Wealth generation formula doesn’t start by only starting a business. You have to think what kind of business are you going to start.
In today’s economy, we have to think to impact millions. Remember, to make millions you have to impact millions. If you are doing the job, your wealth generation formula consists of two variables. Number of hours invested in a task x your hourly rate or intrinsic value of your skills. If you are a skilled technician. Your hourly rate would be the around $10 per hour. If you are a skilled back end developer with a number of years of experience. Your hourly rate may go from $40 to $60 per hour. When you want to multiply that hourly rate with the total number of hours worked in a week. You will get your weekly salary. Some further calculations may bring you can accumulate monthly or animal salary.
Consider both of those variables in the equation of wealth generation formula of the person doing the job, or self-employment. The first one is hours invested in doing work, the second is the intrinsic value of those hours. If you want to increase the number of hours, the first variable. It has upside limit. You can go no more than 24 hours in a day.
Moreover, for a hypothetical scenario, take an example. If you can work 24 hours daily without having a sleep, with closing doors of the washroom on yourself, taking no food consistently for 24 hours and doing the work for a whole month. With an hourly rate of $10, how much income will you generate in this hypothetical, nonsense and impractical scenario? Even if that is impossible let’s calculate there are 24 hours in a day multiplied by 30 number of days in a month. 720 hours would be the answer. Multiply that with the intrinsic value of $10. It will get you the $7200 in a month which is simply impossible.
Comparatively, consider increasing hourly rate by polishing skills through education, online courses and practical implementation of years after years. If that skills intrinsic value shoots by 50%. That will be $15 per hour.
In this situation, if we take a real fact of working no more than 160 hours per month. Your monthly income will go to 160 hours x $15 per hour, which is around $2400 a month. Which again seems to be very hard as increasing 50% value of intrinsic value is not that easy enough. As some Ruby Developer.
So what should be a good wealth generation formula that can accelerate really fast? The answer is described in the title.
Additionally, now think of the wealth accumulation formula of a business, impacting millions. I’m not talking about the local franchises, retail stores, delivery services types of businesses that limited locally. Also, neither the job nor the self-employment is the point of discussion here. I’m simply talking about the ideology of impacting millions.
Get connected with millions and sell them only $1 worth of product, you will be a millionaire. Consider both of the variables in this type of wealth accumulation formula.
The first variable is ‘impacting millions’ that has no upside limits so if your audience is 1 million you can increase it more.
Now consider both of the variables in the above-mentioned wealth accumulation formula. The first variable impacts the second variable is the dollar value of the product. Again there is no upside limitation to anyone of them.
You can increase your audience from 1 million to 10 million. If you’re still selling only dollar 1 worth of value product to those 10 million, you will get 10 million.
I know that seems easy and one of your employment-minded people may criticize the idea but the fact is, it is the fact. This is how Facebook impacted billions, this is why WhatsApp connected billions, this is what Google did. So in an actual scenario, if you have impacted 10 million and tried to sell them only $1 value of a product and your conversion rate is 10%, again $1 million will be out there.
Look attentively at the second variable of this equation and that is the price of the product. So if you only increase the price of that product from $1 to $1.5. You will see the impact in your wealth accumulation formula with a big number. Increase $1 to $1.5 and again ask 10 million audiences with a 10% conversion rate to buy that, you will get 1.5 million dollars. Is not that amazing? Also, conversion rate doesn’t have any upside limit.
Doesn’t that make sense? isn’t it possible?
This is how billionaires become billionaires. Think about VISA, examine MasterCard, recognize Amazon. They all are doing one thing.
Seekers! that is not easy. If that was easy everybody was doing that. Everybody was a millionaire. They are not because of their limited belief systems. They are there because of their perspectives. Formal education, family expectations, and social pressures forced them to go and do a formal corporate job in a multi-national with some sexy women and chickens rolling around.
Years later you will automatically understand what are you not going to understand now. Mark Zuckerberg isn’t fooled. Adam D’Angelo the founder of Quora is not the shit. That guy was going was doing the job in the world’s one of most awesome companies Facebook with an environment you may even lick for. He started his own product with two wooden benches and four computers in a very tiny room. That guy is impacting millions now. Even if Quora didn’t announce it’s monetary policy yet. But once they will announce, millions of dollars will be in the pocket. Thanks to billions of their audience.
Those guys including Tim Ferris, Jason Fried, MJ DeMarco, Adam D’Angelo, Mark Zuckerberg, Bill Gates and Steve Jobs knew the rule what in unknown to the majority of this world. This is what I am trying to make you understand.