Business Book Summary of the "The Richest Man in Babylon"

Do you want to own your own business one day? Are you an entrepreneur who currently owns a business or are you an intrapreneur, someone who works within the walls of somebody else's business, but you want to increase your income and your impact? Well, in this video I'm going to share with you the number one book I recommend to anyone getting started in that journey. This book is a finance book, that's easy to read, has powerful concepts. I'm going to review those concepts with you so that you get an idea of what it's about, and I'm going to share that with you. Coming right up.

Hi everybody. My name is Will Humphreys. I'm a physical therapist, but mostly I'm a serial entrepreneur. I've been involved in numerous businesses and when I was in my journey of learning about business, I sought out the richest and most successful individuals I could who I felt were making the biggest impact in the world. And the interesting thing was they all recommended this one book. And that book is the Richest man in Babylon by George Claussen. This book is an amazingly easy book to read and of course I'll put a link in the description below so you can go purchase the audio or physical book right away. But I'm not much of a book reader. This was information that was so simply put in a fable form that allowed me to learn those principles. And even though I haven't mastered them, I am still working on learning how to apply them into my life. What I have applied has dramatically increased my income and my wealth. And I can tell you that any of my clients that I coach, this is one of my go to books that has shaped the lives of multiple people as well. So in the finance world, it's hard to make this information fun and exciting. And in this fable, it goes back to an ancient time in the Middle east where it's a parable that helps people understand the different rules of gold. But the seven things I'm going to cover today are the seven cures of a lean purse. These are actual things mentioned in the book that I've applied and learned and so bear with me as the terminology is going to sound a little biblical. But hang in there with me. I promise the lessons will be very valuable. The number one law to help someone develop a fat purse is to start their purse fattening by paying yourself 10%. Paying ourselves 10% is the number one thing it recommends. Technically, everything we earn feels like it's coming to us, but that's not true. We have bills to pay and especially if we get into debt, that money tends to bleed out elsewhere. The this book recommends the very first thing we do before anything else is take 10% of what we've earned and tuck it away in a savings account where no one can touch it and then learn to live on the remaining amount. As hard as that is, often times what happens is the more money we make, the more we end up spending. And I've learned the hard way that money is like water. If we pour it into our hands, it will just fall between the creases and the openings between our fingers. It needs a solid vessel in order to be retained. And that's what a great savings account can do. The second cure for a lean purse is to control thy expenditures. So number one bleeds beautifully into number two. We have to learn to live within that amount after the 10% that we pay ourselves. The third item is to make thy gold multiply. And I love this because the book talks about how we should make money our slave. Money is an interesting concept in the book because it talks about either we're the slave to money or money is our slave that works for us. So how do we make money work for us? Well, we invest it with individuals who have proven to know what it is that they're doing. Oftentimes we get caught up in get rich quick schemes or multi level marketing schemes. But what this book talks about is finding and seeking out those people who've made money successfully in various domains and using our money to work with them so that when we're sleeping at night, that money is working towards our advantage. The stock market could be an example of that in this case. The fourth cure for a lean purse is to guard thy treasures from loss. This is kind of what I was talking about before. The major losses that we make financially is number one, by not having a container to store our money in and then number two, investing it with people who are there to make bigger returns than are probably likely. We want to invest again that money with people who we can know and trust. The fifth cure for a lean purse is to make thy dwelling a profitable investment. Although many people would say that having a low mortgage rate and using that money to invest is a smart move. This book talks about the power of owning your residence. If we can own our own home, we have a peace of mind that gives us the ability to make decisions that help us stay away from fear and a scarcity mindset. The sixth cure for a lean purse is to ensure a fear income. Now this can be done with that 10% that we pay ourselves. But essentially it says no matter what, every single paycheck, some of that money should be going towards a 401k or an IRA. Any of that 10% could go into that. But ultimately we want to constantly be putting that money out there. And then lastly, the seventh cure to a lean purse is increase our ability to earn. What does that mean? Well, it means investing in ourselves. Watching this video is an investment in your own ability to earn as you learn these different rules. And so as you learn these seven cures to a lean purse, I'm hoping that you'll go out and read the book the Richest man in Babylon. Because these concepts can be applied to a business, they can be applied to a household. And understanding the relationship between those two things as it pertains to these rules can be a life changing experience. What are some of the other lessons that you've learned in creating wealth? I'd love to hear those in the comments below. I read every single comment and will comment on every single one. Thank you again for your time. Until next time.