Look, Learn, Do, Win!

I mentioned the Spectrum research into how the Rich got rich (and, stay rich) in a recent post ( http://7million7years.com/2008/01/25/how-much-does-it-take-to-be-rich/ ).

 I found some interesting data from their web-site that may encourage you to keep doing what you are doing right now (look/learn/do/win!).

First, take a look at this chart lifted right from their site ( http://www.millionairecorner.com/ ):The Beginner's Mind 

While you expect that Rich people know a lot about finance and investing, isn’t it interesting that at least HALF still say that they have a lot to learn. This is called having a Beginner’s Mind … the most successful people in every avenue of life (especially those who have become Rich) have it.

Now take a look at Spectrum’s next chart:

 The Rich Read Blogs

… it seems that the Rich do look at blogs! Even better, the Richer they are the more they read (or, is it the more they read, the Richer they get?).

Now, take a look at this chart from the same site:

The Rich Get Educated

It seems that as well as looking  at Blogs (and, other sources of financial advice) they are willing to keep learn‘ing … you would think that once you get to $1M – $100M you would feel like you know it all … apparently, not so.

I’ve always had a fascination for learning (I read a LOT more ‘how to’ books than I do fiction), and it seems that I am not alone amongst the Rich. But, I had this habit BEFORE I became Rich … I am sure that this was a major factor in my financial success. What about yours? 

In the end, though, it’s the hard work … the do‘ing … that you put in that counts (see the chart above). Doing means taking risks … and, accepting a measure of good/bad luck along the way …

But, in the end, if you look/learn/do, you just have to Win!

How much does it take to be rich?

My 10 y.o. daughter asked me exactly that question the other night … actually, she simply asked “are we rich”? I’ll tell you how I answered in a minute, because it is important that you understand how YOU would answer this question.

In the meantime, and by coincidence, I came across this blog just yesterday: http://www.millionairecorner.com/content/blogsection/4/110/

It’s written by Spectrum who did some research on what it takes to be rich …

How Rich is Rich?

 http://getrichstayrich.net/introduction/index.html

The problem is that they asked people who were already Rich!

 So, most said $5 million (what? net worth? in the bank? under the mattress?), but some said as much as $25 million. I would guess that this was related to how much money they made … the more they have, the more they spend, so the more they believe it takes to be ‘rich’.

Only 1 in 5 said $1 million, which is what many people just starting on the road to wealth would believe means ‘rich’ … when you get to $1M tell me if you’re ready to retire (I’ll bet the answer is NO!). 

I think the number is somewhere between $100 million and $1 billion …

… as one Billionaire said recently, after his company stocks grew five-fold in less than 12 months moving him from $1 Billion to $5 Billion net worth: “once you get past the first Billion the rest doesn’t matter.

So, how did I answer my daughter?

I said: “we are not ‘rich’ we are wealthy, because we can afford to live the same way that we are living now for the rest of our lives”. 

Now, we aren’t slouches (nice house in a great suburb, the ‘right’ cars, schools, vacations, etc.) but we have no helicopters or Lear Jets …

So, to determine when you are ‘rich’ you first need to determine your Number … that is the amount of money that you need to have ‘in the bank’ (actually in Passive Investments : bank accounts, investment properties, stock market … anything that makes YOU money even while you are asleep) to produce enough income for you to live your current (or desired) lifestyle for the rest of your life (which means, the amount has to be indexed for inflation).

I’ll show you how I worked through this in a future post!

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My First Post

If you read my little bio, you will see that I have made a lot of money (really!), but I made it BECAUSE of my passion to learn about money and teach others. I read a lot, experimented a lot, tried lots of conventional (and unconventional) wisdom.

 The result: I made 7 million in 7 years™ … and, I started out broke (actually, worse, with a failed business and owing $30,000!).

 It’s unfortunate, but I have to brag a little in order to get my message across:

Which is, I made 7 million in 7 years following a system – a roadmap is an even better term – that you can follow, too. If you do, you have every bit as good a chance to beat my record … and, I will give you all of the rules that I found that will help speed you along the way …

 I had to find these rules by research, then trial and (lots of $$$ and time-wasting) error; you won’t have to … you will have a true Roadmap to Riches

 … even if you don’t become rich, you will become FAR better off than those around you, because you will have the rules and they won’t. And, even if they did, they won’t follow them, but you will, won’t you ??? 

So, my passion is money. Making it, but more importantly, helping other people to make it as well. I made a ton, and this is blog (and, then my book) will be my way of giving back (of course, I donate to charities, as well).

There will be no ‘get rich’ quick schemes …. but, no ‘get rich slow’ schemes, either. Hell, who wants to save their way to $1,000,000 if it’s going to take them 30 or 40 years?! [Hint: I will teach you what and how to save as well … but, that’s only the first step, like taking off in a plane …. there’s still a loooot of blue skies ahead …).

 So I’lll just be sharing the lessons that took me from broke to 7 million dollars (in the bank!) in just 7 years.

If I am the real deal (I am) why would I bother writing this blog?

It’s a good question that actually has an easy answer: in 1998, I was broke running a struggling business (it was losing $5k – $10k a month; luckily I had another business making $5k – $10k a month to keep me Just On Broke) and my wife was the breadwinner for me and our two babies.

Then I read some books … and, the ideas I picked up helped me to get back on my feet. I started making money, but had no idea how to hang on to it and make it grow even faster.

I found that there were no books that would LAY OUT THE ROADMAP to take me to the next level … getting rich, and more importantly, staying rich!

So, I started to do my own research and experiment on myself, and I got lucky (I made money … lots of it) …

… what kept me going through the hard times was the the idea that I would then help others do the same.

By writing this blog now, I’m giving back … and, if I don’t have a blast doing it, then I’ll stop … because I can.

What next?

Well, books like Rich Dad, Poor Dad and The Richest Man in Babylon were breakthroughs in their time, but very basic … they are like Making Money 101™.

So, I am taking all the lessons that I have learned, together with the lessons from others to write a better book – you can call it Making Money 202™ (I’ll let you know the real title later) – and, sharing them with you through this blog, as I research and write it.

The book will be about how to get ready to make money, how to make money (and, lot’s of it!), then how to keep it (something that many lottery winners, celebrities, and atheletes, don’t seem to know how to do) …

… it will be the first book to lay out a real Roadmap to Riches … not just my way, but in any way that feeds your passion.

Let me know what you think as we go along … not only the good, but the bad as well … who knows, you might just come up with something that should be included in the book …

… but, what I’m really banking on [pun intended] is that you will also make 7 million in 7 years … for real!

Stick with me … OK?