5 REASONS WHY SOME PEOPLE DON'T WANT TO BE RICH

It's ironic that a lot of people wants to be Rich but they hate people or sometimes condemn people who have succeeded financially. Some say, "Maybe they did something fishy, that's why they are Rich." or "Making yourself a rich person will just make you an evil villain."

Here are my 5 Reasons Why Some People Don't Want to be Rich and how I contradicted each.

Reason #1: THEY ALWAYS ASSOCIATE MONEY WITH EVIL

When you watch your favorite movie or 'tele nobela', who always portray the evil role, the Rich or the Poor? When you watch the news, you always see that if you are poor the justice is against you and if you are rich justice is always on your side. Maybe you hear parents advising their children to look for a Rich foreigner to marry because he has money so therefore you thought money can manipulate even the heart of the person.

Do we have the same mindset at this point?

Actually this is the problem of our society, most Filipinos are exposed to negative environment or information and they always think that's the way of life - as if 'Money controls everything'. We love generalizing things that's why our minds are clouded by these stories.

Even the Bible doesn't condemn people who are Wealthy, let me give some verses:

"Treasures gained by wickedness do not profit,
but righteousness delivers from death.
The Lord does not let the righteous go hungry,
but he thwarts the craving of the wicked.
A slack hand causes poverty,
but the hand of the diligent makes rich.
He who gathers in summer is a prudent son,
but he who sleeps in harvest is a son who brings shame." - Proverbs 10:2-5

"The poor is disliked even by his neighbor,
but the rich has many friends.
Whoever despises his neighbor is a sinner,
but blessed is he who is generous to the poor." - Proverbs 14:20-21

"The blessing of the Lord makes rich,
and he adds no sorrow with it.' - Proverbs 10:22

Money is just money - a piece of material thing like everything else. How you use it depends on you. If until this moment you still believe that money is evil, so why do you enjoy riding an MRT, hanging out in malls etc. Aren't these things just a result of Wealth used for a good purpose?

"Money is important but it is not the most important thing in the world."

Reason #2: THEY ALWAYS BELIEVE THAT THEY CAN'T DO IT

Most people think that if it is something they haven't done before, it is already impossible for them to achieve or if he knew that none from his family bloodline did that before - he will conclude that maybe he'll be happy to be like them.

Some famous lines,

"My family is poor, therefore I'm always poor."

"I'm not intelligent enough, therefore being rich is impossible."

"I'm not gifted like them."

"I always fail.'

EXCUSES.. EXCUSES.. and more EXCUSES.. aren't you TIRED of it?

This is not farther than the truth. Actually what they are lacking is ACTION. They always let their current circumstances be an excuse so that they won't do anything.

Right now you have 2 options:

Either you have REASONS OR RESULTS!

Reason #3: THEY ALWAYS THINK OPINIONS OF THEIR FRIENDS AND FAMILY ARE ALWAYS RIGHT

I'm not promoting here that you don't listen to your friends or family already. We always understand that what they are doing is to protect us from harm but also it's our role to inspire them. It's our role to let them understand - we will experience some resistance along the way but once they see our results, they will be convinced. A good example is already written in the book, "Rich Dad Poor Dad" by Robert Kiyosaki. If you haven't read the book, go to the closest bookstore in your home and start reading it.

Reason #4: THEY ALWAYS BELIEVE THE 'SPECTATORS'

Spectators are those people who just love to watch others 'fail' or 'succeed'. They are good at criticisms and most of their ideas are more inclined into reason "WHY YOU DON'T HAVE TO DO IT."

Let me give you some examples of the favorite lines of a Spectator:

"I have a friend, he ventured that business and he failed so don't pursue it."

"What they are doing is something fishy, they will just fool you."

"Why do it if you are already comfortable today? It will just give you more problems."

and the list go on.

These people will say anything, will do anything so that you will be like them - did nothing for themselves or haven't tried anything different out of their comfort zones.

Reason #5: THEY ALWAYS THINK RICH PEOPLE HAS MORE PROBLEMS AND WORRIES

A lot of people thought like this because most Rich people are involve in media, like issues, or scandals etc. What they don't know is that whether you are Rich or Poor you will have problems. You have to remember that Successful people have fears but they don't let it stop them.

Whatever excuses you have right now, this is my advise:

"THE ONLY PERSON THAT CAN STOP YOU IS YOURSELF!"

This is an original blog composed by Cy Bombeo. It may not be reposted or otherwise recopied without the expressed written consent of the author.

—-

Cy Bombeo
CA2020 Business Coach
Contact me for our upcoming events: Coach Cy
Supports the Dream of First World Philippines

Posted via email from Create Abundance 2020 Business Community

Leadership Ability = Person's Level of Effectiveness

"I believe that success is within reach of just about everyone. But I also believe that personal success without leadership ability brings only limited effectiveness." ~John Maxwell

Many people start a business hoping they'll be able to make it big. Sadly, only 1 out of 10 make it in the first five years. In the remaining ten percent who survives, 1 out of ten among them only reach the tenth year. Reasons for these business failures may be lack of proper financial education and lack of experience. Another reason may be lack of leadership skills.

Let's face it, when you start a business, you will be handling other people. Note: If you are not handling any and you do most the work in your business, you are not a business owner but a self-employed. When a company or organization is in trouble, it looks for a new leader. When a company booms, most of the time, it is handled by a great leader.

For some businesses who survives and succeeds, the challenge comes when the owner decides to expand. Some fail on this because their leadership ability is not capable of handling more people and more responsibility. This is where THE LAW OF THE LID comes in. The law states that you can only lead to the extent of your ability. And the your effectiveness as a person is determine by your ability as a leader.

Leadership can be learned. If you are thinking of expanding your business or starting one, you must focus on becoming a great leader.

Remember: The higher you want to climb, the more you need leadership. The greater the impact you want to make, the greater your influence needs to be.

View author's profile: Caren Kate Cu, Core Team

Posted via email from Create Abundance 2020 Business Community

Your HOURLY WAGE, No Matter How Big That Is, IS MAKING YOU POOR!

Rich people choose to get paid based on results. Poor people choose to get paid based on time.

Most people,mainly in the employment world, take pride or for the majority, get depressed whenever "their hourly" wage is brought up. Most quite believe that they are getting paid below what they are worth. But really, in who's opinion? Of course, you would say you bring so much value to your company. But think about it, I am sure your boss believes that your pay is fair enough. And whenever you would try to ask for a raise, your boss would wonder why.

People do not really like the idea of getting paid based on their results. There is really nothing wrong with being paid based on time, especially if you just stay in the office for eight hours without completing anything. With that, it's either you hate your job or you are bored. Then, why are you still there? Of course, that is another story. What I'm trying to say is, with being compensated based on the amount of time you put in a project, you are actually limiting your potential income. I mean, really, how many hours are there in a day,just 24. How many hours can you work in a day? Even if you work for 24 hours, no matter how much effort you put in your job, you still get the maximum of just 24 hours. If you get paid based on results, even if it was just a few hours, as long as you efficiently worked on it, I'm sure it would be far better than being paid per time. That is the difference between an entrepreneur and an employee. The employee works harder, but has limited income because TIME IS LIMITED. The businessman works smarter, and earns money based on his results. THE GREATER THE RESULTS, THE GREATER THE INCOME. And we all know that we can never put a ceiling in the the results we can produce.

Most people are afraid of knowing their capacity. They really don't want to test if they could produce the results they desire, so they just content themselves with the idea of being paid with the time they put in. I have been an employee before and I know, the amount of time we put in work does not really equal the quality of work expected of us. Okay,maybe for some who are dedicated enough, they really put in that needed effort, and maybe more, but not everyone has that zeal and performance. So there, they just stay in their comfort zones, needing the "guarantee" of getting paid in the exact time every month, the same amount, even if they still continue complaining that it's not enough.

In the end, the only way to earn what you're really worth is to get paid based on your results. Rich people believe in themselves. They believe in their value and in their ability to deliver it. Not unless you have the courage to really know your worth, stay contented to know that there is a ceiling to your income, because again,time is limited.

