MBA2695 Why You’re Still Poor & How to Get Rich

If you've been working hard for years but still feel broke, there's a reason. And, no, it's not because you're unlucky or you're just not cut out for business. It's because you're stuck in a trap, a trap of trading time for money. That's the number one reason most people stay poor. They work an hour. They get paid an hour. When you stop working, the money stops coming in as well, and that is the ultimate financial dead end. If you wanna get rich, you have to escape this trap. The way out is something called leverage. Welcome back to the $100 MBA show. I'm your host, Omar Zenhom, where I deliver practical business lessons three times a week, Monday, Wednesday, and Friday to help you start, grow, and scale your business. Real quick. If these episodes help you in any way, hit the follow button on this podcast app. It helps us to keep bringing you practical business insights three times a week for free. Thanks. Let's be real. Most jobs, whether you're an employee or a freelancer or even self employed like a one person service business, you're just a different version of the same trap. You trade your hours. You trade your energy. You trade your life for a paycheck. And here's the kicker. You can never work enough hours to get rich. There's only twenty four hours in the day. We all have twenty four hours in the day. No one gets more hours than the other person. No matter how good you are, you can't scale yourself. You can't make more time. That's why doctors, lawyers, consultants, people that make good money can still go broke. If they stop working, the money dries up. The truth is if your income relies a 100 percent on your personal labor, you will never get rich. That's just the bottom line. So how do people actually get rich? They use something called leverage. I learned this years ago from a guy named Naval Ravikant, and he taught me that leverage means your effort produces results without requiring direct time every single moment. Meaning that you're not always using your time in order for you to get a result. And there are four main forms of leverage. The first one is labor, and that is when other people's time is being used. When you hire a team, when you hire even one person like a VA for $500 a month, that is leverage. You're no longer using your own time, your own energy, your own life to create something for your business, to create value for your customers. Somebody else is doing that now, and therefore, you have leverage. You're able to utilize somebody else's time. This is why when you're networking and talking to people and you learn somebody's business has 200 team members. The reason why you're impressed by that is because they have 200 people leveraging their time, their effort, their energy to build something …