Personal Finance, Family and Career

Category — Books

Why Are You in Business?

What do you want to grow up to be? I’m sure we’ve all heard of this question in one way or the other.

E-Myth Revisited, a book I’ve been reading lately with regards to my building of a home business.

The first step of building a Business Plan was to create your primary goal.

What is a primary goal? What would you want to be put on your tombstone, best describes what Gerber wants to tell us.

In Business, it’s the same thing. What do you want your business to achieve? Are its goals congruent with your personal value (or want you want to have on your tombstone)?

Most business owners go into business for a lot of reasons. It could be money, tired of having a job, being envious of a friend’s business and many other things.

While these may or may not be great reasons, most importantly they should congruent with your goals and life plan.

Here are a few things you’d want to think about:

  • I want to build a home business so that I can stay at home and have the time take care of my children.
  • I want to build a school business so that I can help in nurturing children’s education.
  • I want to open a bakery so that I can share with my neighbors and friends the tastiest pies in the world.
  • I want to build a business renting out apartments so that I can contribute to better housing for my fellowmen.
  • I want to build a computer shop to serve those that don’t have the benefit of a home internet connection.

Aren’t those great reasons? Depending on what you want, you’d find the best reasons to get into business and these things can motivate you into achieving success.

Related Post:
Foundations of a Solid Business – You should read about THE MISSION part. Henry Ford’s mission—one he fulfilled with messianic fervor—was to make the automobile available to the masses. Hence his mission statement, “Democratize the automobile.” It was Ford’s ability to maintain his focus on this mission that helped fuel his financial success.

photo credit

October 22, 2009   No Comments

SuperFreakonomics

I am a big fan of of current affairs and psychology books. They always stimulate interests. Some books are on how the human mind works and how you perceive failure. Freakanomics has been for my shelf for a while and just started reading it just before Typhoon Ondoy struck. Unfortunately, the book itself was lost and I plan to buy the book again.

The book’s authors have recently published a book on the same subject, human behavior and theories. Here’s a summary of the book from Smart Money.

The book’s larger-than-life subjects include a prostitute making six figures, a society of money-exchanging monkeys and a group of self-actualized inventors seemingly sprung from the pages of an Ayn Rand novel. While the inventors task themselves with solving the globe’s problems one at a time, Levitt and Dubner provide hope that some of the world’s biggest challenges can be solved by old-fashioned, low-cost innovation.

They tackle the question of why so many doctors prescribe chemotherapy, and how one would measure doctor effectiveness. They also look at group-think and a 1964 New York Times article about Kitty Genovese, who was murdered as up to 38 people looked on. It turns out there’s more to that story, too. The authors use that tragic tale (and the article) to address — and discredit — extreme ideas of human behavior, including both apathy and altruism.

October 21, 2009   1 Comment

The Best Books I’ve Read or Listened to About Personal Finance

I’ve always been a reader. I like to books about personal development, health and finance. With the recession already here and the call for saving is getting louder than ever, I’ve mainly focused on reading about personal finance.

Of all the personal finance books I’ve read in the past, I’ve really liked and recommend a few books. These books have been a great help to me in my goals to reach a financially independent lifestyle in the distant future.

Debt Repayment

  • The Total Money Makeover. This book has been a great instrument in fast-forwarding my debt repayment plan. Dave Ramsey have always said that personal finance is 80% behavior and 20% head knowledge and it makes sense. Using the famous Debt Snowball, I’m reduced my debt. I’m almost through paying my credit card debt and I’ll be left with the mortgage.

Budgeting

  • All Your Worth. While the book gives details a six-step plan for getting your finances in order, the best tip that can be pulled out of this book is the Balanced Money Formula. The Balanced Money Formula is by far the simplest budget system I’ve ever encountered which divides your take home pay into 50% – must haves, 30% – fun money and 20% – savings and investments.

Investing

  • The Automatic Millionaire. This book greatly motivated me regarding how small amounts (‘latte factor’) can add up in the future. The book is something to read if you want to get motivated into saving and investing.

Financial Independence

  • The Millionaire Next Door This book is the sum total of a study in the life of millionaires. It actually surprised me. The outcome of the survey was light years different from what I expected. I imagined having nice cars, having big houses. Instead, millionaires lived modestly and below their means.

September 21, 2009   5 Comments