8 Things Rich People Do to Become ULTRA-WEALTHY

Okay, so self made millionaire. Here are eight things rich people do differently that make them ultra wealthy. I think it's important to note here that the author of this article is Grant Cardone, Mr. 10X himself. Let's go through these eight things and give my perspective as a small business owner that does home improvement and contracting. Number one, they don't diversify their investments right away. I think the key part here is right away. I think that most men, millionaires, eventually, as their career grows and expands, they do diversify. But I do believe that for most small business owners, the thing that we should be focused on is our small business. It's the thing where we can have the most returns on our investment. And trying to do a hundred different things. And one day you're doing real estate, the next day you're doing a different side business, the next day you're doing a restaurant. All those distractions ultimately lead to the demise of the original thing you started. Because of the shiny object syndrome. So many entrepreneurs get distracted by a whole bunch of different investment opportunities. And as the famous saying from Mark Cubing says, diversification is for idiots. Number two, they know that debt is for businesses, not people. I like this one. Simply due to the fact that not all debt is bad. According to someone like Dave Ramsey, you should say debt all times. He only pays cash for his real estate. But for the vast majority of people that don't have the amount of income that he has, they're not gonna be able to invest in something like real estate without using leverage. And typically in your business and you're investing using some sort of leverage is not a bad thing. It's when you use it for personal items like a fancy car or a fancy new iPhone that you just upgraded six months ago and now you're getting another one. Those type of personal assets that depreciate very, very quickly do not produce any more dollar amount or value in terms of income to you. Those are the ones I'd be staying away from. And those are the things that unfortunately typically lead to a recession, is when consumer debt on things like cars and watches so starts to go up. Number three says that home ownership isn't always their first investment. I'm a big believer in this one because if you look at the down payment on a house and everyone's been sold the middle class American dream of buying a house. If you look at the average house of $400,000 and you're going to get a conventional loan, say $100,000 down, if you spent that $100,000 in your small business, there's a very good likelihood that you could double the size of your company. And, and if you put that money into marketing, training, your team expansion, doubling your business adds a whole lot more value to your net worth than buying a piece of real estate that's typically going to go up a few percent on average annually, year over year. And so again you got to remember that small business is an incredible investment vehicle. And so to think that you can take $10,000 to invest in your business and make it into 20,000, that doubles the money. That same know return in a piece of real estate, doubling your money could take much, much longer. So I agree that your first investment is typically not going to be homeownership, it should be your business. But homeownership is definitely something especially once you have a family having that safety, security. And the fact that you're putting your money in from one pocket into the other when you pay the mortgage is definitely a good thing. Instead, this is fourth one instead. Cash flow real estate is the place to protect and grow money. So I actually I, I think this is a massive amount of, you know, Grant Cardone is writing this, he owns Cardone Capital where they do buy and hold and he raises money from investors in the public. And so I think there's a lot of sway here in his mentality. I don't believe that investing in real estate is the only way to grow your wealth. I don't believe that only passive income through real estate, long term holding is the only way to grow your businesses, your income and, and your net worth. Millionaires, yes, many of them are invested in real estate but the vast, far more majority of them are investing in their businesses. And so I think it just comes down to whether or not you want to diversify into real estate at cash flows. But I definitely do not believe that only real estate is the investment vehicle to become wealthy. And passive income, long term buy and hold is also not the only way to do it. There's a multitude of ways to get wealthy and the vast majority of small business owners should focus on their business first if they want to build exorbitant amounts of wealth. Number five, they always buy in bulk. I'm not, I'm not really sold on this one. Basically saying that anything without an expiration date he's going to buy in bulk. This would be things like toothpaste, bottled water. I guess anything that doesn't have expiration you're going to buy in bulk. I don't, I'm not Big believer in this. This is why I think a lot of people, they lead to being pack rats. It leads to them all. If I get, if I buy five, I get the 613. So I should buy five of them. But if there's no expiration date and I'm going to use them in like three years, I should buy all of them. In my opinion, having clutter is literally taking time away from every single day. Just managing it, organizing it, storing it, cleaning it. And the less junk and clutter that I have in my life, the happier I am if I have to make an extra stop at the store or have, you know, Uber Eats or a grubhub or potentially even having like Instacart deliver me an extra few groceries a couple times a year because I'm not buying and bulk like 10 tubes of toothpaste and 10 jugs of hair gel. Like, trust me, I can handle the extra couple dollars in order to have a less cluttered life. In my opinion, clutter is something that slows you down, takes up time and ultimately leads to a lower net worth. Number six, it says that they invest in their network. Alright, so he says that I have never had someone invest in me that didn't know me. And most than real estate I own today was purchased from sellers who picked me over their qualified buyers because we had existing relationships. So investing in these relationships says so time. Invest time and resources into making and maintaining the right connections. This is definitely true. I definitely think it's a positive thing to make good connections. It's easier than ever to do this online. Facebook groups Finding an online community of your small business owners, your niche is extremely important. Find a community where you can bounce ideas off of them, learn from people that have done it before and growing the business to the size that you want to grow your company. Number seven, they are never content. I don't like this one simply because my personal definition of success is contentment. I went to Africa back when I was 18 years old. I went there twice, but one time, the first time I went to Nairobi for six weeks, did a bunch of medical volunteering and then went to a bunch of orphanages. And I saw kids that had nothing. Their parents had basically left them for dead. And these kids were the happiest, most fun loving kids. And their whole day was made over like a little thing of bubbles or a soccer ball. They were so content. And in my opinion, my personal opinion, you've been, you are successful when you reach a place of contentment and the dollar amount of whether or not you are content, I don't feel is directly correlated to someone's happiness. So how much money you make, your level of contentment, I don't, I feel like those variables are not connected. Obviously I do believe that money can buy things that make you happy and in the short term, but I don't think that happiness necessarily directly correlates to contentment. And so these are things that can be debated. But I get where he's coming from, that they always are hungry, they're wanting more, they're wanting more. But it goes against my ethos and that is you're successful when you become content. And if you become content, it actually makes you very dangerous because now you have nothing to lose and you can operate your business from a place of abundance instead of scarcity. I think sometimes people that are never content, they operate out of a place of scarcity and things are going to go away and it could potentially lead to health problems, relationship problems and ultimately affecting the business. Number eight, he says they don't waste time trying to do everything themselves. I think it's extremely important and has delegation in your small business. You have to have systems in place. But once you have systems in place, you got to then find people to be able to operate those systems when you aren't around. Because ultimately the thing that so many small business owners fall into is we simply own a job. And when you go to sell your business, typically what's going to be a value is the assets. Then you like your contacts and your in your contracts, any recurring revenue that's coming to the business, there's value to that. And the third thing that most people never actually build up is the systems and the branding that can outlast the owner. So if you were removed from your business, would the business continue to bring in new leads? Would it continue to get more customers and would it be continue to thrive, grow and increase in profits? That can only be done if you've been delegating, creating systems and ensuring that the brand lives beyond just you and is more systems centric instead of personality dependent.