If you want to create wealth, it is essential for you to own a business, according to most millionaires.
You want to make sure you put the right business systems in place and automate as much as you can.
After all, where's the fun in being a millionaire when you never have time to enjoy any freedom?
Trainer, Speaker & Bestselling Author of Secrets of the Millionaire Mind, T. Harv Eker is a serious entrepreneur who is as money-wise as he is wealthy.
He’s generated millions while having loads of fun, creating ample time and abundant resources to invest in a variety of activities to produce even more money and happiness.
Having systemized his empire efficiently, he only works as, if, and when he feels like it.
When he’s at the office, it’s because he loves being there.
Here we’re sharing rich Harv’s perspective on business ownership and systemization.
What kind of business are we talking about here… serious business, funny business, or show business?
To emphasize serious business and despite the jest, Harv insists that it’s not at all against the family-owned establishments, loved and supported by the community in lieu of who owns and runs them with kindness & integrity.
The same applies to every small business where owners operate like that.
Although, in truth, if your company cannot run without you, you’re not genuinely a Business Owner in the entity being referred to here, according to Harv.
Merely starting a company and working for yourself doesn’t make you a Business Owner, he says and adds that it makes you the Business Manager.
Absent systems in place which repeat, reproducing themselves automatically so things keep running without you, that institution, says Harv, more feels like it owns you.
The definition of a business system, according to Harv and many millionaires who agree with him and use this strategy, is ‘A repeatable process that produces a profit.’
If no profit is produced, it isn’t a business system really.
The aim is to design your enterprise to work when you’re not there.
Most people don’t own the corporation, they own the job!
Harv believes that this is self-employment at best!
And even when you employ yourself, you’re still just an employee, and as is the case with most employees you’re not generating real wealth or are likely still broke.
You may be familiar with one Robert Kiyosaki and the Four Quadrants, where...
‘E’ represents Employee - you have employment working for somebody else.
‘S’ represents Self-employed - you own your company but are the sole provider of primary services.
You are basically the primary product.
Without you, your company does not exist.
Therefore the two ways for you to create wealth will be the ‘B’s and ‘I’s’ if you follow Robert’s Four Quandrants.
These represent Business owners & Investors.
To put it plainly, you will only get rich by eliminating limits on your income, Harv affirms.
If your presence is required for value delivery, you severely limit income potential!
And similarly so when your earnings are based on a salary or hourly rate where your income is relative to time.
Because Harv argues that time is far too limited!
And he assures that it’s in no way about putting down the self-employed or the employed, but merely to reiterate the level of difficulty in creating wealth while in limiting circumstances.
Hence the need for re-structuring your thinking, energies, resources, and time in a wealth-producing way.
What Harv presents as the ‘Business Systems Approach’ regards the company as a system of interwoven factors of management, strategy, finance, workers, procedures, processes, suppliers, products, competitors, customers - don’t be fooled, when it’s expanding, it’s one helluva job!
... you’re not really a business owner if that business can’t run without you. -T. Harv Eker
However, the better job you’ve done to get the right talents in your house to balance the systems, Harv says the more time you can spend on vacation and have money to spare!
You’ll never get rich if you are the product of your firm.
Systemizing your enterprise to offer value and make money without your active involvement is key to having a successful business system and having enough free time to enjoy the benefits of your wealth mindset.
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Has your Mind ever wondered...
Profit-producing systems include equipment, processes, programs, and people that run under agile and efficient leadership to sustain repeatable methods and results.
Building a business is much the same as erecting a structure, therefore a strong foundation is vital.
With administration, production, and marketing, you can start automating your empire to generate wealth in your absence.
Quality control is vital in every aspect of each system implemented.
The automation, interaction, and execution of every system in your business relies on effective leadership to run smoothly and for this to be possible, accountability is required in a format that measures performance and highlights areas in need of improvement.