This is the second book in the Rich Dad series. Robert
introduces the four quadrants and shares with the reader how each person in each
quadrant operates. He goes on to explain the changes needed for a person to get
from the E or S side of the quadrant to the B and I side. He cited the benefits
which come from being on the B and I side which will lead to financial freedom
compared to being on the E or S side. The last seven chapters illustrate how you
and I can get onto the financial fast track through constant and consistent
actions recommended by Robert. After reading
this book, I am well informed of the type of changes I need to undergo and what
it takes to get to the B and I side of the quadrant. It's a total mind-set and
behavioural change as I myself operate out of the E quadrant. The activities
carried out by a person on the B and I side will not make any sense to the
person on the E or S side. Some of the many new ways of thinking emphasized in
the book that I have to adopt are:
1) Working
for free: There will not be any positive cash flow coming in during the initial
period of a start-up.
2) Delayed gratification:
Many people want to solve their money woes instantly. But it's only through
patience and diligently increasing our financial intelligence that we will be
rewarded later on by taking small steps each day.
3) Investing is not risky: Without the proper knowledge and skill,
many people will find investing risky as they have lost money previously in the
stock market or mutual funds through some unreliable source. To them investing
is like gambling.
4) Finding mentors: They are
there to guide you through your journey. They are people who you can turn to
when you run into trouble.
5) Making mistakes:
Expect things to go wrong and learn from the mistakes made. Losing is part of
winning.
6) Time is your most valuable asset: The rich
spend money to save time whereas the poor and middle class spend time to save
money.
This book is a must read for people who
are thinking of embarking on the process of becoming financially free. I would
also like to recommend that you read Rich Dad Poor Dad first if you have not
done so. Rich Dad Poor Dad provides the financial basics and fundamental
concepts needed for Rich Dad's Cash Flow Quadrant.
