments, their investments don’t get advertised in yellow
pages or infomercials, instead most don’t even know about them, yet richest ones get it.
First ones don’t get rich, they simply live in an illusion that they are rich.
If you wan tto be rich, you want to be the second type of investor, and to become that you need
to have three qualities,
1. Look for chances which no one else can see, there is a difference between seeing and
watching. Seeing is done by mind, your brain and watching is done by eyes only.
2. Understanding how to arrange capital. Most of the people think that going to bank is
the only way to arrange for capital, but it is not, rather it is not the most efficient one.
There have been instances when some of the greatest investors have bought huge places
without a penny in their account, there was an instance, someone wanted to desperately
sell an apartment for 100,000. but the investor did not had anything to pay him with, so
he bought it regardless of it, gave him a non refundable deposit for 10,000 and he got a
period of 60 days to arrange for the entire 100,000. he knew the place was worth
180,000 so he sold his position to another investor for 50,000 , he made 50,000 in a day
without much risk.
3. understand how to keep intelligent people with yourself. smart people are the ones who
know how to keep intelligent people working for themselves or work with them
WHAT YOU KNOW IS YOUR BIGGEST ASSET, WHAT YOU DON’T KNOW IS
YOUR BIGGEST RISK.