More from the author: Caren Kate Cu, Core Team

Posted via email from Create Abundance 2020 Business Community

Cashflow 101 and 202: The 3 Stages of Financial Freedom

Getting out of the rat race is a process. Here are the stages of a Core Team member in Winning the Money Game in relation to the Cashflow 101 and 202 game.

Stage 1 Financial Freedom Success - Your Passive Income is equal or greater than your expenses.

Being a core team member you will learn by knowing and doing the Information Age Leverage formula in creating passive income while being employed or being a Self Employed.

The moment your Passive Income becomes equal or greater than your employment salary or self employment income you are now out of the Rat Race.

From this point you can use the time you spent in employment or self employment in developing and building more passive income streams. In the CA2020 Core Team, a Business School Franchise, is a passive income stream.

This would not be easy if you are not coachable, open minded and have the strong desire to succeed. The transition from the Left Side to the Right Side of the Cashflow Quadrant is a transition of Core Values and/or reprogramming of Money Blueprints.

Stage 2 Financial Freedom Success - Your Passive Income is the same with your Lifestyle.

This is where you are working as a Team Made Millionaire inside the Core Team. In the Cashflow Game this is where your Passive Income is Multiplied 100 times. Since you are now out of the Rat Race you will spend most of your time learning. You will have more time reading required readings and books, More coaching and mentoring time, more trainings and seminars, more trips domestic and abroad, more time leading and coaching others, more time developing the following skills and benefits:

$ Attitudes of Success
$ Leadership Skills
$ Communication Skills
$ People Skills
$ Overcoming personal fears, doubts and lack of confidence
$ Overcoming fear of rejection
$ Money Management Skills
$ Investing Skills
$ Accountability Skills
$ Time Management Skills
$ Goal Setting
$ Systemization

This is the process of transition from Left side to the Right Side of the Cashflow Quadrant. This is also where you are taught the Stage 2 of the CA2020 Power Investing, which is Income Generating Real Estate, the moment your Passive Income reach USD10,000/month or having 100+ Business School Franchises.

The knowledge and experience in Real Estate is the platform for the Strategic Investments or the Stage 3 of the http://www.ca2020.net/profiles/blogs/cashflow-101-and-202-the-3" style="text-decoration: underline; color: rgb(89, 48, 34); font-size: 1em;">CA2020 Power Investing Plan.

Stage 3 Financial Freedom Success - This is the time you are a full-fledge Big Business.

In the Cashflow 101 Game this where your Passive Income reaches USD 50,000 a month. You already have 500 or more Business School franchises. You are totally in the Right Side of the Quadrant.

At this stage in the CA2020 Power Investing Plan you are now creating and doing more Big Businesses that will benefit majority of the Filipinos in a Massive Scale. Your learnings, skills and experience from Stage 1 and Stage 2 will make the creation of Big Business a higher chance of success. At this stage we are not Stock Traders but rather we are Stock Creators.

The Cashflow 101 and 202 Gatherings are conducted as one of our service programs offered to the public in fulfillment of our Community Purpose of Spreading Financial Education Throughout the Nation.

You are welcome to attend our Community Cashflow Gatherings. You are encourage to bring more people at the gathering. You are even given a 50% discount if you come with a group of 3 or more people.

To reserve your seats contact the core team member who invited you here in ca2020.net.

Thank you for taking time reading this post and i wish you learn by knowing and doing.

Posted via email from Create Abundance 2020 Business Community

Multi-Level Marketing (MLM) Binary Compensation Plan – Pyramid Scheme

By: The MLM Pyramid Scheme Exposer, ©2006

Binary means 2. Thus, each sponsor can have only 2 distributors in their immediate downline. The downline is the term used for those recruited distributors who are placed beneath you. The Sponsor is the distributor who is immediately above you. However, the number of levels in the downline is infinite in binary compensation plans. This creates a pyramid that looks like 1-2-4-8-16-32-64-etc… when each level is added up. The first number (1) is you. In this example, when you add up all the distributors in your downline, you would get 2+4+8+16+32+64+etc… = 126+etc...

In a binary compensation plan, the distributor must “balance” their downline. We split the downline into two sides, we will call the sides the LEFT side and the RIGHT side. The sides are created due to the binary structure. Binary compensation plans are infinite in levels because group sales volume points are added up and max out at 5000 points on each side. You can have 1000 distributors in your first Business Center (1-BC) possibly giving you 25,000 sales points, but since the maximum you can calculate for commissions on each side of your downline is 5000 points, you max out at 10,000 group sales points. If you have 5000 group sales points on your left side but only 250 group sales points on your right side, then your commission payout is calculated based off the lower of the two sides. In this case, you add up 250 group sales points from each side giving you a total of 500 group sales points ($40 commission). The remaining 4750 GSP on the one side rolls over to the next month. Only a maximum of 5000 points can roll over. If you should have 20,000 points on your left side, it is first readjusted to 5000 points, and then calculated for commissions. Whatever is left over after that rolls over.

If you manage to collect 5000 points on your left side and 5000 points on your right side, you max out your business center. In the event this happens, you receive a Re-Entry Certificate. This certificate allows you to create a new Business Center at the bottom of your current business center. This gives the distributor the chance to try and max out another business center, and so on. Each business center can collect up to two Re-Entry Certificates. This allows the distributor to maintain an inevitable balancing act for those earlier business centers created, and continues the incentive to recruit more distributors. This happens because you can get 2 re-entries per business center. You put one of the new business centers on the left side of the earlier business center, and place the next business center on the right side of that earlier business center. So now you are essentially balancing your stacking business centers. The following examples will demonstrate. But first, here is the commissions payout table.

I will put together scenarios. The examples will use the following figures unless noted otherwise:

I have one business center which each distributor purchases 25 sales points worth of product each week. I have 126 distributors in my downline (2-4-8-16-32-64) making 6 levels. Level 1 has 2 distributors while level 6 has 64 distributors.

The total sales points are calculated by adding together the left and right side of the downline including your own sales points:
(Left Side Points + Right Side Points + Your Own Points)

Your own points can be applied to either side of your downline’s group sales points when calculating commission payout.

Scenario 1:

In the above example, everything is equally balanced. But what happens if I get a re-entry certificate and begin a new business center at the bottom of the previous one? I will place a Business Center #2 at the bottom left side of my Business Center #1.

Scenario 2:

Business Center 1(gray) - The table here represents the distributors who pass the sales points from one business center to the top of the other. These distributors are represented in the gray blocks in the image above.

In the 1st level, one distributor gets 1575 SP and the other distributor gets 4750 SP (3950+775+25).
I will get 6350 SP (4750+1575+25).

In the example above, I have two business centers. You can see that after I built my second business center, the first business center changed and became highly unbalanced. You notice that each level contained 1 distributor that carried on the sales points from the business center underneath them. I will call this anomaly the Line Connecting Business Center Distributors. In the graphical images, these distributors are represented by the gray blocks. This line of distributors pass the total sales points from Business Center 2 on up to the top of Business Center 1 to benefit the same distributor for a second time. As you can see, the distributor on the 6th level whom I placed my second business center underneath inherited 3175 SP! But this doesn’t mean the distributor will collect any commission. You can see that while the distributor collected 3175 SP on their left side, they collected 0 SP on the right side. The best this distributor could do is apply their own points to the right side for the commission calculation. Thus, the distributor will have 3175 SP on the left side and 25 SP on the right side. The commission pay out chart shows that the first commission payout comes when you collect at least 250 SP on both sides! At this current rate, it will take 10 weeks for this particular distributor to make $40 in commissions. So just because I started my new business center at the bottom of my previous business center does not necessarily greatly benefit those Line Connecting Business Center Distributors.

