Today I'm gonna review some of the insights from this book and I will tell you easy ways to make money. The Millionaire Fastlane. I thought that this was gonna be bad when a friend recommended it to me. And when this friend said, "No, trust me. Ignore the clickbaity title, The Millionaire Fastlane, and read the book because it's genuinely really good. And it is genuinely really good. This is the only best book I have always read on how to build a business that makes money.
We're gonna be breaking down 5 key lessons from the book. And also, the five commandments of building a business. How to get rich quickly.
Lessons To Make Money and Get Rich Quick
- Avoid the slow lame
- Work the process
- Build money trees
- Switch of being a consumer to a producer
- Show Commitment, don't show just interest
1. Avoid the slow lame
Now, the first great lesson in the book is that we need to avoid the slow lane. It's very possible to get rich quickly, but it's not at all quick to get rich easily. And so, if someone is easy to sell you that it is easy to get rich, that is a scam and you should avoid it. And one of the interesting things that he talks about in the book is the idea.
There are three paths through life,
- The Sidewalk
- The Slow Lane
- The Fast Lane
Sidewalk
The sidewalk is basically where people who are living paycheck to paycheck living, people who don't have a lot of money. I'm not gonna talk concerning it too much. It's a little disparaging. It's very American style. Sort of a very brash way of describing it that he does.
Furthermore, similar to, "Your life is changed because you accept that the public authority is applying you over," all that sort of material. We're not gonna talk concerning that too much. There are a few bits like that in the book where you have to kind of read or listen to it with a little pinch of salt.
Slow Lane
The slow lane is interesting. Because if you follow the slow lane, you can still get rich. And the slow lane is generally, probably your parents' generation stood by the slow lane.
The idea of the slow lane
- You go to school
- You get good grades
- You get a decent job
- You work your way up the ladder in your job, whatever your job is.
You save some percentage of your paycheck. You put that into investments, maybe in the stock market, if you're particularly rogue. But probably, you know, you should invest in property and real estate because the property is a good investment. And over time, eventually, you will have enough of a nest egg such that when you retire, then you will be rich.
And you can enjoy your retirement at the age of 65 when you have osteoarthritis in both of your knees. That is, basically, the idea of the slow lane.
Slow Lame Traps
- The Safety Trap
- The Time for money trap
- The Belive Trap
The Safety Trap
The first trap is that life in the slow lane looks like it's pretty safe. You can think that "Okay, once I get this job then my life is pretty safe and I'm pretty sorted." But if the pandemic has taught us anything, and if, you know, the way the world is at the moment, it's not that safe. You could lose your job.
If you're, fine, if you're a doctor or something like that, where you're unlikely to lose your job, that's still pretty safe. But even so, what he says is that there is a tonne of other unexpected events that happen in life. Like if there's a market crash like there was in 2008, or if you have kids, Or if you get divorced.
Or if you have a health problem and you live in a stupid country, like America, where that could potentially bankrupt you. There are all of these fairly common, unexpected events that can happen in life that make life in the slow lane not as safe an option I've been for our parents' generation.
The Time for money trap
The second trap that Slow Laners can fall into is this idea that if we build our intrinsic market value enough, then we will get rich. So, for example, these are the people who think, "Okay, I've worked my job for two years. Now I'm gonna go and get an MBA and pay like however many tens of 1000 dollars to get an MBA.
Because then once I have that degree, then I will be worth more to my future employer." But the problem with that style of thinking is that it's not the fast-lane approach to building wealth. It is still, ultimately, trading your time for money. And yes, fine. If you get that extra degree, if you get that extra qualification, your time will be worth more.
A little bit more, maybe even significantly more, but ultimately, you're still just trading your time for money. And that is a very slow-lane way to approach building wealth.
The Belive Trap
The third trap that Slow Laners can fall into is just fast lane believing it's possible to get rich quickly unless you're super lucky or super talented. But, everyone can't get rich easily, which is not a thing, you can get rich relatively quick if quick is 10 years. 10 years is the definition of quick, which to be honest, it's pretty quick.
But a lot of us, when we think "get rich quick", we're thinking a few weeks. That is not a thing. What he's arguing for is a process that will take probably around 10 years to get rich quickly. That is quick, in his book.
2. Work The Process
Now in the book, he talks a lot about how wealth is not an event. Like, getting rich is not this sort of binary thing where one day you're living paycheck to paycheck and the next day suddenly you've got millions in the bank. It is a long-drawn-out process that takes usually many years to do.
But the problem is that they quickly often report wealth as being an event, and those are the stories we latch on to. One of the stories he talks about is this guy, John Darius Bikoff, who founded Glaceau Vitamin Water in 1996. 11 years later he sold the company to Coca-Cola for $4.1 billion. And in that 11 year-long stories, the thing that people remember is the event.
