Back in 1974, Ray Kroc, the founder of the world's largest food chain, McDonald's, gave a speech in an MBA class After he presented, the students in the class asked if he could hang out with them. While hanging out at a bar, Ray asked them, "What business do you think m in?" Everyone said, of course, it was the hamburger business. He laughed and told them that the real business he was in was real estate Every location of McDonald's was chosen based on the land that it was built on He told them buying a McDonald's franchise meant also buying the real estate under it
The lesson that "rich dad taught Robert was that people usually tend to work for everyone except for themselves. They work for the government for the company they work for, or for the bank that handles their mortgages Schools teach us how to be employees, not employers. They teach us how to become what we study, if you study Science. then become a doctor, if you study Mathematics, then be an i engineer, and so on. This never teaches students the difference between a profession and a business
When you're asked what your business is your reply should not be fm a banker or a doctor That's your profession, not your business. Do not spend your life minding someone else's business and making them rich instead, spend your life minding your own business and making yourself rich Do not leave your daytime job, this is not what this book is supposed to teach you Keep your job, but also invest is assets Keep your expenses as low as possible, and resist the urge to increase your liabilities,
# Owning businesses that do not require you to work full time.
Hire others.
#Real estate that generates income.
#Stocks and bonds.
These are a few examples of assets you can invest in
When buying assets, keep I mind the things you are interested in Robert loved real estate and stocks, especially investing in small companies He kept his daytime job just like "rich dad taught him to. He still minded his own business by keeping his asset column big and steady when a single dollar came into it, he never let it out. When you want to buy luxuries, that's fine. but the huge difference between the middle class and the rich is that the middle class buys luxuries first, while the rich buy them last. You're now ready to know about the rich's biggest secret in the next chapter