Now, even I have an unbalancing problem. While my Business Center #2 is quite balanced (1575+1575+25), this is not the case for my Business Center #1. Business Center #1 is unbalanced and looks like (4750+1575+25). However, this can be fixed. This is the reason the Binary Compensation plan allows for TWO re-entry certificates PER business center. Lets see what happens when I put a new business center at the bottom of the right side on my first business center. Now I will have 3 business centers. They will look like the following:

Scenario 3:

Thus, in total, I will get to calculate my commission payout as the following
BC-3 = 1000 SP left + 1000 SP right = 2000 SP total = $200.00 commissions
BC-2 = 1000 SP left + 1000 SP right = 2000 SP total = $200.00 commissions
BC-1 = 4000 SP left + 4000 SP right = 8000 SP total = $800.00 commissions

So in this example, I would make $1200 in commissions for the week. Total amount of distributors in my downline to achieve this is 379 (127+126+126).

As you can see, the first business center now gets 9525 SP (4750+4750+25). Build a couple more business centers like this and it causes an inevitable balancing act for distributors who have several business centers. Does the fact that I re-entered a new business center at the bottom of a previous business center greatly benefit those who are part of the Line Connecting Business Center Distributors? Absolutely not.

So what is the reason the majority of distributors in my downline cannot succeed? One reason is because they cannot recruit anyone else. If I travel to a distant town and recruit 100 people into my downline, these 100 people try to recruit a friend or neighbor and maybe each one of them succeeds in recruiting 1 person. Now there are 200 people recruited in my downline in a given town and saturation builds. If everyone is a distributor, who is there to sell the product to? Who is there left to recruit? The only way for these new recruits to succeed is to now travel to other towns that are untapped. Problem is, the top distributors in the company have already spread out to every corner because they got placed in the pyramid when it was born.

Secondly, the majority of distributors in the example I provided do not collect enough sales points. The are at the bottom couple levels of the pyramid and do not have enough distributors underneath them to provide them with group sales points. It is their job to seek out ways to make those sales points, which is why recruiting is the only way. But because of saturation, they don’t have a chance. The inflated cost of MLM products is another reason they don’t have a chance to succeed. Almost all of competing brand’s products are less than half the price of MLM’s products. This in affect makes the distributors themselves the only customers. While some distributors convince their friends, family, and co-workers to purchase some products, there are virtually no customers outside this triangle.

Now there is more to this binary compensation plan to discuss. When you enroll as a distributor, you must choose between a 1-Business Center plan or a 3-Business Center plan. The difference is this: the 1-BC plan is just what it says, one business center. However, the 3-Business Center plan puts YOU in the first two spots in the first level. This looks something like (1(you)-2(both you)-4-8-16-32-64-128). This 3-BC causes you to build two business centers at the same time and then adds the sales points from those to calculate the total sales points for the very top business center. Lets see what a 3-BC looks like.

Scenario 4:

Thus, in total, I will get to calculate my commission payout as the following
BC-3 = 1000 SP left + 1000 SP right = 2000 SP total = $200.00 commissions
BC-2 = 1000 SP left + 1000 SP right = 2000 SP total = $200.00 commissions
BC-1 = 3000 SP left + 3000 SP right = 6000 SP total = $600.00 commissions

So in this example, I would make $1000 in commissions for the week. Total amount of distributors in my downline to achieve this is 253 (1+126+126). Compare this enrolling 3-BC plan to the original example of having three separate business centers tied together with re-entry certificates.

1-BC Enrollment with 2 Re-Entry Business Centers equal to that of the first
Distributors = 379 | Commissions I make = $1200

3-BC Enrollment
Distributors = 253 | Commissions I make = $1000

The difference is that enrolling with the 3-BC plan versus the 1-BC plan supposedly allows the distributor to make more commissions faster. So the 3-BC appears to be more attractive when choosing what to enroll with. Most all distributors end up choosing the 3-BC plan. However, enrolling with the 3-BC puts the distributor deeper into debt and more unlikely to ever recover the expense.

When you enroll with the 1-BC plan, you must purchase a minimum of 100 Sales Volume Points every 4 weeks to qualify for collecting commissions. When you enroll with the 3-BC plan, you must purchase a minimum of 200 Sales Volume Points every 4 weeks to qualify for collecting commissions. Now if you signed up with a 1-BC but then managed to get a re-entry certificate and begin a new business center, you now have MULTIPLE business centers. Once this happens, the 200 Minimum Sales Point rule applies just as if you started with the 3-BC plan. These minimum purchases every 4 weeks is known as "Pay to Play"

In SCENARIO 4 there are 255 distributors. However, in the 3-BC plan, the top three distributors are the same person. So there are really a total of 253 different distributors. Of these distributors, the following payout in the example pays out as the following:

*this example’s structure has sales points perfectly balanced. Rollover amount will apply to both left and right sides. I will also apply the distributors own purchased sales points to put half of it on the left and the rest on the right.

Carrying this on for 52 Weeks (1 Year) the final results are the following for EACH DISTRIBUTOR within each level:

All Levels - 253 Distributors - $204,440 of total commissions paid out
Top - 1 Distributor (ME) - $33,000 commission each or 16.14% of total commissions paid out
Level 1 - 2 Distributor (ME) - $16,400 commission each or 8.02% of total commissions paid out
Level 2 - 4 Distributor - $8100 commission each or 3.96% of total commissions paid out
Level 3 - 8 Distributor - $3760 commission each or 1.84% of total commissions paid out
Level 4 - 16 Distributor - $1560 commission each or 0.76% of total commissions paid out
Level 5 - 32 Distributor - $720 commission each or 0.35% of total commissions paid out
Level 6 - 64 Distributor - $280 commission each or 0.14% of total commissions paid out
Level 7 - 128 Distributor - $80 commission each or 0.04% of total commissions paid out

Remember, in the 3-BC enrollment plan, I am the TOP distributor AND the 2 distributors in the first level! This totals up to the following figures for a 1 year period:

253 distributors contribute to the $204,440 in commissions paid out.
I make $65,800 in commissions or 32.19% of the total commissions paid.
I purchase only 3900 sales points, which account for $390 of the $65,800 I collected.
The next distributor beneath me makes $8100, or 3.96% of the total commissions paid out.
The Bottom 128 distributors make $80 each, but paid for $33,280 (51%) of my $65,800 in commissions.

It is very clear who is reaping all the benefits from the majority of the distributors who are not making enough commission to recover their expenses. In a binary compensation plan, there are between 50% to 66.6% of distributors who are on the bottom of the pyramid. This is because at the most basic level, one distributor with one distributor in the left side of the downline and one in the right side of the downline, the total amount of distributors in this pyramid is three. 1-2, One on top and two on the bottom. Thus, 66.6% of the distributors are at the bottom. As the pyramid grows, the number of distributors on the bottom approach 50%. An example of a pyramid structured as 1-2-4-8-16-32-64-128, there are 128 distributors at the bottom of this pyramid, which accounts for 50.2% of the distributors. The bottom distributors can never make enough to recover their expense. The only solution is to recruit. However, a distributor that turns to recruiting must understand that the more people they recruit into the pyramid, the higher the number of distributors at the very bottom becomes.

Even those distributors one level above the bottom are not recovering their expenses. The percentage of distributors at the very bottom two levels ranges from 85.7% to 75%. Like the previous example, when at the most basic form of this pyramid, 1-2-4, the bottom two levels account for 85.7% of the distributors. As the pyramid grows, the number of distributors on the bottom two levels approaches 75%. This is shown by a pyramid like 1-2-4-8-16-32-64-128, there are 192 distributors at the bottom two levels which account for 75.02% of the distributors.

Now some people claim that this isn’t really a pyramid scheme because the person underneath you could be making more money than you. This is misleading because the only way this is true is when a distributor creates a new business center after maxing out their previous one, and they put the new business center at the bottom of their previous one. This can be demonstrated in the following example.

My Business Center 1 has six levels in it with 127 distributors in it including myself. I achieve two re-entry certificates and put two new business centers at the bottom of my first one. They each contain 126 new distributors in them. I put one on the left most end and one on the right most end of the first business center. Each distributor’s own sales points are either split in half and added to the left and right side of their group sales points, or they are all given to whichever side is lacking the most points. This allows for the most effective and efficient method of benefiting from your own sales points. Each distributor purchases 25 sales points every week. I purchase 25 sales points myself for each business center, totaling 75 sales points each week.

