Stay Broke Not Poor

Stay broke! You heard me, stay broke but not poor. What is the difference? Broke is a temporary situation. Broke people have money they just misuse it. Poor is being destitute or lacking sufficient resources. I got this from Grant Cardone’s, The Millionaire Booklet. It also aligns with Dave Ramsey’s concept of naming every dollar.

This is about increasing cash flow and wealth building. Staying broke is a financial strategy to help you reach financial freedom. What does staying broke not poor really mean? First, it means having a monthly cash flow plan (budget). Second, you are practicing delayed gratification. Third, reinvest your money into yourself and your business.

This is for wealth builders. Those entrepreneurs who are not playing average. The average business owner in the United States makes less than $25,000 per year. 91% of all small businesses earn less than $250,000 per year and 80% of entrepreneurs fail within 18 months of start-up. Playing average sucks. So don’t play average.

Perfect Examples

You see examples of entertainers and athletes who get paid big and a few years later are filing bankruptcy. There is no shortage of stories of athletes or entertainers who have filed for bankruptcy or have become broke after a big payday. Top draft picks start buying toys, living lavishly, or making bad business decisions. Entertainers throw big parties, “buy” the bar, and get into debt buying things they can’t afford.