But what they long are the process of 11 years that took so long to get to that point. Therefore, wealth building is not an event, it's a process. And it's the same thing with building a creative business, building a YouTube channel. You know, it's easy to see creators and their overnight successes, and all that jazz.
But you don't see the five years they spent making 11-year-long one was watching to get to the point where they could then have the "event" of the overnight success.
3. Build Money Trees
Now we've all heard that phrase that money does on trees. But what he says in the book is "Money does grow on trees, provided you build a tree that grows money." So what does this mean? They need occasional help and sustaining, yet they make due all alone, making a substitute for your time for cash exchange."
Basically what we're doing is we're building a business. We're building this money tree where the amount of wealth we can generate is not directly tied to the amount of time that we're putting into it. That's us to the next question,
Which do we build a money tree?
There are 4 different types of money trees that we could potentially build.
Money Trees
- Rental system
- Distribution System
- Software System
- Content System
Rental system
A rental system is anything that involves renting out something that you already own.
- Real Estate
- Licencing
Real Estate
So if you have a bunch of real estate properties, and you rent them out, that is a rental system. The problem to it's very hard to get to the point where a bunch of properties to rent out, 'cause you're already probably rich at that point.
Licencing
The other way of building a rental system is by licensing. For example, if you're a musician and you want to license that other people can use. In a way, they're paying you to rent for this thing that you own.
Distribution System
Now, this is a system that connects people who want something with the people who are supplying that thing.
- Middlemen
- AppSumo
Middlemen
So for example, Amazon is a distribution system. It connects buyers with sellers and Amalicensinge middlemen. And therefore, if you build the middlemen license you build a distribution system, you can get really rich.
AppSumo
Now interestingly, one great distribution system is a company like AppSumo, It's a ridiculously great company, and what they do is that they give you the best deals in software. Their model connects people who want software.
Software System
The third type of money tree we want to create is a software system. Now, that's pretty standard. You make the software once and then you can charge people for the software or the digital product.
- Software as a service
- Digital Assets
And then you can make money multiple times because the cost of distribution and the cost of replication is effectively zero.
Content System
- Book
- YouTube
- Course
- Blog
So if you write a book, or make a YouTube video, or write a blog post, or make an online course that you can sell, ultimately, this is all content. It takes an investment of time and effort to write the book or create the content once. But then you can sell it to multiple people further down the line.
And similar to the digital stuff, it has zero cost of replication and distribution, assuming it's on the internet. And if it's a book, well then, there are some costs associated with it. But it's still broadly a way of making money that's not tied to your own time.
But it's amazing how you can just do the work to make something once. Although, in fairness, I was creating study-themed content on YouTube for two years before I made that class. So again, it wasn't a get-rich-quick scheme. It wasn't a get-rich-easy scheme. But it was like a money tree that built up over time and has now helped pay the mortgage on my house.
4. Switch of being a consumer to a producer
Our folks resemble,
- What do you want for your birthday?
- What are you gonna buy when you get that
- What would you buy if you had a million dollars if you won the lottery?
It's all very much based on being a consumer. Instead, we need to think of a producer mindset. And this genuinely changes the way that you approach the world. Like if you think in the eyes of a consumer and you see some cool- I was in the Samsung store earlier today. It's fairly close to where I live. It's cool. I'm thinking like a consumer-like,
And the store is nice. And I want a fancy new sofa because that's a fancy new sofa. But if you have more of a producer mindset, then you start thinking you could- you kind of ignore the fact that there's all this stuff out there you can buy.
All things considered, you begin thinking, "Goodness, tan fascinating play that they're doing." "I can't help thinking about the amount it expenses to assemble the store? "Trustworthiness, I need to learn concerning whether I could make a video where I changed from iPhone to Samsung because there are very numerous Samsung phones here? So I can make a video where I talk about it and switch.
And then teach people what it's like to switch from an iPhone to an Android", and all that kind of jazz. And so the way I'm thinking there is, hopefully, as a producer, rather than a consumer.
5. Show commitment, don't just show interest
There's a difference between interest and commitment. Also if you need to get rich fast, but not easy. If you wanna get rich quickly, you have to do things that other people are not willing to do or not able to do. And normally, that gives commitment rather than just interest. Furthermore, there's a great statement from the book where he says that,
Furthermore, my point is that difficult work doesn't need to be languishing. It's tough, yet it doesn't have to be painful. It can be fun. Also, I find ideas to make it fun. Although it does take work and it is hard. It's not an easy process. Furthermore, I think a ton of the sort of against usefulness, poisonous hustle-culture sort of fanatics, are somewhat lobbying for a simple, relaxed life.
And that's fine. If you want easy, chilled-out life, 100%, I'm not gonna argue with you, you do what you want. However, what MJ says and what such individuals resembled, you know, on the off chance that you care about building abundance in a short measure of time, you can't take the simple course and have a relaxed life. You do need to begin being focused on the stuff that you're doing, instead of simply being keen on it.