Study the above example carefully. Sales points travel up from the very bottom of Business Centers 2 & 3 and travel all the way to the top of Business Center 1.

After 1 year (52 weeks), the figures come out to the following:

TOTAL – 379 distributors - $289,120 in total commissions

ME – 1 distributor - $79,600 Commission - 27.5% of total commissions paid out
Level 1 – 4 distributors each make $8100 or 2.80% of total - 2 distributors each make $8300 or 2.87% of total
Level 2 – 10 distributors each make $3760 or 1.30% of total – 2 distributors each make $3940 or 1.36% of total
Level 3 – 22 distributors each make $1560 or 0.54% of total – 2 distributors each make $1640 or 0.57% of total
Level 4 – 46 distributors each make $720 or 0.25% of total – 2 distributors each make $800 or 0.28% of total
Level 5 – 94 distributors each make $280 or 0.10% of total – 2 distributors each make $400 or 0.14% of total
Level 6 – 190 distributors each make $80 or 0.03% of total – 2 distributors each make $200 or 0.07% of total

Now for some fast facts:
I make $79,600 or 27.53% of the total commissions paid out. I purchased only 3900 sales points, which is worth $390 in commissions.
The upper 3 levels (ME to Level 2) account for 19 distributors or 5% of the total 379 distributors.
Those upper 19 distributors made a total of $174,080 or 60.2% of the total commissions paid out.
The lower 3 levels (level 4 to level 6) account for 336 distributors or 88.7% of the total 379 distributors.
Those lower 336 distributors made a total of $45,040 or 15.58% of the total commissions paid out.
The bottom level accounts for 192 distributors, or 50.7% of the total 379 distributors.
Those bottom 192 distributors made a total of $15,600 or 5.4% of the total commissions paid out.

The recruiting pyramid scheme is quite clear. Even those 12 distributors, who are part of the connecting line (designated in gray in the image of the pyramids) from the top of one business center to the top of the other, are still not making much. Although, those 12 distributors in those lines have a better chance than the ordinary distributor in the same level and usually consist of the top distributor’s family and friends. These commission figures are GROSS income. The distributor still needs to subtract their expenses for the year to get their NET income. For most distributors in this pyramid scheme, the figure is depressing because they are usually in the negative. Most distributors never recover their cost of taking part in this pyramid scheme. We have only considered “active” distributors in these examples. As you can see, the bottom layers perform very poorly, and because of this, most distributors drop out. In order for the top distributors to keep making their millions, they must continually recruit new distributors to replace those who drop out. If they do not keep recruiting, the pyramid scheme collapses and the majority 99% of distributors are left holding the bag while the top distributors make out with all the money by defrauding all the losers.

Anti-Pyramiding Video by Direct Selling Association of the Philippines:

Posted via email from Create Abundance 2020 Business Community

WHAT IS THE NAME OF THE GAME THE RICH PLAY?

Most of us have heard of what is commonly referred to as the 80-20 rule. The principle states that, for many events, about 80 percent of the effects come from 20 percent of the causes. It is also known as the Pareto principle, the rule of the vital few. It is named after an Italian economist, Vilfredo Pareto, who noticed that 80 percent of the land in Italy was owned by 20 percent of the people – vital few. In business, a good rule of thumb is that 80 percent of your business comes from 20 percent of your customers – so take good care of them.

Robert Kiyosaki, author of Rich Dad Poor Dad, believed that 90 percent of all money is earned by 10 percent of the people. He called it the 90-10 rule of money. For example, if you look at the game of tennis, I would say that 10 percent of the players earn 90 percent of the money. In the Philippines, approximately 90 percent of the wealth is owned by 10 percent of the people.

Question: What is the name of the game of the 10 percent earning 90 percent of the money?
Answer: Cash Flow

To better understand the game of cash flow, the following are examples of how cash flow game is played in real life.

Many students, who graduate, enter the job market, find a good job, and watch their cash flow to the government via income taxes. The more they earn, the higher the percentage they pay in taxes. To save money, they eat at Jollibee’s, and cash flow to Jollibee’s. They deposit their paycheck in their bank, and cash flows to the bank in the form of fees each time they use an ATM to get their money. They buy a car, and cash flows to the car company, finance company, gas industry, auto insurance, and, of course, to the government for an auto license. They buy a house, and cash flows out of their pockets to pay for the mortgage, insurance, cable TV, water, electricity, and government for property taxes.

Every month cash flows to the stock market to invest in mutual funds for retirement plans, and cash flows from mutual funds to fund managers in the form of commissions and fees. Later in life, when people are old and feeble, cash flows to hospitals for medical expenses and nursing home. And when they die, cash flows to pay taxes on what they left behind, if ever there’s any. For most people, their entire lives are spent trying to keep up with their outgoing cash flow.

The reason 90 percent of people struggle financially is because cash is always flowing out to someone or something else – flowing to the 10 percent who know the name of the game. The harder the 90 percent work and the more money they earn, the more cash flows out to the 10 percent.

This is the story of most Filipinos. Most work very hard. Some even went back to school for higher degrees and specialized training. Some made more money and saved some of it, but most never got control of their outgoing cash flow. When some lost their job and was forced to stop working, no cash flowed in – yet they still had to honor their outgoing cash flow obligations. Clearly, some are in real financial trouble.

Question: What can I do?
Answer: Learn how to play the game of cash flow.

Question: How?
Answer: Educate yourself financially.

Create Abundance 2020 Business Community provides an avenue wherein one can increase his or her knowledge of cash flow through our gatherings and events, specifically our Cashflow Gatherings and Free Wealth Courses.

If you want to be part of the 10 percent of people who earn 90 percent of the money, attend our events and JOIN US. Why? Because we do it best.

DISCLAIMER: We are not part of Rich Dad Asia but we are recognized as Cashflow Club of RichDad.com. Our Cashflow gathering is not a Commercial and Public Event because we are only offering this to our personal and virtual network and we are not making any money from it. It is an exclusive community gathering of the members and future members of ca2020.net

Credits to The Conspiracy of the Rich by Robert Kiyosaki.

Posted via email from Create Abundance 2020 Business Community

5 Reasons Why Play the Cashflow Boardgame?

Rich Dad Poor Dad Tells about Robert Kiyosaki’s Childhood

A lot of people have been reading the bestselling book Rich Dad Poor Dad written by the Japanese-American Multimillionaire Robert Kiyosaki and that’s where the Cashflow boardgame first mentioned. If you have no idea about the book, it talks about the contrasting mindset of his Poor Dad (his biological father) and his Rich Dad (his friend’s billionaire father). His real father is not financially poor literally, he earns big since he has a doctor’s degree and one of the top people of the Biggest University in Hawaii but Robert always wondering why their family always struggling every month for money. While his Rich Dad, only a high school graduate but, he was one of the richest men in Hawaii.

Robert Kiyosaki’s journey to financial freedom was guided by his Rich Dad’s teachings and that’s why he retired at age 47.He is now imparting that knowledge to us, and the Cashflow Boardgame is the integration of 30 years of his business experience.

Are you wondering what will be your result 30 years from now? If yes, I encourage you to play the game and find it out yourself.

Let me give you "5 Reasons Why You Have to Play the Cashflow Game":

Reason #1: It’s the Closest Simulation to Reality

There's a saying that "Experience is the best teacher." A lot people are reading books like Rich Dad Poor Dad and after that they were inspired to take action but, when the reality comes in, or after hearing some negative comments from other people (most of the time from our family and friends), they decided to stay in their comfort zone and do nothing. Based on the concept of "Cone of Learning", doing the real thing is the best way to learn - it's like knowing all the strokes of swimming then applying it by jumping into the water. Simulation of the real situation is the nearest to actual experience, and that is what the Cashflow game offers.

