So You Want to Get Rich?

[TheFinalEpic]

What, specifically, does Kiyosaki teach about getting rich that you find so compelling, and where in his book? I'm curious. The best description I've heard of praises from the cult is this:

I think these “made me think about finances” comments are inarticulate at best and dishonest at worst. What is really going on is a lot of people are schlepping along doing a half-ass job of managing the financial aspects of their lives. Rich Dad Poor Dad slaps them up side the head and tells them to clean up their acts. That’s good, but the book goes on to deliver a pack of lies that make getting rich seem much easier than it really is and make education sound much less valuable than it really is. Basically, people want to get rich quick without effort or risk. Kiyosaki is just the latest in a long line of con men who pander to that fantasy.

Getting rich isn't rocket science. There are set out paths to becoming rich, and he doesn't preach the "get rich quick schemes". The things that personally I believe are good in his books are that he advocates financial education, he shows you that modern society isn't going to teach you how to become financially independent (especially through traditional schooling), he shows how to build net worth through asset acquisition instead of buying liabilities, and he is also a proponent of teaching children about money and that the topic isn't taboo.

You have to take the good with the bad, keep an open mind, and look for the positives in his message. His books are what brought my dad into ownership of his own company, and that forever changed my goals of getting a job into building companies and wealth.

 

[SlickyBoy]

I've done sales also and nobody seems to agree on what the number one rule is, but whatever it may be, sales most definitely does not require you to like what you sell. You need not lie about it, but you don't have to like it or drink your own Kool Aid.

The guy selling Hyundai cars may not actually drive one - does that make him a fraud? Ditto for fast food - you don't have to like what you sell and it doesn't compromise your integrity to offer something to a market outside of your own personal habits. But to each his own, if you're that bothered by it then you won't do well.

As for taking the good with the bad, you seem only willing to take the good (what little there is of it) from Kiyosaki and ignoring the treacherously bad. That man hasn't demonstrated any kind of business acumen whatsoever other than separating money from fools. He's even teamed up with the likes of Russ Whitney - a con man selling get rich quick real estate seminars to the unwitting.

How you can be bothered by selling fast food but have no problem putting money into Kiyosaki's pocket is a bit befuddling.

 

[TheFinalEpic]

If you don't believe in your product, you cannot sell it to the best of your ability. It is like if you went out gaming while not believing in yourself, prospects can just smell it on you, and you will fail miserably.

Have you even read the book? You would understand the mentality I am talking about, and the lessons he teaches are in line with all other books that will teach you to get your money to work for you in stead of vice-versa.

Making your money work for you is the basis of wealth.

 

[SlickyBoy]

Yes I have read it; fortunately it was a borrowed copy. But Rich Dad Poor Dad was still a waste of time I will never get back. Kiyosaki makes your money work for him every time you buy one of his books.

"Making your money work for you" is not the basis of wealth since it requires money to do just that. Otherwise why not quit the job and live off the interest and investments? Anyone who can already do that doesn't need Kiyosaki to point out this pearl of wisdom. Kiyosaki doesn't actually teach anything, but he's obviously a compelling politician for some.

 

[TheFinalEpic]

Then I suggest you read the other book that was suggested by Zelscorpion.

Because it states the same principles.

 

[BasketBounce]

I am reading Felix Dennis' book. He recommends getting start up money from people he refers to as "fishes".

How does one identify "fishes" and get money from them? Seems like all you gotta do is make friends with generous people and ask them for money. Fishes are people that give you money without asking for any ownership of the company in return.

Like literally just go up to people and just ask for bills lol. Anyone got experience with this?

 

[bacan]

That fishes idea sounds completely retarded.

 

[Ensam]

Actually the fishes idea isn't so crazy but I think it depends a lot on our personality and I certainly don't think of them as fishes or suckers and find that aspect of the idea repugnant.

I've dabbled in a few start up concepts and was surprised at how many friends and family members came out of the woodwork and offered no strings attached money to get things moving. Nothing more than a few grand but enough to cover basic capital expenditures and allow me to explore feasibility without maxing out my credit cards.