Also, there are countless individuals I know who've begun YouTube channels or organizations that resemble, "Goodness, you know, I simply need to do it for thirty minutes every day." Okay, that is fine. You can do it for thirty minutes every day as a pastime. But if you do it for half an hour a day, you are very strange to be successful. Which, I mean, in truth, it sort of depends on what your goals are.
If you don't wanna become a millionaire through this business, whatever. That's fine, be chilled out about it. However, if you do, if you need to follow The Millionaire Fastlane way, you have to be committed, rather than just interested.
5 commandments for building a business
There are extremely many more, but I need to talk about his 5 commandments for building a business now. Furthermore, his general point in the book is that assuming you need to be on the Millionaire Fastlane, you need to follow every one of the five of these rules.
- The Commandment of Need
- The Commandment of Entry
- The Commandment of Control
- The Commandment of Scale
- The Commandment of Time
You don't have to follow all five, like leaving one or two could still make you rich, but it's just extremely much more likely for you to become a millionaire quickly i.e. in under 10 years, which is isn't that quick. But quickly, if you follow all 5 of these commandments.
1. Commandment of Need
Also, he says that 90% of organizations fall flat inside the initial five years since they don't fulfill the Commandment of Need.
What is the Commandment of Need?
The Commandment of Need is that a person needs the thing that you are offering.
We have to create a there are that provides value or solves people's needs or wants in some way. And if we're not, it's hard to build a business based on something that tries to solve a problem that people don't have.
2. Commandment of Entry
Also, the thought here is that you in a perfect world need to assemble a business in a zone where the hindrance for the section is high as opposed to low. Furthermore, the explanation you need this is because a high hindrance to section implies that it's undeniably challenging for another person to duplicate your business. For instance, on the off chance that you or I chose we needed to begin the following Amazon, that is fricking hard.
There is an exceptionally high obstruction to passage to beginning the following Amazon. However, in case there's a business that looks simple to others to begin, and there is a low obstruction to the passage, for instance, beginning a YouTube channel where the hindrance to section is low. Or on the other hand, beginning a web recording where it's even lower. Or on the other hand, beginning a blog where it's even lower than that. Or on the other hand, beginning a TikTok with even lower than that.
The lower the obstructions to section, the more serious the scene becomes. Furthermore, one of the decent things I like with regards to YouTube is that in this inventive circle, YouTube is as yet what has the most noteworthy obstruction to passage. There is currently, similar to consistently, the bar for creation worth and quality, and this load of stuff rises.
Thus, for a newbie to get into the YouTube circle, they sort of need to have nice stuff and respectable gear. It's like, "oh, and this takes us into a whole lot controversial territory", then starting a TikTok or starting an Instagram page.
3. Commandment of Control
What's more, that is the possibility that at each progression of the interaction, we need to be in charge of what we're attempting to sell. Furthermore, if we don't control things, similar to the cost or the way it's overseen or the way that it's being sold, then, at that point, it's difficult to assemble a business on that.
This is halfway why fabricating a business or simply a YouTube channel is extremely unnerving because it doesn't satisfy the Commandment of Control. All things considered, eventually, my business lives and kick the bucket by this YouTube channel. That is startling. That is awful. I'm not satisfying the Commandment of Control around here that I have around the YouTube channel
4. Commandment of Scale
Also, that is the possibility that in a perfect world assuming you need to develop rich rapidly, the thought is you need to assemble a business that can increase. For example, starting a barbershop and cutting people's hair for £10 a pop is not a business that has very much potential to scale, unless you try and build up to an ever-increasing extent and more barbershops and a chain of barbershops.
But then, that costs loads of money. Whereas a software business or a content business does have the potential to scale. Then ideally, you build a business that provides the commandment scale. And there's another thing that he talks about in the book, which is the Law of Effection.
The law is that to make millions, you need to affect millions.
And it's pretty simple. Like assuming you need to make millions off a YouTube channel, you must affect a great many individuals. Assuming you need to make millions off a business, you must affect a huge number of individuals or affect fewer individuals, yet with an exceptionally huge measure of effect. Thus the Commandment of Scale sort of identifies with that.
You can't make easy money off of selling lemonade in your nearby area. You need to fabricate a business that has the potential, in any event, for scale.
5. Commandment of Time
That the idea here, as we talked about before, is that you want to build a business where the value of the business is disconnected from your time input. If you have to show up every single day, 9 to 5 or whatever many hours to make your money, then that's not true wealth. And that is one of the problems with this YouTube business. While high as the content business is.
This is the reason composing a book is extraordinary because whenever you've composed the book, individuals simply get it, accepting that it's showcased well. What's more, accepting that it's a decent book, obviously, all that pleasant stuff.