Can you convert your expense into your investment? If you can, it can be a goldmine for Financial Independence. Are you aware of the difference between expense and investment? Yes, of course! I believe most of the people are aware of the difference between expense and Investment. However, very few are aware of the process through which you can convert your expense into an investment. In this article, I am going to reveal a simple concept through which you can do it. A journey to Financial Independence is not an easy task. But with proper mindsets, if you can convert our expense into investment, it can be a goldmine to achieve Financial Independence. Network marketing is the tool you can use for this. Also, it needs a lot of patience and consistent effort.
Category Archives: Financial intelligence
Action to be taken towards Financial Independence depends upon the cash flow quadrant in which you make money
We all have some sort of idea about Financial Independence. I had also explained the kind of mindsets required to achieve Financial Independence. But knowing about Financial Independence and the kind of mindsets needed to achieve Financial Independence is not enough. The result always comes from actions. So in this article, I will explain about action to be taken towards Financial Independence. Actions needed to be taken depend upon the cash flow quadrant in which you make money.
What is difference between Wealth and Income? Leveraging is the key skill to build wealth quickly.
What is difference between Income and wealth? Income is what you earn. Income is usually defined in terms of money. The money that an individual or business earn as their salary in returns of providing a good, services or through investing capital is called income. It involves the flow of cash. While wealth is the net worth that an individual owns. It is equal to the value of all their assets minus all their liabilities. It includes all their assets such as money, personal property and real estate. It takes time to acquire wealth from income. What is leverage? Leverage comes from root word- Lever. Lever comes from an old French word meaning “to make lighter,” which is an apt description of the power of leverage. Similar is the case with wealth. You can use a lever to leverage your money and time to turns your wealth into manifolds.
Cash flow is the king of financial intelligence – a basic concept for beginners
What is cash flow? In literature terms, it seems like flow of some amount of cash. Didn’t it sound weird? In finance, it means the amount of cash or cash equivalent being transferred in and out of a business. But what does it means in a personal life? Have you heard the term cash flow? When did this term get introduced to you? I guess most of the people come across this term when they start their professional carriers and get a job profile to deal with the financial aspects of business of their companies. People from commerce background may have some chances that they might get introduced to this term during their academic education period. Unfortunately, some of the people never get introduced to this term for entire their life. I am asking all these questions because I believe cash flow is the basic key of financial understanding. Understanding the importance of the concept of cash flow, I have termed, cash flow is the king of financial intelligence. In this article I am not going to discuss about cash flow of a business but about cash flow of a personal life.
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