Reason #2: It will Expose yourself to the Investment of the Rich

Most people wants to be rich but they don't want to do what Rich people do, ironic isn't it? Stocks, Mutual funds, Preferred Stocks, Real Estate, Business Start-ups etc. maybe you've heard of them but you haven't experienced doing the actual thing. This is a great time for you to be exposed to the Investment of the Rich. Have you ever wondered how Rich and Wealthy earn thru these investments whether the market is up or down? See for yourself by playing the game.

Reason #3: It will Expand your Horizon

There's nothing wrong with your current job, ofcourse you need to earn to support yourself and your family but, you have to realize that there are other ways to earn. Like any cars, some were slow and some were used for racing. Same with finances, some investment vehicles can bring you to your to millions in a year, some in 3 to 5 years. Now to it's your turn to identify what investment vehicles can bring you faster to your dreams. Now I encourage you invest your time to financial education to know these things.

Reason #4: It will Give you a Clear path to Financial Freedom

Most people have this very common formula, EARN - SPEND -SAVE or work hard to earn and work harder if you want to earn more. This game will teach you that instead of you working hard for the money, the money is the one working hard for you. Let me ask you, do you like the idea that you're sleeping or you're traveling to the places you want but you're still earning? If yes, maybe you need to change your path starting today and do the things that can lead you to your Financial and Time freedom. I've learned that,

"Financial freedom is ability to live the lifestyle you desire without having to work, or rely on anyone else for money." - T. Harv Eker

Reason #5: It will Expose the Real You

Some people doesn't want to borrow money from the bank, because for them it's a headache. Some people prefer to save, save, and save so that they have spare money for emergency situations. Some people doesn't want to invest because it's too risky. Well, in the world of business and investments believe what you believe but in the end what really matters is your result. Whatever is your strategy right now with your money, try to apply it on the Cashflow game - if it makes you"Rich", well then you're already on the right path but if not, maybe you need to be humble enough to recognized your mistakes, then grow, and succeed next time.

"Academic qualifications are important and so is financial education. They're both important and schools are forgetting one of them." - Robert Kiyosaki

"If you always care what other people thinks about you, you'll never ever gonna get Rich." - Self-Made Millionaire

Join and Participate on the Cashflow 101 Event in the areas near you this weekend and be financially smarter!

This is an original blog composed by Cy Bombeo. It may not be reposted or otherwise recopied without the expressed written consent of the author.

----

Cy Bombeo 
CA2020 Business Coach
Supports the Dream of First World Philippines

Posted via email from Create Abundance 2020 Business Community

The History of Money

DISCLAIMER: By understanding history we can better prepare for and see a brighter future. If you are not into history, you might want to start reading now. This will determine your financial future.

Just as humans have evolved, money has evolved. “Money” was originally in the form of barter, such as chickens or milk, then shells and beads, then gold, silver, and copper coins. They were physical objects that were deemed to have tangible value, and thus were traded for other items of a similar value. Today, most money is paper money, an IOU (Usually an informal document acknowledging debt. The term is derived from the opening phrase "I owe unto" and/or the pronunciation of "I owe you") from a government, also known as a fiat currency. Paper money is worthless in and of itself. It is simply a derivative of the value of something else. In the past, the U.S. dollar was a derivative of gold; now it is a derivative of debt, an IOU from taxpayers of a country.

Today, money is no longer a tangible object like chickens, gold or silver. Today, modern money is simply an idea backed by the faith and trust of a government. The more trustworthy the country, the more valuable the money, and vice versa. This evolution of money from a tangible object into an idea is one reason why the subject of money is so confusing. It is difficult to understand something we can no longer see, touch or feel.

A Few Important Dates in the History of Money

1903: Robert Kiyosaki believed the U.S. education system was taken over when the General Education Board, founded by John D. Rockefeller, decided what kids should learn. This put the influence of education in the hands of the ultra-rich, and the subject of money was not taught in school. Today, people go to school to learn to work for money, but they learn nothing about how to have money work for them.

Schools do a good job training people to be E’s (Employee) and S’s (Self-employed), but do almost nothing to train them to be B’s (Big Business Owner) or I’s (Investor). Even MBA students are trained to be highly paid E’s working for the businesses of the rich. Some of the most famous B’s are Bill Gates, founder of Microsoft; Michael Dell, founder of Dell Computers; Henry Ford, founder of Ford Motor Company; and Thomas Edison, founder of General Electric – all of whom never finished school.

1913: The Federal Reserve is formed (It is the central bank of a nation, just like our Banko Sentral ng Pilipinas and Bank of England for United Kingdom). The Federal Reserve is not American, not federal, has no reserves, and is not a bank. It is controlled by some of the richest and politically influential families in the world. It has the power to create money out of thin air.

Institutions like the Federal Reserve have been staunchly opposed by the designers of the US Constitution, and by presidents such as George Washington and Thomas Jefferson.

1929: The Great Depression. Following the crisis of the Great Depression, the U.S. government created many government agencies such as the Federal Deposit Insurance Corporation (FDIC), the Federal Housing Administration (FHA), and Social Security; and the government took more control over our financial lives via taxes. This led to an acceptance of increased government intervention via social programs and agencies. Many of these government programs and agencies, such as the FHA, Fannie Mae, and Freddie Mac, are at the eye of today’s subprime crisis. Today, unfunded government liabilities such as Social Security and Medicare are estimated to be $50 to $60trillion time bombs that will eventually blow up and dwarf the current US subprime crisis. In other words, U.S. government efforts to solve the Great Depression will probably cause a bigger depression in the future.

1944: The Bretton Woods Agreement was made. This international currency agreement created the World Bank and the International Monetary Fund (IMF). The agreement replicated the Federal Reserve System globally (thus we have Bangko Sentral ng Pilipinas) and, in effect, installed the U.S. dollar as the reserve currency of the world. Basically, while the world was involved in a world war, the world’s bankers were hard at work changing the world. This meant that all currencies worldwide were now essentially backed by the U.S. dollar, which was pegged to gold. As long as the U.S. dollar was backed by gold, the world economy would be stable.

1971: President Nixon, without permission from Congress, took the U.S. dollar off the gold standard. When this happened, the U.S. dollar became a derivative of debt- not gold. After 1971, the U.S. economy could only increase by increasing debt, and that’s why the bailouts started. In the 1980s, the bailouts were in the millions; in the 1990s, they were in the billions; and today they are in the trillions and growing. This change in the rules of money, one of the biggest financial events in world history, allowed the United States to print money at will by creating more and more debt, known as U.S. bonds. Never in the history of the world had the entire world’s money been backed by one nation’s debt, an IOU from U.S. taxpayers.

In, 1971, the U.S. dollar stopped being money and became a currency. The word currency comes from the word current, like an electrical current or an ocean current. In other words, a currency must keep moving or it loses value. To retain value, a monetary currency must move from one asset to another. After 1971, people who parked their money in a savings bank or in the stock market lost money because their currency stopped moving. Savers became losers and debtors became winners as the U.S. government printed more and more money, increasing debt and inflation.

After 1971, the U.S. economy expanded by creating more debt. In theory, if everyone paid off his or her debt, modern money would disappear. In 2007, when U.S. subprime borrowers couldn’t pay their mortgages any longer, the expansion of debt stopped and the debt market collapsed, which led to our massive financial crisis today.
The United States has financed its excessive spending by selling its debt to Europe, Japan, and China. If these countries lose confidence in the U.S. government and stop buying U.S. debt, another financial crisis will occur. If U.S. citizens stop buying homes and stop using their credit cards, this crisis will last longer.

Financial Education is important because we need to learn there is good debt and bad debt. Bad debt makes us poorer. Good debt makes us richer. Since modern money is debt, a strong financial education would teach people to use debt to get richer rather than become poorer.

