The main part of the book focus on the six lessons I learned from my ex-millionaire Auntie”.
By reading this book you will be aware of some factors that cause business distresses and failures.
The lesson from this book is vitally important so that you will not be doing the same mistake as what my ex-millionaire Auntie experienced.
All the wisdom that I am sharing in this book are inspired from my two favorite best-selling authors namely Robert Kiyosaki and Harv Eker.
Lesson learned No.1
Financial Statement as a Fundamental to Wealth
“One of the reasons people struggle financially is that they leave school not knowing what a financial statement is.”
-Kiyosaki’s Rich Dad
In all types of businesses, big or small, having financial statements is a must in order to succeed. It is a fundamental to all matters in dealing with money. It is a foundation to creating and keeping wealth. Moreover, a good financial statement keeps a complete record of your assets, liabilities, cash flow, passive income, etc. More importantly, analysing your cash-flow can help you figure out whether your expenses are greater than your income. It will also help you to decide if there is a need to cut back on spending and ways you can save.
Lesson learned No.2
The Importance of Good Management and Monitoring
If you are self-managing your own business, the success of it depends heavily on how well you supervise and monitor your business. Many papers and books have been written to study the origin of business distresses, its causes, consequences, and even the best ways to manage these organizations to avoid failure. The best way to learn how to manage a business turnaround is to study how mistakes were committed and what strategies were used that resulted in a turnaround success.
Lesson Learned No. 3
Your Money Blueprint
Changing your money blueprint needs understanding of your past programming then reprograms your mind to support your desired happiness and success Psychologists ask series of questions that lead to determining one’s personality such as who we are, how we think, what our beliefs are, and even what our habits and traits are. How do we really feel about ourselves? How confident are we with ourselves? How well do we relate to others? How much do we trust others? In like manner, there are also questions that determine us with regard to handling money. Questions such as: Do you always go shopping? Do you have savings?
Why Is Your Money Blueprint Important?
Have you noticed how some people luckily get a lot of money and then lose it? A famous example is the lottery winners. Research has shown several times that regardless of the amount of their winnings, after few months, most lottery winners eventually return to their original financial state, the amount they can comfortably handle.
Lesson learned No. 4
Increasing your financial IQ
Most people struggle with money because in school they only learn how to work for money. Rarely do they learn to have money work for them.
-Robert Kiyosaki
In this very fascinating topic, I would like to delve with the wisdom of Robert Kiyosaki, the New York Times No. 1 best-selling author in the field of business. We have been told to work hard, save money, get out of debt, live below your means, and invest in a well-diversified portfolio of mutual funds. But this advice is obsolete — so argues Robert Kiyosaki in his new book, Rich Dad’s Increase Your Financial IQ
Lesson learned No. 5
Understanding between Good Debts and Bad Debts
Are all debts good? Why can they be bad for borrowers? Why can they be good for borrowers? The point of this book is to caution someone about saying such things as:
“Get out of debt.”
“Save money.”
“Pay off your bills.”
“Cut up your credit cards.”
“Don’t borrow money.”
Lesson learned No. 6
What to Consider Before Investing?
There is no such thing as a bad investment; but there sure are a lot of bad investors.
– Kiyosak
