Robert Toru Kiyosaki was born in Hawaii on April 8 1947 to a Japanese/American parents.
After moving to New York and graduating from college, he joined the Marine Corps as a helicopter gunship pilot. He served in the Vietnam War and was awarded the Air Medal. He left the Marine Corps in 1974 and joined Xerox Corp as a salesman in the photocopying company.
In 1977, Robert started a company selling velcro wallets for surfers. He had some initial success with the business but it finally had to be closed down.
In the early 1980s he started another company making T-shirts for heavy metal rock band but the business failed again and he had to declare bankrupt and allegedly became homeless. These early failures taught many important lessons for this soon to be Successful Investor, Entrepreneur and Motivational Speaker.
The turning tide of failure into success began one night when he, his wife Kim, and his friend Larry, went skiing in Vancouver, British Columbia, on Whistler Mountain in December 1984. They were all feeling down after their failures when finally Larry said, “Why don’t we write a plan on how we can all become financially free ? We’ve talked about it many times but I think it is time to stop talking, stop dreaming, and start committing. Let’s write it down and once we write it down, you know we have to do it.” That night was the start of a commitment for the three of them to turn their lives around.
Robert went on to be successful in his real estate ventures and briefly retired at the age of 47, after achieving the Financial Freedom he planned for that night.
Robert has written 18 books with combined sales of over 26 million copies. Three of his books, Rich Dad Poor Dad, Rich Dad’s CASHFLOW Quadrant, and Rich Dad’s Guide to Investing, have been on the top 10 best-seller lists simultaneously on The Wall Street Journal, USA Today and the New York Times.
A large part of Kiyosaki’s teachings is focus on generating Passive Income. This is done through investment opportunities such as real estate and businesses. The ultimate goal is to be able to be financially free through the cash flow generated by your assets.
Robert’s simplify financial learning for the layman. Many people got into trouble financially because of their inability to understand the difference between an asset and a liability. Robert simply defines “assets” as things that puts money into your pocket and “liabilities” as things that take money out of your pocket. This definition makes it crystal clear what these terms as and this is important in order to start the process of reaching Financial Freedom.
One of the key concepts that Robert espouses is the concept of “The Cashflow Quadrant”. Simply put, this quadrant explains the four main categories how money is earned. The quadrants are described as follows :
• E : Employee — You have a job and working for someone else
• S : Self-employed or Small business owner — You own your own job and is your own boss.
• B : Business owner — You own a “system” of making money, rather than a job to make money.
• I : Investor — You use money to make more money
The Key to Financial Freedom is to move to the right side of the quadrant. This is the quadrant where true wealth resides. So even if someone is working for a company, they need to still mind their own business and build their wealth on the right side of the quadrant.
Another key concept in Robert’s teachings is the concept of "Leverage". Leverage is achieving something bigger with something smaller. There are many types of leverage. Leverage of the mind for example, means that you need to make use of your mind to achieve almost impossible dreams. If your mind is constantly limited by sayings like “I can’t afford it”, “It is too risky”, “I can’t do it”, then you will almost certainly not achieve anything in your life. However, if you expand your mind and say “What do I need to do to afford it”, “How can I manage the risk” and “I can do it”, you are using the leverage of your mind to achieve the impossible.
The next important concept is the concept of the “Speed of Money”. To understand this, let’s ask the question “Would you rather make $100,000 or $10,000 ?” Most people would say $100,000. But if you rephrase this question as “Would you rather make $100,000 in 1 year or $10,000 per week ?” then a different perspective comes into play. You see, the time factor is important in wealth accumulation. The richest people make money faster than anyone else. A billionaire makes money faster than a millionaire. A millionaire makes money faster than the middle income. So it is important to choose your investment and make your money in the shortest time that is safely possible.
Robert’s key financial concepts shook the world with his first book “Rich Dad Poor Dad”. Robert has managed to simplify complex financial concepts to make it understandable to the masses. We are living in a world that is going through a lot of upheaval and these simplified ways of explaining financial concepts will go a long way in allowing more people to take control of their financial future.
To Your Success
Wingcent Ning
Success-Biz Marketing
wingcent@gmail.com
http://mysignaturebusiness.blogspot.com
Singapore
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