I think what they responded to was my genuine passion for the ideas I was pursuing. I never asked for money and was reluctant to take it - which seemed to make them more willing to give it. Likewise if I knew someone who was working on something they really believed in and I could help them out I'd be happy to do it without asking them for anything in return.

 

[TheFinalEpic]

Getting seed capital is not incredibly difficult, especially if offering a modest interest rate for the money, as I have done previously. I agree with Ensam that the best places to start looking are family and friends, but there are people that are content with making a little interest on a loan as well (if the initial asking is unsuccessful).

 

[BasketBounce]

What I'm hearing is that friends and family will give you money if you ask.

But will they continue to give you money after you fail time and time again? Or once you go ghost because you're working so hard on your project? What happens then? What if you can't pay back the loan + interest that you initially agreed to because you're so broke that you can't hardly afford rent + food?

Then again, I might just be assuming the worst. So you don't pay back the loan immediately...what's the worst that could happen? The person hunt you down and kill you or something? Doubtful, they'll probably be too embarrassed or feel sorry for you, lol. I really am starting catch myself when the fear starts creeping in.

That being said, "fishes" is just a term. Have you read the book? He uses fishes in contrast to sharks and dolphins. Fishes conveys a sense of goodwill and togetherness and essentially harmlessness. Venture capitalists and bankers that give out loans in return for ownership of your company are referred to as dolphins and sharks respectfully because they ultimately end up tearing you down to keep you afloat. Fish are friends, dolphins and sharks aren't.

 

[Ensam]

That being said, "fishes" is just a term. Have you read the book? He uses fishes in contrast to sharks and dolphins. Fishes conveys a sense of goodwill and togetherness and essentially harmlessness. Venture capitalists and bankers that give out loans in return for ownership of your company are referred to as dolphins and sharks respectfully because they ultimately end up tearing you down to keep you afloat. Fish are friends, dolphins and sharks aren't.

Ah, I haven't read the book. In that sense of the word then I completely agree with him. Personally I wouldn't take a loan before I had a solid plan for generating cash flow in the near future. I would make repayment of the loan contingent on generating the expected cash flow. If friends and family want to fund my ventures I'll tell them exactly what their money is going towards but make no promises to pay it back if things don't go well. The last time I did this I setup a blog so people could see how I was spending their money. In that case the venture didn't go anywhere so I paid them in trade by giving them whatever products I'd made up to the point I decided to close up shop. I also explained very clearly why things weren't going to work. Everybody had a positive experience and I doubt they'd had problems funding me again if it I was doing something they saw promise in.

 

[Saweeep]

The most important thing if you want to get rich is this:

Think Big.

Like really big.

Most people set small goals from the outset; goals that will never make them truly wealthy.

 

[TheFinalEpic]

The most important thing if you want to get rich is this:

Think Big.

Like really big.

Most people set small goals from the outset; goals that will never make them truly wealthy.

This is a great point, one that Grant Cardone states in his book "The 10X Rule". Essentially take your goals and multiply them by ten, because thats the actual amount of drive, work, and ambition etc. it will take to get to the goal.

Take a goal of 1M in the bank. Multiply that by ten, and overshoot what you are looking for, because with that amount of effort to achieve the higher goal, you'll hit the smaller one quite "easily".

 

[megadeth]

Going long on Unicorn companies with LEAPS is one way to do it, works like this:

1) Work hard, save up some money.
2) Take the money and purchase LEAPS http://www.investopedia.com/terms/l/leaps.asp for a stock you believe has tremendous upside
3) Profit when price goes up, with a capped loss (initial capital). You can control more quantity of the stock via LEAPS and thus profit more than just the gain you'd have obtained by directly owning the stock.

It's a good way to go long on a stock without leverage and getting into debt.
For a company like Tesla, this would be nice to do. Except that the in the money LEAPS are pricey, waiting for a correction to get in would work.