Do you think Robert Kiyosaki is another network marketing guru? When I was starting in the MLM industry a lot of networkers are always quoting Kiyosaki specially his famous book Rich Dad Poor Dad and Cash Flow Quadrant. Maybe because in my opinion he’s the only author that teaches about that school is not a solution for financial freedom but rather getting into the business and creating passive income whether through real estate, royalties, or network marketing business. One of his famous ideas that many networkers are also quoting is the E.S.B.I quadrant which E – stands for Employees, S – Self Employed, B – Business, and I – for Investor.
Robert KIyosaki Network Marketing – Who Is He?
According to WikiPedia, Robert Kiyosaki is a Japanese American who was born in Hilo, Hawaii in April 08, 1947. He is an American investor, businessman, self-help author, motivational speaker, financial literacy activist, and financial commentator. Kiyosaki is well known for his Rich Dad Poor Dad series is of motivational books and other materials published under the Rich Dad brand.
Robert Kiyosaki is now married to Kim Meyer (known as Kim Kiyosaki) who is now an entrepreneur, investor, author, and motivational speaker. They lived in the Socttdale area in Phoenix, Arizona.
Robert Kiyosaki Network Marketing – The Cashflow Quadrant
Kiyosaki often refers to The Cash Flow Quadrant, a conceptual tool which he developed to categorize the four major ways income earned by individuals.
E: Employee – Working for someone else
S: Self-Employed or Small Business Owner – Where a person owns his job and is his boss.
B: Business Owner – A person who owns a business to make money; typically where the owner’s physical presence is not required.
I: Investor – Investing money in order to receive a larger income in the future.
For those on the left side of the divide (E and S), Kiyosaki says that they may never obtain true wealth. Conversely, those on the right side of the divide (B and I) are supposedly following the only road to true wealth. Kiyosaki also classifies the four main “asset” classes as means of gaining wealth:
Businesses: Businesses that generate monthly cash flow that don’t require the owner’s physical presence.
Real Estate: Real estate such as owning warehouses, small family homes, or apartment houses that generate monthly cash flow.
Paper Assets: Investments such as stocks, bonds, hedge funds etc.
Commodities: Gold, silver, iron ore, or copper that are used to hedge government’s mismanagement printing of the nation’s currency.
To better explain The Cash Flow Quadrant of Robert Kiyosaki you can check out the video below.
Robert Kiyosaki Network Marketing – The business of the 21st Century
Why choose network marketing?
First of all there are lots of businesses you can start with. The two main reasons why choose network marketing are:
- You don’t need to a big capital or investment to begin with.
- Support group and mentors are already there to help and guide you in developing your business.
Network marketing is not just becoming someone who will knock on your door and sell nutritional products, or whatever product it is. In network marketing the real business is not actually the products. The real business is to develop people to become an entrepreneur so they can take better control of their lives and their future. Once you develop the people under your organization in becoming an entrepreneur that’s where the passive income starts to kick in. It’s all about developing a huge organization of sales force and entrepreneur. That’s why network marketing is only 10% selling and 90% developing people.
So if you are a person who loves to sell then network marketing could be for you. Or if you are a person who doesn’t like selling but loves to develop leaders then network marketing is a great avenue for you.
See Robert Kiyosaki explanation below about network marketing.
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