(reference : Dan Lok)
I want to share with everyone one of the internet leading KOL on wealth creation in which I find he puts a lot of everything in good context and summaries points. Enjoy!
The Harsh Reality
Take any hundred people at the start of their working careers and follow them for 40 years until they reach retirement age.
Only 1 will be wealthy
4 will be financially secure
5 will continue working, not because they want to but because they have to.
36 will be dead.
54 will be dead broke- dependent on relatives, friends, government or even charity for a minimum standard of living.
That’s 5% successful, 95% unsuccessful!
Success is ultimately and fundamentally about behavior.
Not attitude, not upbringing, not education, not skill, not luck, not capital.
If you improve yourself your business will improve.
LOKSIM: “Most entrepreneurs are far too focused on trying to manage their businesses better, rather than on managing themselves better.”
4 Common Inner Conflicts That Are Holding You Back
#1 – Negative association with money and wealth (Money is not that important)
The negative associations come from the 95%.
Consider the source of your information and beliefs.
Be aware of what you put in your mind.
Money doesn’t change you. It amplifies who you are.
# 2 – Overly sensitive to others’ opinions and perceptions, criticism and gossip, outright attacks. (I want to be nice)
You need to develop a thick skin. The more successful you become the more people will hate you.
# 3 – Fear of changes required or caused by higher level of success… secret sense of being “not good enough” or “worthy”
Thinking you are not good enough.
Being afraid of change.
#4 – Realization of unwillingness to pay the price, but equally dominant unwillingness to admit it. (self-sabotage behavior)
It’s really tough to build a successful company.
Most people go through life with their brakes on. Release the brakes.
Low 6-figure earners can operate with relatively high levels of unresolved inner conflicts about money and wealth. Millionaires have no margin for such weakness.
Millionaire Mindset Wealth Principle #1 Think Abundance Not Scarcity
Most people don’t know how to handle large sums of money.
Most lotto winners become depressed or broke in just a few years (example: powerball jackpot winner James Hugston dies of cocaine overdose with hookers).
If you know how to make money and you lose it all you can always make it again.
“If you believe wealth is limited, if you view it as a zero-sum game, if you believe that each dollar you have came to you at someone else’s expense, you gain another’s loss. That keeps your wealth attraction power turned down. Never to full power.”
Make more so you can give more
Create Wealth Triggers around your home.
Pay your bills right away to get them off your mind.
Don’t keep them on your fridge to look at every day.
Use a $100 Bill as a bookmark.
Millionaire Mindset Wealth Principle #2 Think Needs Not Money
Chase needs not money
Thinking alone never made anyone rich, unless that thinking manifests itself into consistent action toward application of laws that work.
Retrace the source of millionaire money and you will find millions of something. If you want to make millions you need to help millions of people. If you want to be a billionaire you need to help billions of people.
Millionaire Mindset Wealth Principle #3 Think Process Not Event
Millionaires are forged by process, not by events!
All self-made millionaires create their wealth by a carefully orchestrated process.
Wealth is a process, not an event.
Process makes millionaires! Events are by-products of process.
If you try to skip the process, you’ll never experience events.
Making money is easy. It’s the function of sales and marketing. Keeping it and growing it is way harder.
Always look out for ways to improve your process.
Learn from people that have done it.
How did you do it?
Can you show me the process?
What are the mistakes?
What should I look out for?
What worked?
What didn’t work?
How do you manage your team?
Why are you not getting results?
You need feedback from a master.
Practice + Mentor.
Make sure you are practicing the right way.
You can always do more and expand your comfort zone.
A mentor can see things you can’t.
Do something 10,000s of times to master.
Takes a lifetime to master something.
Pride holds most entrepreneurs back- they don’t ask for help.
Don’t ask people that don’t know what they are talking about.
Millionaire Mindset Wealth Principle #4 Think Simultaneous Not Sequential
Most people are conditioned starting in early childhood to try progressing in strict linear fashion, in single, sequential steps.
Business is not linear.
There is no magic pill for success.
There is no road map for innovation.
Most entrepreneurs end up being trapped by a limiting belief that there is and should be an order to things. They expect a logical movement from step 1 to 2, 2 to 3... But millionaires juggle many things simultaneously and take massive action.
Sequential thinking
Cut expenses and reduce losses.
Negotiate with creditors and government.
Re-design product line.
Launch one new product line a year for “X” consecutive years.
New advertising and marketing.
One change at a time.
There’s NO Law of Sequential.
What you want to do is drag the future toward you in the present, not wait to catch up to it at some distant time and place.
Nothing gets done without a deadline
Time blocking – Start and end time for every activity.
Make the feeling of being overwhelmed your friend
Link it to something positive.
I’m overwhelmed and that means I’m growing.
Progress not perfection.
Millionaire Mindset Wealth Principle #5 Think Environment Not Willpower
People
Energy
Location
“The people you hang with most and the books you read will determine who you become in the next five years.”
LOKSIM: “If you don’t alter the environment, there’s NO implementation.”