1974: The U.S. Congress passed the Employee Retirement Income Security Act (ERISA), which is now known in the United States as 401(k). Prior to 1974, most employees had what is known as a defined benefit (DB) pension plan. A company’s DB pension plan provided employees a paycheck for life. After 1974, employees were moved into defined contribution (DC) pension plans. This meant they had to save money for their retirement. The amount an employee received at retirement depended upon how much was contributed to his or her pension. If the pension ran out of money or was wiped out due to a stock crash, the retiree was out of luck and on his own.

This change from DB to DC pension plans forced millions of workers into the uncertainty of the stock market. The problem is that most employees lacked, and still do lack, the financial education needed to invest their money for retirement wisely.

Today, millions of workers throughout the world are faced with insufficient funds to retire on. Without a financial education, millions go back to the same institutions – the savings banks and stock market, the very institutions that caused much of today’s financial crisis – and attempt to save enough money to enjoy a secure retirement. These people are most affected and worried by our financial crises.

Now that we’ve reviewed a little bit of the history of modern money, you may begin to appreciate why a financial education is important. It really pays to know history.

Credits to the Conspiracy of the Rich by Robert Kiyosaki.

View author's profile: http://www.ca2020.net/profile/DylanChan

Posted via email from Create Abundance 2020 Business Community

SOME OF THE BIGGEST NETWORK MARKETING SCHEMES

Facebook.com - GLOBAL

Why is it network marketing? - There's a button "Invite friends" or "Add friend". It connects you to anybody anywhere in the world. It's big because it's global. It's a MULTIBILLION DOLLAR BUSINESS. If you call Network Marketing a scam then why the hell do you have a profile in Facebook?

Christianity - GLOBAL

Why is it network marketing? The way Christianity spread was this: Jesus recruited 12 Apostles. These 12 Apostles were sent by Jesus everywhere to spread the Good News and baptize people. The baptized people in turn told about the Word to their friends and family and they too were baptized. Christianity was also accused of being a scam - an abomination of the Jewish religion. Christians were persecuted everywhere - by the Jews and the Romans. But since it has a very strong foundation, it even recruited the Romans. That's why we have the Vatican in Rome. Other good recruiters of this Network Marketing Scheme - Ferdinand Magellan, Miguel Lopez de Legazpi, Martin Luther, Felix Manalo.

Note: 1) One of the most famous quitters in this Network Marketing Scheme is Judas Iscariot, who betrayed his Master and at the end hung himself. 2) A once "nega", Paul even persecuted Christians and facilitated their "stoning to death". But Jesus gave him a very great presentation - through a very bright beem of light. Afterwards Paul became one of the highest earning leaders in the Christianity Network Marketing System, establishing the Church in gentile countries. He is the highest earner in terms of people not money.

The English and Spanish Language - GLOBAL

Why are they network marketing? The English and Spanish language spread through word of mouth. British and American Colonies' native dwellers were recruited into speaking English through being recruited as interpreters of the British, Americans or Spaniards to the other natives. Then these "recruited" natives teach the English or Spanish language to the others, who in turn taught the others as well. Later on, these natives established what we call schools and these schools became a facility for recruiting people in either or both the English and the Spanish language. Talk about WORD OF MOUTH.

NuSkin Enterprises - GLOBAL

Why is it Network Marketing? NuSkin offers an opportunity to create the lifestyle one desires through a patented business system. The way it spreads is through creating relationships with potential business partners - through creation of Networks. The products are not sold through advertising or department stores but rather through WORD OF MOUTH. NuSkin established what we call the Innovative Franchising System where you can become not only a franchisee of the business system but also a franchisor. Because of this system and it's culture of Integrity and Relationships, NuSkin is one of the TOP TEN COMPANIES in the United States of America and considered by Forbes.com as the Industry Leader in the Direct Selling Industry. It's high financial capacity earned it the highest rating of 5A1 from Dunn and Bradstreet (in contrast companies such as Toyota, San Miguel Corp and HSBC got lower ratings from D&B).

It's a MultiBillion Dollar Company. If anybody can give me any proof or evidence that NuSkin's Business Opportunity is a scam then either you are right and Forbes, New York Stock Exchange, the 50 countries in which it's present, and D&B are wrong or you are UNEDUCATED and you just base your views on other people's opinion, therefore you are broke.

MOST PEOPLE MISS GREAT INFORMATION BECAUSE THEY WOULD RATHER LISTEN TO CHICKEN LITTLES THAN FROM MENTORS. ROBERT KIYOSAKI (MULTIMILLIONAIRE AND A NEW YORK TIMES BEST SELLING AUTHOR) AND DONALD TRUMP (MULTIBILLIONAIRE AND A BEST SELLING AUTHOR) RECOMMEND NETWORK MARKETING AS THE BUSINESS TO START WITH IF YOU ARE AN EMPLOYEE OR SELF EMPLOYED. WOW, DON'T YOU KNOW THAT WARREN BUFFET, THE WORLD'S GREATEST INVESTOR AND THE SECOND RICHEST MAN IN THE WORLD, OWNS A NETWORK MARKETING COMPANY (It's called PAMPERED CHEF)? AS THEY SAY YOU ARE POOR BECAUSE YOU WOULD RATHER LISTEN TO OTHER'S OPINIONS.

This is an original blog post of COACH RYAN VERGARA . It may not be reposted or recopied without the expressed written consent of the author.

Posted via email from Create Abundance 2020 Business Community

SOME OF THE BIGGEST PYRAMIDING SCHEMES

Nazi Germany - local (Confined in Germany, attempted to spread all around the world but was foiled by the Allied Forces)

Why was it a pyramid scheme? The Fuhrer was the master. Nobody could say anything against him. While he was having celebratory functions with his mistress Eva Braun and other Nazi dignitaries in Berlin, his soldiers were shedding blood and killing people at the fields in the name of the Fuhrer. Nazi's biggest lie was that the Aryan race was the most superior of all races and the Jews should be exterminated.

Just like any pyramid schemes, the Nazi or the Reich ended abruptly. What happened to it's founder? The Fuhrer did not want to be humiliated so he, along with his worshippers, killed himself through cyanide pills and a gunshot to the head right just before the Soviets could capture him.

Duration of the scheme - Roughly 12 years (from the rise of the Nazi Party in Germany in 1933, 6 years spent in the scamming activity of war, 1939-1945).

Absolute Monarcy - local (Confined only in the kingdom or empire the monarch ruled in. Always attempted to spread globally through colonialism but the colonies became independent states later on).

Why was it a pyramid scheme? It's because at the top of it all was the King or the Queen who got the most wealth and benefits from the scheme of taxes. Below the king/queen were the ministers and dukes who could also impose taxes and majority of which for their own gain. Below the ministers and the dukes were the landlords who owned smaller pieces of farm land in which farmers worked day and night only to get a small portion of the harvest.

Just like any pyramid schemes, Monarchy did not last long. Or if it did, it is rarely absolute anymore (still existing absolute Monarchy - Brunei, Saudi Arabia, Monacco but the monarchs in these kingdom have changed their form of Monarchy from a pyramid "I am the king I own all the wealth" structure to sharing the wealth to the people). The end of a monarchy system is usually bloodbath in the form of revolutions (example the French Revoloution).

Duration - A monarch's rule usually lasted for more than 30 years but this is if he practiced harmonious rule. In most cases, the monarch, due to his/her greed either was forced to abdicate by the new monarch or got killed in a revolution (like Louis XVI and his queen Marie Antoinette of France).

Your job - local (confined only in your employer's premises, no attempt could be made to make your job global since there is only one you)

Why is it a pyramid scheme? The CEO is the highest paid salaried person in your job. Next to him are the Vice Presidents who, perhaps, earn as much or close to what the CEO earns. Next to the Vice Presidents are the Senior Managers who, in most companies, earn about 60% of what the Vice Presidents are earning. Below the Senior Managers are Managers who earn about 60% of what the Senior Managers are earning. Below the Managers are the Supervisors who are earning perhaps 50% of what the Managers are earning. Lastly there are the staff or rank and file employees who earn miniscule amounts. From top to bottom, the most number of people is concentrated at the bottom (i.e., there is only one CEO, perhaps five VP's, ten Senior Managers, 50 managers, hundreds of Supervisors, thousands of employees, depending on how large the company is).

