What are the Four Proven Paths to Wealth? Historically, there have only been three proven paths to wealth—real estate investments, portfolio investments such as stocks and bonds, and building a business. But with the advent of the internet, there has arisen a fourth major path to wealth—internet marketing. Robert Allen, author of Multiple Streams of Income, calls these four paths to wealth the four Financial Freedom Mountains.
Investing in all four will not only give you both the safety of diversification and constant exposure to wealth-building opportunities, but will also provide you with multiple streams of income.
Here are the four proven paths to wealth.
- Real Estate. Over 70% of the wealth in the United States has been built through buying, selling, or leasing real estate. There are two major strategies to making money in real estate: (1) buy and hold, either making a profit through the appreciation of the property or creating passive income through rentals or leases; (2) buy and turn over quickly for a profit. Most investors use both strategies so that they create both active and passive income with real estate.
- Portfolio investments. These are investments in stocks, bonds, mutual funds, CDs, tax certificates and other “paper assets.” Portfolio investment is the most popular form of investment for the average investor, because paper assets are so much easier to manage and maintain than any others.
- Businesses. Every great Fortune 500 company started with an idea in someone’s head of how to provide a product, service or idea that others would be willing to pay for. There are seven basic models of business: (1) businesses selling to individual customers; (2) businesses selling to other businesses; (3) businesses selling to governments/government agencies; (4) businesses selling to philanthropies and charities; (5) joint ventures, either business to customer as in network marketing, or business to business partnerships; (6) licensing ideas to customers, businesses, governments, or philanthropies; or (7) providing consulting to customers, businesses, governments, or philanthropies.
- Internet marketing. With the advent of the “Information Age,” the internet is visited by over 2.3 billion people a day and provides incredible opportunities for building wealth. The easiest way to make money on the internet is through e-Bay, Craig’s List, or the Local Sales Network. In fact, you probably have a couple of thousand dollars worth of “stuff” stashed in your closets and garage that you could sell, and that would be a great introduction to business for your children. But there are many other profitable forms of internet marketing: audios, videos, ebooks, courses, as well as physical products.
These four paths to wealth have produced the greatest number of millionaires in the past thirty years. But there is a fifth path to wealth that is fast becoming another Financial Freedom Mountain, and that is Infopreneuring. An infopreneur is an information entrepreneur who markets information. There are many forms of infopreneuring , from writing books, to creating radio or television shows, to producing videos and audios, to presenting seminars, to creating home study courses.
For example, did you know that public speaking is one of the highest paid professions in the world? People will pay for expert advice, and infopreneuring is simply having people pay to learn about the expertise you may have in a certain area.
Multiple Streams of Home Income
We think everyone who is considering starting their own business or who already has their own business and wants to take it to the next level should read the books and listen to the CDs on our Top Business Resources page. Sure, it’s going to take you awhile to get through all them all, but the time it takes to study them is nothing compared to the time you’ll waste if you don’t.
Why Should You Buy These Resources?
We’ve read practically everything worth reading when it comes to business, and have concluded that these 14 resources will cover all you need to know to get a vision for what your business will be like, for what kind of home business best suits you, and for how you would like the business to operate, plus many, many practical tips for building the business into exactly what you want it to be.
These resources cover:
- how owning a business is one of the most important ways you can make a Christian impact on your community
- how to get in touch with what you really want to do
- finding the business that is best for you and your family
- learning to think like an entrepreneur
- understanding principles of money and cash flow
- why it is so important for you to create sources of residual income
- creating different streams of income
- how to develop a business plan
- all the nuts and bolts of building a home business
- the essentials of business management
and much, much more.