10 financial tips to change your life

Spend money to make money, instead of hiding it in your account, and set a goal of becoming super rich for extra motivation.

1. Set a goal to be super rich

You don’t just have to be rich, you have to be super rich. Entrepreneurs need to stop thinking about making $80,000 or $800,000. Think millions, even $20 million. Entrepreneurs are people who put their money at risk to make more money. They need to redefine what “more money” means. (Grant Cardone - American self-made millionaire and famous author)

2. Only invest when the profit is 5 times

Some investors have so much money that they urge entrepreneurs to spend it to scale. But my advice is: take the money from them, but don't spend it until you know how much $1 can generate $5. If you don't get that return, you better save it for a rainy day. (Tim Draper - founder of DFJ)

3. Spend money to make money

Money is meant to be spent. So don’t desperately hold onto it like it’s a rare commodity. You’ll miss out on a lot of opportunities that could turn $1 into $10. Pick the best opportunity, throw your money in, and take advantage of it. Don’t keep too much money. Money in your bank account isn’t very useful. Just spend it and see what it can do for you. (Barbara Corcoran - founder of The Corcoran Group and judge on the startup TV show Shark Tank).

4. Buy and hold

Divide your financial strategy into two – positive cash flow and long-term holding assets. Don't mix them up like most people do.

Positive monthly cash flow doesn’t have to be a lot. It just needs to be enough to keep you afloat and not in financial trouble. Then you can be patient with your holdings for the long term.

For example, many people buy houses only to sell them later. This is fine if your main occupation is real estate. But if you ask Warren Buffett, the real way to create wealth over the long term, in real estate and in the stock market, is to use a "buy and hold" strategy. (Tai Lopez - American investor and financial advisor, now owns a company worth hundreds of millions of dollars.)

5. Invest early

Learn to invest early. Put a portion of your income into an investment account with a low monthly fee. Most entrepreneurs make a lot of money, but never put it to work for them.

I only work for money until I can use it to buy other assets, and make money work for me continuously. Passive income is the only way to get rich. High profits will not change your future. Only passive income, with stable profit growth, will help you have a high life. (Com Mirza - CEO Fitness Expo Dubai)

6. Accept change

If you don’t change, you won’t survive in this ever-changing business world. Not only new technology, new advertising models, but also the business model itself can change. Kodak didn’t change. Neither did Betamax. And they all suffered the consequences. (Jay Georgi - founder of Nadvia)

7. Build the foundation first

The formula for success is to focus on what is in front of you. Humans are resistant to change, and we are all programmed to avoid losses. Fear of the uncertain future is common among entrepreneurs. My strategy is to focus on the foundation. In the construction business, your building is only as strong as its foundation.

In my experience, providing solutions that directly save employees thousands of dollars is also an indirect way to save companies millions of dollars. We benefit people indirectly, by improving the finances of themselves and their families (Craig Lack - CEO of ENERGI and founder of Performance Based Health Plans).

8. Invest in people

Hire the best people for your company. They will extend your reach. It’s okay to pay a lot to build that team. Invest in people and don’t think small. You can only grow if you have the right people. To be number one, you need to hire and nurture number one individuals. (Manny Khoshbin - President of The Khoshbin Company)

9. Know the numbers

Entrepreneurs are naturally enthusiastic and want to see the best possible results. They don’t need encouragement. However, they don’t always have a clear picture of the numbers. They are so focused on results that they fail to see the time lag and cash flow needed to sustain operations. Therefore, they need a great accounting team to provide accurate, timely, and effective information. From there, these people can make good decisions, strengthen their leadership skills, and ultimately achieve success. (Roy McDonald - CEO OneLife).

10. Be financially optimistic

Spend as much time as you can convincing yourself that you have the money you need, or that you need to take your business to the next level. Be optimistic about your personal finances. Find a good accountant who can help you understand the numbers. Finance is a tricky field, but a good accountant will make it easy for you to understand. (Katrina Palandri - co-founder of AEG Investments)

According to VNE