Reading Cashflow Quadrant

I know I'm a bit late in reading the popular Robert Kiyosaki books such as Rich Dad Poor Dad: What the Rich Teach Their Kids About Money-That the Poor and the Middle Class Do Not! and Cashflow Quadrant: Rich Dad's Guide to Financial Freedom but I'm glad I finally found the copies in the library and checked them out. I enjoyed reading Rich Dad Poor Dad very much and learned a lot about myself in terms of the way I view money.

Cashflow Quadrant is no different. I find myself unable to put it down. Learning what the letters mean in the quadrant and how you can use them to get from the left side to the right is very interesting. In fact, I find it motivating. I've always believed in the saying, "You'll never get rich working for someone else." The left quadrant which is the "E" and "S" stands for "Employee" and "Self-Employed." Kiyosaki teaches that in order to be financially well off, we should make it a goal to reach the right side which are "B" and "I" which stand for "Business" and "Investor."

The Difference Between Self-Employed and a Business Owner

The key difference between someone who is self-employed and a business owner is that most self-employed individuals are still doing all of the hard work. Meaning, you are doing the work, project managing, keeping the books, etc. A business owner has set up a system which works regardless if he or she is present. A business owner can do other things while the business runs.

I have definiely recognized this myself. No matter what you choose to do in terms of being self-employed, I think it's a good idea to set up some type of system. For example, if your thing is making money online, it's probably a good idea to figure out a system so that you are not doing the repetitive work. Many successful internet marketers outsource the work and make it so their business runs regardless of where they are.

Network marketing (which is mentioned in the book) is another great opportunity to reach over to the right side of the quadrant. Once you have worked hard in network marketing by reaching a high level of success with individuals running their own business in your network, the less work you have to do. That is what is so attractive about network marketing. You end up building long-term residual income. That is why I started network marketing myself as a Beachbody Coach and thankfully, I really enjoy the company I'm with.

Once you have set up a business, then you can begin learning how to become an "I" (Investor.) This is where you have your money working hard for you. I'm halfway through the book and am looking forward to finishing it. Once I do, I will write a brief book review.

If you have put off reading these two popular books like I have, get to a library or purchase them. You will probably learn a lot about your financial mindset as well.