Last week was a short break week. I did not make huge progress on my projects. However, it was one of the best week in 2010 so far. I read a book that was recommended by other like-minded people. Yup! I read Rich Dad, Poor Dad.
I have heard a lot about Robert Kiyosaki and his books. I also know he was very rich by investing real estate and many other things. That’s exactly I was thinking to do for years, but I thought I was never good at it. So I have not done anything with it in my life. It’s time to do it now.
My wife and I spent 3 days finishing the entire book. I have done a lot of thinking. One thing I really learned from the book is what a true entrepreneur should do. It’s not about managing your products, it’s about manage your cash flow, people and personal time. Now we need to find out how to apply all those three things into our plan.
The more we think, the more we believe that investment is the only true way to have financial freedom.
Here is what we will be focusing on:
- Increase our financial IQ – I am pretty good at math, but I have never apply that into the real world number game.
- Start small and buy our two rental properties before the end of 2010. It must keep our cash flow positive, otherwise, there is no point to buy.
- Invest on people who can actually help me create positive cash flow.
- Continue our Internet business, which is generating real passive income.
First thing first. To be able to focus on the above tasks, we need to do the follow.
- Evaluate our current financial status
- Find our strength and weakness when dealing with risk.
- Find what we are interested in and find profitable item to invest
We know we are above most middle class people. Our financial status are strong, but our fear of taking risk is our weakness. We think the fear is due to lack of knowledge about the risk we are facing. The only way to get rid of the fear is to face it and study it.
By studying the challenge and become the master in that field will push all fear away. Like Robert said in the book. The more you know about it, the easier you will get to it.
Besides the rental properties, we are also looking into virtual properties on the Internet. Don’t ask me what it is. That’s the secret, since I am know online business fairly well. What I can tell you is that it’s not about buying domain, flip web site or building article directory.
Have you read Rich Dad, Poor Dad? What have you done to create your cash flow?
About Terence Chang
I’m actually not a fan of that book — partly because I read it about 2 years ago and bought a rental property which turned out to be a terrible, terrible mistake at the time
might be different now, but I know I’m not the only one who did that.
What I did like was the motivation it gave me to think about making money. Sometimes I’m guilty of enjoying my job (also in the internet business) a little TOO much and not focusing on making money which really should be the real reason I even go to work.
As far as finance books go, I would recommend “the millionaire next door” over “rich dad poor dad” any day
Nice review, Terence.
My husband and also read RDPD within a 3 day time span, back in 2001. The book really does make you think.
I liked this book so well, I bought each of my son’s a copy as graduation gifts.
Reading your review has inspired me to write my own book review, Where Does Your Cashflow? about his next book in the series, The Cashflow Quadrant.
I have yet to read RDPD. I have the book at home but I’m just too lazy to read it
“Find what we are interested in and find profitable item to invest” – always interested in making money online!
-Kai Lo
Twitter @lomak1985
@Dallin:
Thank you for stopping by. Not every one will get the same result by reading the same book.
Don’t give up! You have to keep trying and adjust your steps on the right direction.
@kerry:
Read you post. Looking for the review of other book.
@Kai Lo:
You should pick up the book and read again. I have learned a lot and now planning to execute them. Good luck to you!
I like the Rich Dad philosophy, but I really don’t trust Robert as a thought leader. He just strikes me as a snake oil salesman. I’ve watch several of his podcasts as well.
But, I do get what he is trying to say, just some of his tactics are on the questionable side.
@Ms. Freeman:
I read Rich Dad – Poor Dad, because I think he made some very good point about how to be financial freedom. Everyone use different tactics. It’s up to us with our own creative! He became rich with real estate, which is only one of the many ways to acquire assets.
Thank you finding my site.
I read the book a long time ago too. The principles are pretty easy to understand.
A bit unrelated but…:), someone else made an interesting point that went something like “you can tell a lot of people all your secrets but interestingly enough, most of them still won’t do it, probably because they’re lazy”. That could apply to some Rich Dad philosophy too?
Hi Terence,
We love your blog. Of course you will become a billionaire. “Thoughts are things” – where your Attention and Intention are in life is where your life will take you.Also we note “helping the poor”. The universe also notes that and will conspire to help you with your dreams.There are more millionaires in the world as a result of investing in realestate than anything else. Australian residential real estate is open to foreign investment.Why not take a look. We have one of the most robust economies in the world and residential real estate doubles on an average every 7-10 years.
Best wishes for your Wonderful Life.
Allan and Dawn
@Alian and Dawn:
Thank you for stopping by. Glad that you found my blog. Hope you get your marketing business moving forward.
Internet is the ultimate source to achieve my goal. So can you!