In today’s episode, we will continue with our monthly lesson from the book by George Clason’s The Richest Man in Babylon. Today’s lesson is the 5th cure for a small account balance, which is simply: Make your house a profitable investment, or in other words, own your own home.
“Gold slips away from the man who invests it in businesses or purposes with which he is not familiar, or which are not approved by those skilled in its keep.”
“To the man who has gold, yet is not skilled in its handling, many uses for it appear most profitable. Too often these are fraught with the danger of loss, and if properly analyzed by wise men, show small possibility of profit. Therefore, the inexperienced owner of gold who trusts to his own judgement and invest it in businesses or purposes with which he is not familiar, too often find his judgement imperfect, and pays with his treasure for his inexperience. Wise, indeed, is he who invests his treasures under the advise of men skilled in the ways of gold.”
In this first of two episodes, Keith discusses three strategies for Private Lending with less than $50,000
While earning cash flow and saving a portion of it is but the first step to generating wealth, the goal is to compound the interest so that it will generate more money and wealth, continuously.
Today’s topic is about lending to an entity instead of a person, and what you need to do in order to protect your money. SO let’s get down to the brass tacks and discover why you will always demand and require a personal guarantee when lending to an entity.