Good evening my fellow investors and potential investors Today’ topic is
Leverage – The secret of the rich and wealthy
In thousands of years,the rich and the wealthy have been using different forms of leverages to climb to the palace of riches and wealth. Nobody brings riches or wealth from Paradise. It is the principle of sowing and reaping that is in operation in leverages.
As Robert Allen said ,without leverage ,you cannot be wealthy. Leverage is two edge sword.The right use of leverage bring riches and wealth while the wrong use of leverage bring poverty and pain.
Leverage .Interesting word. What does it mean?
The root word is lever.Archimedes, the Greek genius who lived about 200 B.C.discovered that with levers and pulleys he could move more huge objects with a small amount of force. He is said to have boasted,”Give me the place to stand,and a lever long enough and l will move the earth.”
# leverage is the ability to achieve more with little.
# leverage is earning 1% from the efforts of 100 people than 100% of one’s effort.Here you make your 100% faster,simpler and easier.leverage equals speed
#. Leverage is the use of help of other people to achieve greater result which you can’t get alone as quick as possible.
# leverage in the financial world means controlling a large amount of wealth with a small amount of money.leverage is the power to control a lot with just a little.
“Poverty is when large efforts produce small results
Wealth is when small efforts produce large results” David George
There are nine basic kinds of leverage:
- OPK – Other people’s knowledge.
- OPE- Other people’s experience
- OPM- Other people’s money
- OPS- Other people’s success
- OPF- Other people’s failures
- OPI- Other people’s ideas
- OPC- Other people’s contact
- OPT- Other people’s time
- OPW- Other people’s work
OPM is the most popular kind of leverage because it is the leverage ,where money is borrowed. This can be good debt or bad debt.It becomes good debt when you use it as the rich and wealthy do.All the types of debt is a leverage.
Robert Allen said,” leverage equals speed if you want to create wealth, you need leverage .lots of. It.”
To learn more about leverage. Please read these two classic books:
#. Focal Point by Brian Tracy
#. The One Minute Millionaire by Mark victor Hansen and Robert Allen.
See you at the top