Just like any pyramid schemes your job does not last long. Your job is short lived in the sense that it only lasts for the following reasons:

- You are still physically or mentaly capable of working
- You are still satisfied with whatever pay you are given
- You are going up the levels of this pyramid scheme (note, the higher you climb, the steeper it gets)
- You are still stupid enough to understand that you are inside a pyramid scheme

The term "junkie" is also existent in this scheme. A junkie is someone who jumps into different pyramid schemes. When you quit your present job to apply for another job you are merely transferring into another pyramid Corporate Slavery.

Duration - At most thirty years (what are the chances you will reach the top position in this pyramid?).

Binary Network Marketing Schemes (or even Triads or a three legged scheme) - local (confined only to a few countries or if they do set foot in a lot of countries, once they saturate these countries they just close shop there and move into another country that they can saturate)

Why are they pyramid schemes? Binary Network Marketing Schemes (the only reason it's called Network Marketing in the first place is because it also utilizes word of mouth, to some extent) create exactly that - the pyramid shape. You can hear its advocates always preach the following statement: "Our company is still in the early stage, take advantage of being a pioneer". Don't you suspect anything when they say this? It only goes to show, and it's coming out of their mouths, that the ones who gain the most are the ones who join first. These pioneers indeed create money from recruiting those who come later. That's why they form a binary structure so that it's easier for the pioneer to stop doing anything and just let his recruits recruit and down the line it goes.

Just like any pyramid schemes, binary Network Marketing Schemes come crushing down abruptly. Binary schemes rarely last 5 years. Those companies like U**** (fill in the blanks) that claim they last very long are only lying. These companies have lasted long because of the "close-open" strategy. They open a company, close it down or change its name after a while, then do the same thing over and over (that's why they seem to last a long time).

Sad to say but the Network Marketing model is being used by either crooks or uneducated S-Quadrant people to earn wealth at the expense of people they recruit. Some signs that a company is a Pyramid Scheme:

1. It has a binary scheme - you are to recruit TWO people in your frontline, who in turn will do the same. If you have lots of people to recruit in your frontline this binary pyramid scheme will tell you to sign up yourself again under you so that you can multiply your earning potential. How dumb is that?

2. The company is not a member of any Direct Selling Associations in the country in which it's founded or any country it has presence in. In the Philippines we have the Direct Selling Association of the Philippines (DSAP).

3. The company has only one or a few product lines. An example would be this JUICE selling company (the juice that they say comes from berries of the Himalayan mountains). This company claims you shall become a millionaire. Oh yes perhaps you can be. But how long until that happens? When you have sold a million juice bottles? Think about it, how can you become a multimillionaire selling a single product if it's not real estate, a Rolls Royce or Oil?

4. The company uses hype as a style for recruiting. If you ever are invited by a friend of yours to any business presentation and the presentor and the people around always shouts "POWER" then definitely that's a pyramid scheme. Or if in this so-called business presentation they often emphasize on their "high earners'" cars or houses then definitely it's pyramid.

5. Some of its top members or the founders are seasoned Network Marketing people. These people are those who have joined more than three Companies. These are what we call JUNKIES.

6. They claim that politicians and famous actors are part of the company or are some of the founders of the company. In fact, you will indeed see these politicians or actors in their product catalogues. Talk about hyping.

THE KEY IS EDUCATION. THE REASON WHY MOST PEOPLE GET VICTIMIZED BY PYRAMID SCHEMES (OH YES SORRY BUT INCLUDING YOUR JOB) IS THEY FOCUS ON ASKING "HOW?" AND LOOKING FOR MAGIC FORMULA OR THE RECOMMENDED FORMULA TO BECOME WEALTHY. INSTEAD FOCUS ON "WHAT YOU NEED TO BECOME" SO THAT YOU CAN CREATE YOUR OWN MAGIC FORMULA AND NOT FALL PREY TO THOSE WHO PEDDLE MAGIC FORMULAS.

This is an original blog composed by COACH RYAN VERGARA . It may not be reposted or otherwise recopied without the expressed written consent of the author.

Posted via email from Create Abundance 2020 Business Community

7 Simple Reasons Why We Want You to Be Rich

7 Simple Reasons Why We Want You to Be Rich

"This blog was inspired by my Multimillionaire mentors in Business here in the Philippines and the book "Why We Want You To Be Rich" by Donald Trump and Robert Kiyosaki."

Reason # 1: Catastrophic Crisis is Coming

Most people here in the Philippines maybe would say this isn't true because Filipinos are already "used to crisis". Actually that's one of the ignorant ideas I've ever heard - I think they have no idea what they are talking about. Is this really the result of Filipino's being Financially Illiterate or just simply ignorant of their surroundings? Let's say this country is already experiencing crisis but the catastrophic Crisis is yet to come unless we Filipinos would take action for ourselves.

Our country Philippines is becoming more of a consumer rather than a producer. Maybe some of you would agree that most of our products are from other countries, most of our employers are from others countries, our skilled Filipinos are not investing their profession to develop our country because of lack of opportunities here and support and the list goes on. The big question right now is,

"Can we sustain ourselves without the help of other foreign nations?"

"Who is richer and wealthier, the company (producer) or the employee (consumer)?"

Today's poor and middle class needs to wake up soon because the Philippine government is not in the position to take care of them soon. We have a lot of baby boomers retiring soon (People that were born 1940s after World War II), and I tell you, "relying only on your pension as your retirement is the riskiest decision you'll ever made." Why? Soon the government don't have enough funds to support the Retired citizens and guess what, they will get their funds again by raising the taxes legally or borrow from the World Bank that causes to increase our Foreign Debt. Paying debt with a debt and the cycle goes on, is that financially smart?

Who will suffer if the government will raise the taxes? Did you know that since the times of Kings and Queens, taxes where designed to favor the Rich people? That's right, tax laws favors the Rich than the middle and the poor. Haven't you noticed, your salary was already deducted by taxes before you receive it. The Millionaires pays less taxes than the poor and the middle class. Surprised? Well done, now your learning.

Instead of coming up with solutions, the government has continued to borrow money to pay its financial obligations. Poor financial management also afflicts many big corporations.

Reason # 2: Most Filipinos have Low Financial IQ

Maybe some of you will be offended by this reason, I am a proud Filipino and I will not say these to bad mouth my citizenship. Maybe you would contradict this by telling me that, "Well we have excellent graduates from UP, Ateneo, La Salle, etc., we have a lot of Filipinos hired by Multinational Companies because we are capable enough to do the job, we are 3rd largest population who speaks English, we have a lot known Filipinos who excel from other countries etc.." Well I have no question about that, indeed I'm proud that my fellow Filipinos do their best for our country Philippines. But the problem is most people associate Academic IQ to Financial IQ or let's say Academic IQ is directly Proportional to Financial IQ to make it sound more scientific. Now here's the big question?

"Do you have to be a Zuma Cumlaude, Magna Cumlaude, Cumlaude to be rich?"

Let me tell you a fact that most known Wealthy people who started from scratch are either drop-outs, high school graduate, or they just got their education from their home. Try to look how Henry Sy (SM), John Gokongwei (Robinsons), and Lucio Tan (Philippine Airlines) started and you will be amazed on their humble beginnings.

Most Filipinos are poorly equipped to handle the crisis because of lack of financial education. When you have low financial intelligence or IQ, you keep doing the wrong thing and end poorer than you are now. From the book "Why We Want You To Be Rich" it was mentioned that,

"People expect the government to solve the problems facing the poor and middle class. But the truth is, government has not enough resources or power to do so. Many of our problems today are global in nature, such as the price of oil, terrorism, and the exporting of jobs and capital to other countries."

A lot of Filipinos are educated but they know a little about money and following the same formula from our parents, EARN, SPEND, AND SAVE, SAVE, and SAVE. Most of us were taught to rely on welfare, and a belief of saving, working hard and investing safely in mutual funds and other safe investments.

