Before we get into the financial rules we should get an idea of who is Robert Kiyosaki and why we need rules and regulations to control money.
Robert Toru Kiyosaki is the founder of Rich Global LLC and the Rich Dad Company, a private financial education company that provides personal finance and business education to people. And he became even more famous with the release of his Rich Dad Poor Dad book, which sold millions through Amazon.
However, everyone prefers to become successful at a young age, but the truth is it is not easy as it sounds. There are so many things to know to become a successful entrepreneur in a short time. And all we know is that the game is around the money, and the goal is not the money; the goal is financial freedom. But to achieve financial freedom, we have to know about financial rules that rich people follow, and we should learn how to implement those financial rules in our life.
Many people struggle with their money because of unnecessary expenses and fear of money. Also, the lack of financial education is one of the main reasons for the lack of financial independence. That’s why we thought to share these money rules for everyone who is willing to succeed in their life financially.
So here are the money rules and regulations that Robert Kiyosaki explains for entrepreneurs to become successful in their life by maintaining their wealth correctly and effectively.
#1 You Should Be Able To Make Money While You Sleep
Money is an important thing in our daily life, yet many people make money from their jobs. As the first financial rule, Kiyosaki has said that working for money is not the way to become successful and achieve your financial freedom. Yes, it’s okay to do a job and make money!
But the problem is salary cannot make you a rich one because the salary depends on your work and business state. If the business gets lose, your salary will decrease immediately, yet the business owner has the fundamental right to dismiss you. So your job is like a dewdrop on the end of the grass. That’s why you should make money while you sleep.
If you’re working for a good company and you’re happy there, and you’re being compensated accordingly, and your work satisfies you, you should stay thereRobert Kiyosaki
So how to make money while you sleep? It’s so simple and not requires a lot of effort, but it will definitely take time. There are so many passive income streams today to make money while you sleep, for example;
- Investing on shares
- Starting a blog
- Starting a YouTube channel
We have already discussed 31 effective passive income streams that make you rich while you sleep. So hope that will be helpful to get more ideas to choose your best passive income stream as your budget and skill.
#2 Hard Times Bring New Opportunities
Every person in this world has a hard time that causes their life to change. Also, during that period of time, many people fall mentally because they cannot afford the pressure. The only real entrepreneurs face their hard time correctly and straightly. They know how to maintain the problems as per their needs.
For example, many people are trapped in their homes because of Covid19. Some people have lost their jobs and some have to stop their businesses. Somehow a lot of people got into a very difficult situation due to pandemics. But every door is not closed. We know that one door close, another door will open. So that’s what we called opportunity.
Most people never get wealthy simply because they are not trained to recognize opportunities right in front of them.Robert Kiyosaki
As this financial rule, the thing is the same. When you got into a difficult situation, new opportunities come to you. For a better example, many people tend to make money from home after getting trapped at home. Also, those opportunities will make new income streams to be successful financially.
#3 Keep The Focus On One Stream
The focus is more important when it comes to businesses. If one focuses only on money and not on productivity and others, everything will be gone in a matter of minutes. Also, it depends on your business. We have already discussed what the cash flow quadrant is, as Robert Kiyosaki explained, so we need to focus on that at this point.
For example, if someone manages few businesses, he must pay attention to all the aspects assigned to him. But the main focus is business. When it integrates into our lives, we should focus on our businesses and income streams. Many people get lost their focus in this time because everyone prefers to make money and be successful in easy ways. But then they get trapped for schemes easily. This will mainly occur when someone doesn’t know the financial rules well.
The pyramid scheme is the best example of it. If someone said to invest and more will return, anyone spend their money without thinking twice because they have no focus on one income and one business. So they ruin their money that way due to a lack of financial knowledge and rules.
Yes, it’s okay to have more income sources, but at the beginning, you must keep the focus on one. So, become successful on one income source, then jump to more and more with the experience of the first one.
#4 Don’t Just Save Your Money
As the last rule that Kiyosaki explained about money is don’t just save your money. Wait a minute, so shouldn’t we save our money?
Absolutely not. You should save your money, but Kiyosaki has said that it’s fruitful to invest money than saving because money cannot grow by keeping it safe. But the problem is a lot of people afraid to invest because there is a risk. By investing wisely in the right source you can become a millionaire as soon as possible, and if not, you can fall to the extreme.
But entrepreneurs should take risks. Here are 7 Simple Principles to invest your money wisely
- Start investing as soon as you begin earning.
- Use automation to stay disciplined.
- Build savings for short-term goals and emergencies.
- Invest money to accomplish long-term goals.
- Leverage tax-advantaged accounts for faster results.
- Choose investments based on your budget.
- Avoid investment funds with high fees.
One of the greatest investors, Warren Buffet also said that;
Before you invest something, invest in the time to understand it.Warren Buffet
The reason Buffett says so is that the risk depends on how well you know what you are going to do. The real entrepreneur studies well and gets huge rewards.
Everyone can tell the risk. An entrepreneur can see the reward.Robert Kiyosaki
Think about making more money without saving more money, so then you can be financially secure easily. If you are afraid to invest or play with money, the money will limit without growing.