The other day I was talking with my wife Claire about the secret of the rich; that the amount they are worth is disproportionate to the amount they earn. Think about, if you have a small business with a small team making $250K profit per annum, then you probably have a business worth a multiple of 1-2x so you’re worth between $250K and $500K.
If you invest in the business and increase the profits to $2M per annum over a three year period, then depending on your industry that business is now probably worth a multiple of 4-7x, so you’re now worth between $8M to $14M.
So what you’re worth is far more than what you’ve made.
If you just focus on what you’re dropping out the bottom right now then you are in danger of missing the real value that your business can be worth in the future.
That’s why the rich get richer disproportionately; they focus on longer-term value not just shorter term wins.
In arguments, we often want to be right. But being right is not the same as being wise.
One of the greatest lies we tell ourselves is that we’re falling behind. That someone else is ahead.
As a young man I associated strength with force; louder voices, sharper opinions, firm lines in the sand.
There’s a strange kind of pride we’ve developed in being exhausted. But even lions, the king of the jungle, rest.
I can't remember a time in my life when I didn't have ambition.
We sometimes believe strength means self-sufficiency — that being independent means being isolated.