Different Platforms To Generate Income.

You might have heard of the book “Rich Dad Poor Dad” as it is one of the most read and familiar books as it brings out four different structures where people make money, this structures are referred as the cash flow quadrant as it involves employees, small business owners big business owners, and the investors. In order to learn more about these issues, you may need to view a website page.

People who have control of their income, make more money than those who don’t. Having your own business is key, whereby you are able to control your own paycheck rather than letting another person determine what your income will be and when to get it. In looking at these different categories of making money, you will be able to have a clear picture of your current position and with regard to the different categories look at where you would like to position yourself in the future in accordance to the cash flow quadrant.

An employee occupies the first quadrant. Being an employee is the most common way of getting a living for most people as it is the most common and simplest way to make money, yet often the most ineffective way to make an income as the employees trade their valuable and limited time for money and the employer takes the advantage. Great tax burdens are laid to employees rather than to employers. Being on this cash flow quadrant limits you as person on your financial and career growth, however it also has some great benefits as it is one of the most secure, most stable, safe and most common way to make a living.

Small businesses do involve substantial earnings to their owners. Unfortunately most of the owners of this kind of business end up by trading their own piece of work for a job that in most cases don’t offer a regular pay or any kind of security per say. There is a great compromise on your financial stability as you are only able to earn by exchanging your valuable time.

The third quadrant normally involves big business owners. Big business owners have greater sources of income compared to small owners and this separates their proceeds. They often choose to invest more capital so as to earn more than employing less capital. On this way the big business owners are able to earn more and secure on their source of income.

Here in the last quadrant involves different investors. An investor is a person who allocates huge capital with expectations of future financial returns. He or she puts money behind an idea or a project to enable it to grow and run swiftly so that in the long run it can give birth to profits. There are some risks to this mainly due to little finances.