Teaching Your Child to Become a Billionaire (And Maybe You, Too)
One of our favorite characters in all of TV land is Alex P. Keaton, the preternaturally conservative son of bohemian parents on the old show “Family Ties.”
One enterprising author, Alvin Hall, has created a colorful how-to-guide for such aspiring capitalists. The book, “Show Me the Money,” came to Deal Journal this week courtesy of the publisher, DK. Hall’s book, which aims to get ‘em while they are young, explains all the major concepts surrounding money and is surprisingly detailed, tackling everything from the free market and the global economy to futures, puts, calls, fair trade, the environment and–most importantly–how to become a billionaire.
We think the book, with its colorful cartoons and Lego-like illustrations of efficient people, isn’t just a handy guide for tomorrow’s little acquirers; its reminders could help a few adults, too. (As long as they can overlook laughably kid-friendly prices like the illustration of a $12,000 Mercedes.) It plainly exhorts the virtues of capitalism: “Money is magical. People dream about it, worry about it, fight over it, and nobody ever seems to feel that they have enough of it. Money…is a reward for hard work, the gift of freedom from worry, the key to a life of luxury, a way to get an education, earn respect, or even change the world. Money is potential.”
Nor does Hall shy away from the fact that today’s young’uns will probably be tethered by BlackBerrys pretty soon; he features a picture of a beachgoer working on a laptop and a little calendar that assumes tomorrow’s workers will spend their time jetting to China and India after they finish tying their shoelaces.
Consider this trenchant advice that many acquiring companies would do well to consider about the nature of price and how it compares to value (Are you listening, Microsoft?): “Although the clothes on sale are cheaper they normally sell for, that doesn’t automatically make them worth buying….Do you really need new clothes? Are they similar to items you already own? Will you really wear them or do you just think you might because they’re on sale?”
Or Citigroup–which never sleeps–has to nod wearily at the truth of this statement: “Money makes the world go round. But work gets people up in the morning (and sometimes keeps them awake at night).”
Hall illustrates the four seasons of the economic cycle–expansion, prosperity, recession and recovery–while adding a tart reminder: “They always occur in the same order, but, unlike nature’s seasons the length of the economic seasons are not the same, and cannot even be predicted–although economists often try.” (The italics are his.) So much for Ben Bernanke.
Perhaps the best advice in the book comes toward the end: how to become a billionaire. Step 1, “Have a brilliant idea,” encourages readers to invent something, like the paper cup; do something better than everyone else, like the pop-up toaster; take your product to new customers, like an enterprising scooter seller; forge good relationships with other businesses, like Microsoft and Intel; create a memorable brand, like Google; and keep control of your brand, like Coca Cola.
It is all sound advice–talk to your employees, treat your customers really well, keep track of your expenses and keep them as low as possible, motivate your employees, enjoy your successes and don’t be too upset about your failures and follow your passion, ignore what other people think.
Deal Journal readers, we welcome your contribution. What advice would you give aspiring capitalists?
controlling a brand makes perfect sense looking backwards, but in the early going it can be a distraction and diversion or resources; in particular, time and energy.
At any job you have, work as though someone is looking through the window at you. Imagine that person is looking to hire someone making three times what you are making and your are the prime candidate. After you are hire by that person maintain the same ATTITUDE.
Do what you love. Love what you do.
Play the lottery.
No debt, no debt, no debt, no debt, no debt, no debt. Buy low, sell high. Ignore Cramer, and stick with Becky Quick and Jenna Lee.
To future capitalists: ALWAYS keep your customer in mind, and give them a better product, or service than they expect for a reasonable price. Then ask them how you can improve you product or service, then LISTEN to them
Be compationate with people around you, especially if they are your juniors or less fortunate, always spend less than what you make, never try to be number one in everything, You may or may not become billionare one day, however it is not important. Becomming billionare is a probability not sure thing for somebody.
