The BEST finance book for entrepreneurs!
This book really isn't what it seems on first sight! Yep, I also sigh heavily when I normally read those book titles. “How to get rich fast”, “follow this easy strategy to become wealthy easily!”, “follow these steps to make a successful business!”
All those titles logically sound like scam to me. But, nonetheless, I read this one. I often choose my book with a lot of research and recommendations, and this book got recommended surprisingly often, so I thought I could give it a try.
Damn, I certainly got blown away by everything that got said in that book.
What the heck goes on in that book, then?
Foremost, MJ DeMarco is completely going against conventional wisdom. At the beginning of the book, MJ tells you, simply put, his story and what he learned when becoming a multimillionaire. He then goes on that this book simulates that you, the reader, and him sit down in a café and have a big chit-chat about becoming wealthy.
He wants to tell you what he wishes he had known, all in this 300-page book combined and explained with a creative car analogy. For example, you are your vehicle, which has the primordial fuel: time, occasionally needs oil which is education, and the road you drive is the path you choose.
Every chapter of the book has many key takeaways which are repeated in practical little bullet points at the end of every chapter.
He also introduces you to 3 roadmaps or even lifestyles you can select. The first, being the sidewalk which is defined by impulse spending habits and financial illiteracy. Then there's the slowlane lifestyle, where you follow a fraud plan to be rich at the twilight of your life, which involves living below your means. And last being the fastlane which is presented to be the minority lifestyle, where you let time work for you instead of the opposite and by that become rich in 5-8 years and not 40.
To finish off the summary of the roadmaps: the sidewalk has no plan, the slowlane invests in index funds which accumulate wealth over time thanks to interest and very, very slow exponential growth. Especially the sidewalk, is what society teaches us, and we have to break free from the easy routes if we want to pursue our dreams.
I aim to give you x key takeaways that I am able to summarize. If you wish to learn more in detail what happens in that book, though, then I'm afraid that there's no other way than to actually buy and read it.
1: Wealth is not only money, but…
actually made of 3 components. First is family and social life, second is your health and fitness, and third is financial freedom. If you actually live in favor of that wealth trinity, then you will have a superb life.
2: A lot of money doesn't solve a bad financial plan
Even if you have a lot of money, you could still be spending it badly. Investing millions of millions into a bad business also won't resolve the fundamental problem of that business. To get financially educated and by that invest your money more wisely is one of the most important components to resist poverty.