As T. Harv Eker, a multimillionaire from Canada who created wealth in 2 and 1/2 years from zero personal money by using the art and science of Leverage and the famous author of the Secrets of the Millionaire Mind said, "Rich People Play To Win, Poor People Play Not to Lose."

Poor financial education has only made poor poorer and the middle class at risk of being poor. So don't wonder why a lot of Filipinos are victims by SCAMS (Most of them were victims of local "binary system" network marketing), rip-offs, or simply legal but dubious ways of investing.

Have you ever wondered why 95% of lotto winners after 5 years either return to their old financial status or bankrupt? Is it the money alone makes the people Rich or the Rich Mindset and a High Financial IQ makes the person Rich?

Reason # 3: Entitlement Mentality will make you Poor

There's nothing wrong with Medical Benefits, Retirement Benefits etc - but the problem of promoting this idea just to purely rely on this will make most Filipinos complacent on educating themselves financially. Why? Because on their minds someone is going to save them if they don't have money. O Really? Most Filipinos bet their savings to stock market, the government, or pension to take care of them financially. Trump and Kiyosaki said it all, "None of these can solve your financial worries. Only you can take care of yourself financially." So start learning the world of money, business and investing, and use this new vision to win financially.

Reason #4: Bad Times Can Make You Rich

I've learned that whether the Market is up or down, rich people still earns. "How can that be possible?", that's one of the questions i asked my mentors in Create Abundance Business Community before. They answered me like this, "Simple, there are more Financially Educated that's why they are financially smarter."

Maybe that answer from my mentors is not enough to you, maybe let me give a good illustration. Last year 2008, if you can still remember, "Lehman Brothers" went bankrupt then the a lot of companies were affected, thousands of employees were layed-off, a lot of projects were stopped because of financial crisis etc. Now tell me, given during that situation, "Do you see problems or opportunities?", "Do you see the rising prices of gasoline only or a good time to invest to business because there's a lot problems to solve?"

I've learned from Create Abundance Business Community that "Entrepreneur is a person who solves other people's problem for a profit or pay." I had a discussion with our fellowmen and most of them would say, "This country has no hope, there's a lot of problems everywhere. Go work abroad and never go back to this country." And if you ask a Foreign businessman from other countries they would answer like this, "Philippines is a good investment, it has a lot of problems. We solve their problems then we earn."

Have you ever wondered why there's a lot of call center industries in the country? While most Filipinos are dying to leave this country to retire abroad, foreign nations are enjoying putting up businesses to solve our problems.

I still believe in this saying, "If you want change, the change must start from you."

Reason # 5: Increasing your Financial IQ will make you smarter with Money

Whenever I have discussions with some people during of one of our events, most of them answer that they really want to be Rich. Then I always quote this statement, "A lot of people wants to be Rich but, only a few are committed." Most Filipinos want the money but they don't want to know how money was made, they don't want to educate themselves about different investments where Rich people invest, they don't want to spend time read books that can help them financially because they were thinking it's a waste of time. The book 'Why We Want You To Be Rich' said it clearly,

"Financial IQ simply means “having the ability to chart the economic waters nationally and internationally, to be able to look beyond the present and into the future, and to make decisions based on those assessments and insights..”"

Reason # 6: Invest to Win

As I mentioned before, T. Harv Eker said that, "Rich people play to win, Poor people play not to lose."

Well there are 3 types of People in World of Investments:

1. People who don't invest at all - These are the people who just expect their family, their company, or the government will take care of them.

2. People who invest not to lose - These are the majority of investors who wants to invest their money in what they think are safe investments.

3. People who invest to win - These are the people who wants to learn more, want more, want more control, and invest for higher returns.

Reason #7: Gain Leverage

I've learned that the difference between the Rich, Middle, and Poor Class is leverage. Leverage is simply defined as to do more with less.

Leverage can come in many forms. It can be your thoughts, so stop thinking like a poor person - a good example is from the book "Rich Dad Poor Dad" by Robert Kiyosaki, instead of saying "I can't afford it", you have say "How can I afford it?"then I'm sure if you're serious about that question - you'll invest your time for financial education. This quote is a great to start with,

"If you want to be Healthy, you study Health. If you want to be Wealthy, you study Wealth." - T. Harv Eker

Having a high financial IQ will allow you to take bigger, more daring steps, take bigger risks (but calculated risks), but reduce the chances of losing because ofcourse you know what you’re doing.

Let's me give some other things that you can leverage: other people's time, other people's money, other people's knowledge, other people's experience, other people's resources etc.

Did you know why your company is rich? The answer is simple, they are leveraging on your time and skill as a professional employee. If you don't have leverage in what you're doing right now, well my friend, you're working too hard.

----

I guess, some of you may have more reasons why you want to be Rich. Some may say they want to rich because to give their family a better lifestyle, or they want to put up a school for unfortunate people, or they want improve the lives of the people on their provinces etc.

This community has a big Dream of making the Philippines a First World Nation by spreading Financial Education throughout the nation through our Free Wealth Courses and Cashflow Events. Some may say it is something only fools would think, but for us as volunteer entrepreneurs and investors it's a serious business.

Support our cause, be part of the solution of our country by investing your Time For Financial Education.

"In the Game of Life there are 2 Types of People: Players and Spectators. Players are those who takes action. They lose sometimes but they always comeback better and stronger and eventually win. Spectators are those who just watch people win or lose. They are the people who are good at criticisms but in reality they don't do anything for themselves. The question is, which one are you?"

----

Cy Bombeo 
CA2020 Business Coach
Supports the Dream of First World Philippines

Posted via email from Create Abundance 2020 Business Community

Sunday School’s Financial Advice

Words form our attitudes, and attitudes form our reality.

Life is an attitude. If you want to change your life, first change your words, which will turn change your attitude. The following are some common attitudes about money.

“I’ll never be rich” are the words of a person with a poor person’s attitude. The chances are he will struggle financially all his life. When a person says, “I’m not interested in money,” he actually drives money away from him. When we hear, “It takes money to make money,” we reply, “No, money begins with words, and words are free.” When someone says, “Investing is risky,” we reply, “Investing is not risky. Lack of financial education and listening to poor financial advice is risky.” Our words reveal a different perspective and a different attitude toward money and investing than someone with a poor person’s attitude.

Since money is knowledge, it follows that knowledge begins with words. Words are the fuel for our brains, and words shape our reality. If you use the wrong words, poor words, you will have poor thoughts and a poor life. Using poor words are the same as bad gasoline in a good car. The following are examples of how words affect us:

Words of a Poor Person
1. “I’ll never get rich.”
2. “I’m not interested in money.”
3. “The government should take care of people.”
4. “Money is the root of all evil.”
5. “Wala akong pera, I can’t afford it.”

Words of a Middle-Class Person
1. “I’ve got a high-paying, secure job.”
2. “My home is my biggest investment.”
3. “I’m investing in a well-diversified portfolio of mutual funds.”
4. “I know that.”
5. “I’m climbing the corporate ladder.”

Words of a Rich Person
1. “How can I afford it?”
2. “I use leverage.”
3. “I’m looking for good employees to work for me.”
4. “I’m looking for a cash-flowing hundred unit apartment houses to buy.”
5. “My exit strategy is to take my company public via IPO.”

Can you tell the difference between these words? What kind of reality does each set of words reveal? Repeating the lesson from Sunday school, “And the words became flesh.” We do become our words.

Question: What words will I use?
Answer: It depends on the financial future you want in your life.

Create Abundance 2020 Business Community is a community whose habitual language pattern is that of the rich. We guard our conversation through inspiration and empowerment.

If you are sick and tired of hearing negativity all around you, join us. Be with positive thinkers. Be with people who focus on the solution not the problem.

“Choose your words wisely for it may determine your financial future.”
Credits to the Conspiracy of the Rich by Robert Kiyosaki.

View author's profile: Coach DYLAN

Posted via email from Create Abundance 2020 Business Community