Much of the population today knows much about net worth than cash flow. Most folks today are more obsessed with huge net worth and frequently calculating their net worth and forget the most important variable in the equation, this being, cash flow. I mean positive cash flow!
In the calculation of net worth, everything that we own is added up, including luxury cars, luxury homes, jewelry…think of it. Much of the things that make up our net worth in fact do not put money in our pockets… Instead, take money out of our pockets an example being a luxury car which is a huge liability.
Meanwhile, those that focus on cash flow, focus on acquisition and creation of assets which give them positive cash flow. This gives an opportunity to expand. That is, a positive cash flow will avail funds to you for further investment. As such, people who focus on building a positive cash flow often have ever rising net worth while those that are much interested in the net worth have declining net worth.
On what do you want to focus right now, Cash flow, or net worth?
I’ll leave that to you.

Please like and give a comment about what you think. Thank you 😊

Is Debt good or bad?! Let’s find out…

…you’ve heard that question before right? I’ve been asked that question over a hundred times and this has always been my reply.

I believe debt is good…but for some reasons, it can be really bad that it can lead your business into a tailspin, can cause you to be jailed or you too can massively lose property!!!

While debt can give you so much leverage in expanding your business or your means, it must be noted that debt however small it is, must be handled with utmost care. I always say debt is like tending to an occupied beehive, when handled well, you shall surely reap alot of honey…but when handled poorly, you’ll be stung by the bees😁.

Good debt to me is debt that brings you positive cash flow every month as you service it. And most times, I say good debt is one which someone else pays for you. Buy someone else, I mean your businesses or assets.

Its unfortunate that many millennials today use debt to support their ‘look rich’ lifestyle that they are so entangled with bad debt that they have to get a debt to offset another one. This makes you a slave!

Always remember that debt can make you so rich and on the other hand, it can also make you a very poor slave so you gotta handle all your debt well so that it can work positively for you.

In conclusion, I’d suggest that all debt is good, it’s either you or me that makes it bad.

Please leave a comment. Thank you for reading.