Financial advice is something almost everyone is willing to share. However, it’s always a bit scary to take financial advice from someone you know in everyday life, because chances are good they’re not the best source of information. When it comes to making wise investments, some of the best advice comes from self-made billionaires. After all, they took their own advice and have a nice bank account to show for it.
If you’re going to invest in a new business venture, do it with someone else’s money. There is no shame in asking to borrow from backers and investors. Eli Broad is the founder of a company called Kaufman and Broad, a homebuilder. He’s worth billions, and he borrowed $25,000 to start his business (from his in-laws).
Focus on One Investment
The mistake so many people make is trying to make a ton of money on a ton of investments. The billionaires of the world have many investments, but they advise you start with just one. This makes it more productive. They each start with one, build it up, sell it and use that money to found more businesses and make more profitable investments.
Most of the world’s billionaires studied finance. Why? Because it’s difficult to make money if you don’t understand money. You should take accounting, finance and other business courses that will give you a broad and general idea of how to make and manage finance if you want to see significant success in the business world.
The younger you are when you begin to invest, the bigger the chance is that you will succeed. Most people make bolder and more adventurous decisions in their 20s and 30s, and that often helps them succeed. When you get a bit older and closer to retirement, it’s often more difficult to face the idea of spending your hard-earned funds.
Live Below Your Means
When it comes to investments, billionaires suggest living below your means. You shouldn’t invest it all, and you shouldn’t overspend to help you make more money. Live below your wealth level and watch as your finances grow and your debts shrink.
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