Millionaire Mindset Wealth Principle #6 Think Accomplishments Not Activities
Results are all that matter. Not your opinion, not your mother-in-law’s opinion, not the opinion of non-buyers.
Productivity is the use of your time, talent and energy and resources in a manner calculated to move you progressively closer to worthwhile goals.
Lokism: Priorities should govern schedule, schedule, shouldn’t govern priorities.
Most entrepreneurs are producing 90% of their income and wealth from only 10% of their time.
A slight re-adjustment in time investment can multiply income.
Only very few entrepreneurs take the time and trouble to carefully and analytically study their present customers or clients.
Even fewer entrepreneurs analyze their own activities and time usage the same way.
Stop being I got to do this person. Results are all that matter.
Money loves speed.
Money loves clarity.
Money loves to circulate.
Schedule shouldn’t govern priorities. Priorities should govern schedule.
Work with no distractions.
Train your customers how to treat you.
Go into calls prepared.
Ask people to make appointment.
High performance is single focused.
Millionaire Mindset Wealth Principle #7 Think Assets Not Income
Need For Leverageable Assets & Leverage of Others.
At low 6-figure: 100% of income can come from work.
At above mid 6-figures: at least some portion must come from leverage, not just work.
To achieve 7-figures: 25% – 30%+ from leverage.
To sustain 7-figures: 60%+ from leverage.
LOKSIM: Few entrepreneurs get to and sustain millionaire status purely through work. You must own income-producing assets, not just “make money”… you have to utilize, manage, leverage assets as assets.
ASSETS
Customers
Brand / reputation
Intellectual Property
Technology
Process
Territory
Connections
Key people
Investment
Usually, your own assets aren’t even enough
OPM: Other People’s Money
OPR: Other People’s Resources
OPC: Other People’s Customers/Connections
Millionaire Mindset Wealth Principle #8 Think Global Not Local
Impact Millions to make Millions
Examples:
Millionaire Mindset Wealth Principle #9 Think Investment Not Expense
Think: How much will this make me? VS. How much will this costs me?
Millionaire Mindset Wealth Principle #10 Think Resourcefulness Not Resources
Most people wait for the things to come along: time, resources, circumstances...
Resourcefulness is driven by a constant desire and process of self-help and information gathering.
Poor People: “There’s nothing I can do.” vs Unconventional Millionaires: “There’s ALWAYS something I can do.”
What are you waiting for???
Permission?
Experience?
Certification?
Acceptance?
Timing?
Money?
He or she to do his / her part?
Team?
Millionaire Mindset Wealth Principle #11 Think Collaboration Not Isolation
If you operate on your own you’re fucked.
Who’s backing you up?
Have so many people backing you up that your competition has no chance.
The best way to win is not to fight. The battle is won before it’s fought.
Who can you partner with?
Join a group where everyone is way more successful than you.
Millionaire Mindset Wealth Principle #12 Think Pragmatic Not Idealistic
Always Remember Murphy’s Law!
Whatever can go wrong, will go wrong!
It will go wrong at the worst possible time!
It will go wrong on the worst component!
It will all be remembered as your fault!
There’s a 4th:
Those who anticipate what may happen and act before it does.
Millionaire Attitude: Aggressive, anticipator, response to threats. (political, regulatory and legal, competitive, or internal).
WHAT WILL GO WRONG NEXT?
Your advertising (traffic source) will stop working.
Your favorite media will be taken away from you.
Your products will be knocked-off.
Your customers will be pursed by new competitors.
Your competitors will badmouth you.
Your customers’ preferences will change.
Your best employee will leave.
Your lifelong friend or relatives will stab you in the back.
Your business partner will steal from you.
Your brand will be hijacked by somebody else and they will sue you for it.
Your key vendor will go out of business without warning.
Your investments will go bad.
What will go wrong next? What’s your backup plan? Be prepared.
Millionaire Mindset Wealth Principle #13 Think Big Not Small
It’s not how much you know but how fast you can implement.
Most people overestimate what they can do in a year and underestimate what they can do in decade.
Donald Trump’s Top 10 Rules For Success
1. Don’t do it for the money 2. Never give up 3. Be into the details 4. Be totally focused 5. Get great employees 6. Work hard 7. Follow your instincts 8. Believe in yourself 9. Have a messy desk 10. Love what you do
Millionaire Mindset Wealth Principle #14 Think Fast Not Slow
It’s NOT how much you know, it’s how FAST you can implement!
Millionaire Mindset Wealth Principle #15 Think Innovation Not Invention
What is Innovation?
Creating new value
Untapped customer need
Capturing value in a new way
Innovation is creating new value and/or capturing value in a new way. Innovation is something new to your business that fills an untapped customer need. For unconventional millionaires, innovation actually means innovative TRANSFER of proven methods or strategies from outside their field into their field.
Do yourself a favor, right now, realize two things:
1. You will keep getting older, and then you will die.
2. Everything that’s ever entered your experience has lasted and will continue to last for only a brief moment in the life of the universe.
Stop wondering what it all means and how you’ll possibly do X and what people will think and get on with your life already.
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