Financial Literacy For Small Business Owners
Financial Literacy: The Education You Need
Unless you were taught financial literacy in school, which is not typical, then it is essential you get educated about financial literacy to be successful in your small business.
I was taught by my parents to be an employee and not an employer and while this gave me a high salary, I could not become wealthy with this mindset or model. Once I manifested wealth I had to learn how to sustain it and not just to attain it. This is the financial literacy education you need as a business owner.
So, how do you get out of the rat race and start working toward a wealthier future? You need to understand the difference between an asset and a liability. Take a look at your own life and you’ll probably find the following:
- Real Estate
- Intellectual Property
- Consumer Loans
- Credit Cards
Have you been fooled into thinking things like your house, your car, and entertainment system are assets? Well, they are not. Assets continuously make you money. I have digital products that are sold while I sleep and bring money in all the time. This is the way to building wealth.
If you are a wage slave employed by someone you make money and pay taxes and are surely not creating wealth for yourself – for your employer yes, for you… no.
How do you actually become wealthy, then?
Here are the steps:
- Know the difference between an asset and a liability.
- Focus your efforts on buying income-earning assets.
- Keep liabilities and expenses to a minimum.
- Shift from a poor mindset to a wealthy one