by Sharon Lechter
CPA, co-author of Rich Dad series of booksÂ
Rich Dad said, “If you want to be rich, who you know is more important than what you know.” He explained further, saying, “Business is a team sport and investing is a team sport. The average investor or small-business person loses financially because they do not have a team. Instead of a team, they act as individuals who are trampled by very smart teams.”
People in the “E” (employee) and the “S” (self-employed) side of the CASHFLOW Quadrant (right) are taught to operate as individuals so they do not learn how to build a team. They often make less money than they could or would like because they tend to do everything on their own. Successful “B” (business owners) and “I” (investors) surround themselves with a team of experts in every area of law, tax, accounting, insurance, or securities so they find advisors who have assisted other people along their path to success.
An important distinction when selecting your team is that you want advisors who are strategists to the rich, not salespeople. Rich Dad’s Advisors counsel the rich, but are not salespeople to the rich. There is a big difference. Strategists get paid for their expertise and advice. Salespeople get paid for selling you something. Always know which type of advisor you are talking to. Also look for professionals who have personal experience in the specific area you are seeking advice. Does your real estate broker personally own any investment properties? Remember, there is nothing better than first-hand experience.