Money isn’t everything, incurring a lot of money certainly isn’t success.  To constantly buy newer, bigger, and better things requires more money or incurring significant debt.  One of those two things will probably happen.  First, you can find yourself always pursuing more money to have more things and consequently lose perspective on what is really important, or secondly, you will find yourself swimming in a sea of debt, which will result in significant pressure, frustration, despair and bondage.  Undoubtedly, neither option sounds particularly appealing to you; nonetheless, you may fall into one of these traps.  The far better path is to control your desires and to live conservatively.  While perceived to be a difficult path, it is, strangely enough the easier and also the more fulfilling one.

By applying conservative financial thinking to your personal and business life, you will focus on material wealth, reduce financial stress and focus more on the important aspects of your life that make it truly meaningful and fulfilling.  So, put first things first.  Keep your priorities in perspective.  Remember that your business or job provides the means for you to achieve the other things in life you wish to achieve; it is not an end in itself.

It is possible to be debt-free even while in active business.  Plan to make money from the beginning of your business.  I don’t subscribe to the general philosophy that says, “It takes three years for a business to start making money.  Who wants or can afford to lose money for three years?  I don’t count myself among the group that answers “yes” to this question and I certainly don’t want you in that group either.

Before jumping into that opportunity you have selected, build cash reserve and limit your personal liabilities.  Do not go into enormous debt to start a business.  Establish a start-up budget for the business and a timetable to realise the necessary revenue level; clearly, your cash reserve must cover you during this time, so plan carefully.

Leading a conservative lifestyle will ensure that you get your business started in a positive financial manner while using the business’s cash flow to build a strong financial cash and investment base and to help others.