For many people, financial independence is much more than the ambition to pay bills easily. It is about breaking out from a poverty cycle. You usually have to contend with the limitations experienced by your parents or in your family. And for those in Africa, there is also that spiritual undertone. However, the good this is, your background does not have to define the reach of your success. And yes, it is possible to break out of poverty. Here are a few thoughts on how you can.
Change your mindset
I did not come from a poor background but I came from one where my family didn’t understand money. From how to use it and make it work for you. Money can be your master or your servant. I had to learn quickly how to make money serve me. How? By changing my mindset towards it and seeing it as a tool to get more money rather than. Your mindset is everything- change it by reading books and getting educated on money
Have more than one source of income
Depending on one stream of income is not the wisest especially not in today’s world. Explore the backgrounds of those that escaped poverty and built wealth and you will see that they learned quickly to diversify. The most successful organizations are meddling in different products to ensure they can keep revenues up. Procter and Gamble have over 100 products. Banks offer savings, checking, loan accounts etc. Uber went from offering just rides to other services like Ubereats. Diversification is key to creating and sustaining wealth.
Save/Invest your way out of poverty
We have all heard stories of people winning the lottery and within a short period, the bounty is all gone. To bring it even closer to home, we have all heard of celebrities going bankrupt. Think of Mike Tyson, even the legendary Michael Jackson. One celebrity I have come to respect the heck out of is Serena Williams. She invests her winnings and profits in multiple projects and real estate opportunities, building wealth for generations yet unborn. You might not have the financial bandwidth of Serena but start where you are and watch wealth grow.
Educate those around you
We all know the adage that it takes a village. Building wealth takes a village as well. You can be the richest person in the world but if the closest people to you are poor, you are as poor as they are. We are all as strong as our weakest link. As you educate yourself on building wealth, educate others around you. Teach them to fish and hunt (diversify…) Teach your children to sustain the wealth you have built.
Surround yourself with wealthy people
This tip is related to the previous. By surrounding yourself with successful and wealthy people with the same goals as yourself, you are able to stay focused on creating and sustaining wealth.
What tips have worked for you in wealth creation and breaking the cycle of poverty?