I dont want to be a billionaire. Too much hardwork to look after all that money. And for what avail? I only need as much land as are under my two feet. One day I wont need even that. If you have money go feed those who need food and clothe those who need clothes, and find those who cant find you and help them. Life is about living and acting, not about acquiring or hoarding or wasting. Go study something, learn something and teach something. Get out of this greedy mess you are stuck in right now - a pyramid of IOUs. And for God’s sake do not proselytize.
“At least you have your health.” As more and more of my friends retire in financial comfort, it’s sad to see they can’t enjoy it due to a variety of physical ailments (of course it would be worse to be sick and broke). Get some exercise, children!
Choose your profession with care. Trading is the best bet, immo. Get a degree in bizz studies plus law, accounting and esp. banking.
On-the-job experience is of course essential, and that will probably be in a firm located in a low or tax-free location. The company with the biggest turnover in Switzerland is NOT Nestlé, but a trading company; its founder left his former employer (trading company) and set up on his own, and a few other traders went with him. He sold out some years ago, and is I believe a billionaire. Going public would have beeen the usual way to exit and maximize the gain, but maybe there were reasons why that did not happen.
How does one win when rat-racing aboard the servitude-infested, inequality-infested illegal and immoral pyramid scheme called capitalism?? (see pyramid scheme symbol on back of USA dollar).
Don’t join it and don’t let your parents force you into joining it (get a job) when you turn 18. Be born “set for life” instead… like SOME are. You’ll need cronies and/or golden bloodlines for that.
If you ARE forced to participate (work FOR others instead of WITH others) in the competer’s church (capitalism) wear heavy blinders and rose-colored glasses so you won’t need to look at the massive forsaking and negligent homicide of climbing upon the backs of lessers so that you you you can get to “set for life” head-in-the-clouds-status. Exploit, exploit, and capitalize. Compete, and don’t cooperate. Win, at any cost, and never go to the World Health Organization statistics webpage.
sometimes it just happens. some born wealthy. some achieve wealth. some of us -though starting with nothing- have it thrust upon us.
One thing for sure - you’ll need some capital.
As Frau Marx said (at her husband Karl’s funeral in London)
“It’s a shame that Karl didn’t make some capital instead of just writing about it”.
Ignore Jim Cramer and do real due diligence.
Look for a vision, meaning, a mission, a goal in life.
For example have fun and time to enjoy life with relatives and friends. Life has too many random bends and roads. Statistically, is mostly luck to be a billionaire, like one in ten million?
What for to be a billionaire?
What purpose?
Why, Where, How, Who, Where, when?
Sometimes money and material things is just a delusion, a distraction to not focus on the real meaningful, gratifying, and enjoyable things in life.
For example most take for granted freedom, security, food, water, housing, basic necessities, health, recreation.
Just imagine people in Iraq, refugees in many foreign countries, parts of Africa.
Those people have the opposite, insecurity, hunger, disease, extreme stress, and very little enjoyments of life.
It is very commendable and impressive the achievements of people like Gates, Buffet and others.
Then the question is, can everyone be a billionaire? NO.
Can everyone or almost everyone have a pleasant life? YES.
However, it takes diligence to protect things like the rule of the law.
There needs to be another metric to measure success, like a HAPPINESS RATIO.
Then each person could calculate how rich he was in joy, happiness, and enjoyment.
Oh, my post was deleted! First I was NOT censored, and then I was censored post-publishing. Nice! Yikes! Biased joint, eh? I gotcha. I’ll tell my friends.
Ooops, nevermind. I’m extremely incompetent this morning. Somebody hit me with a 2×4 please! :)
“Live within your means” and aways “give a little to someone a little needier than you.”
“Live within your means” and aways “give a little to someone a little needier than you.”
Great comment nipurn.
why u want a job “hi”? you have your health?
Start young, with the follwoing 3 tennants:
Step 1: Know the value of savings
Step 2: Understand the power of compounding and value of investing
Step 3 : Stay involved in the process
See more at http://www.savingtoinvest.com/2008/07/investing-lessons-for-young.html
Billions, here we come.
Invest in yourself. School, books, eat well… And be trustworthy (means more than being honest).
Fire all stupid employees immediately, after finding out they are stupid. You can’t cure stupid.
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