I lived on $0 income for 3 years growing my business…
Summary
- I believe wealth equates to freedom, not necessarily happiness, and managing living expenses is crucial to acquire material wealth.
- As an entrepreneur, controlling spending is vital for growth, but balance is key for a fulfilling life.
- Initially, I had minimal living costs, slept on the gym floor, ate primarily at Chipotle, and drove a paid-off car, enabling me to reinvest in my business.
- Over time, I cautiously scaled my expenses relative to income growth; for example, sharing a rented room to minimize personal expenses while expanding my gym business.
- Investing in growth instead of taking dividends taught me to focus on the importance of securing personal wealth and creating a safety net.
- Living frugally has been a priority; even after income reached millions per month, my lifestyle costs remained relatively low, which was crucial for rapid wealth accumulation.
- Spending decisions were always made by measuring personal value against societal expectations, such as choosing efficient transportation options over luxury for practicality.
- Wealth is about the income-expense ratio; lowering personal expenses increases material wealth accumulation, and I reached my FU number quickly to gain peace of mind.
- The journey is about playing "the game" for passion, not possessions, because wealth provides the ability to pursue genuine interests free from financial pressure.
- I advocate for consistently evaluating the true value of purchases and prioritizing skills development to increase earning capacity, leading to a greater wealth gap and peace of mind.
- I'm driven to reach a billion dollars as a challenge and for enjoyment, maintaining a security-focused mindset without sacrificing the enjoyment of the entrepreneurial journey.
Video
How To Take Action
To manage your money better and grow wealth, here are some steps to follow:
- Live below your means. Lower your living costs whenever you can. If you can eat out less and cook more, do it. If you can share a place and split rent, that's smart.
- Reinvest in your business instead of just spending. More money into your work means it can grow and make even more later on.
- Save up a safety net. Have money set aside so you're secure even if something goes wrong. It feels good to know you're okay no matter what.
- Think hard about what you buy. Ask yourself if you really need it or just want it because it's cool or others have it. Spend on stuff that matters to you, not what everyone else says is important.
- Learn new skills. The more you can do, the more chances you have to make money. Use your free time to get better at your work or learn something that can help you earn more.
Remember, the goal is to make more money than you spend. It's about being smart with what you have and not just trying to show off or buy the fanciest things. It's okay to treat yourself sometimes, but saving and investing should come first so you can be free to do what you love without worrying about money.
Quotes
"Become wealthy the moment you decide you are"
– Alex Hormozi
<<<
"Money will buy you freedom will not buy you happiness"
– Alex Hormozi
<<<
"Wealth is the ratio between income and expenses"
– Alex Hormozi
<<<
"Wealth occurs or you become wealthy the moment you decide you are"
– Alex Hormozi
<<<
"Spend money on the things that you value rather than what society's told us to value"
– Alex Hormozi
