How to use the power of Leverage to make money.

Leverage comes in many forms. One of the recognized forms of leverage is the leverage of borrowing money. There's an overused story about three birds sitting on a fence. If two birds decide to fly away, how many birds are left? The answer is, three birds are left. The lesson is, just because you decide to do something, it doesn't mean you will do what you decide to do. Thus, in the real world, less than 5% of the U.S population is rich because 95% of the population may want to be rich but only 5% takes any action. The three main assets that make people rich: 1.) Real estate, 2.) Paper assets and 3.) Businesses.

The three paths to great wealth: increasing business skills, money management skills and investment skills. The most important word in the world of money is cash flow. The second most important word is leverage. The reason so many financial advisors are called brokers is because they're often broker than you. So be careful from whom you take advice. Other forms of leverage: health, spare time, education, good relationships and using the right tools e.g. the internet. The average person who avoids losing and expects to win 100% of the time is the person win often has the loser's strategy. Thus, some professional marketers compute their marketing campaigns on a 2% return, some even lower. They know how to become very rich winning just 2% of the time and losing 98% of the time. Many losers bet only on sure things such as job security, a steady pay cheque, a guaranteed pension and interest from a bank account. 

Our mind is our most powerful tool of leverage. Whatever we think is real becomes reality in most cases. Just as people said to the Wright brothers, "humans will never fly" and Christopher Columbus, "can't you see the world is flat?" People will always have their own realities. People who try to become rich by being cheap, being frugal, not spending money, living below their means, and scrimping. Most people don't become financially strong with that type of behaviour. There however good and bad expenses. If you want to become healthier and wealthier, you need to go beyond your reality. You need to live your life in the realm of new possibilities. The good news is that if you do consistently go beyond your limits, you gain the best leverage of all. Thus, if you truly want to retire young and retire rich, the place to start is with your own realities.