HOW TO CREATE WEALTH Beta Version 1.04

1
HOW TO CREATE WEALTHBeta Version 1.04

• Dr. Thomas Webb
• Week 9
• May, 2006

2
Introduction

• Looked at 200 sites. What scum!
• This is not about the means but about what wealth
  really is and where you can find it.
  
• Windowshoppers Rumi

3
Windowshoppers

• These spiritual windowshoppers,
• who idly ask, How much is that? Oh, Im just
  looking.
  
• They handle a hundred items and put them down,
• shadows with no capital.
• What is spent is love and two eyes wet with
  weeping.
  
• But these walk into a shop,
• and their whole lives pass suddenly in that
  moment,
  
• in that shop.
• Where did you go? Nowhere.
• What did you have to eat? Nothing much.
• Even if you dont know what you want,
• buy something, to be part of the exchanging
  flow.
  
• Start a huge, foolish project,
• like Noah.
• It makes absolutely no difference

4
What is wealth?

• Not the generic issues of wealth.
• Wealth is Net Worth Assets Liabilities
• Wealth more than ever in history is based on
  human capital. It always has been, just more
  can do it now! I consider this Grahams central
  premise!
• How is wealth defined remember how I defined
  what a product is, exactly the same. Wealth is
  what it DOES not what it is!
  
• Cal Dalton always says he didnt want to BE a
  millionaire, just live like one.

5
What wealth isnt!

• Not money
• Not free
• Not easy
• Not a zero sum game
• Not a job or wages or an idea or hard work.
• Wealth creation has a lot of randomness in it
• It isnt luck! Just a few exceptions
• Cant be timed
• Cant be forced
• Can be stolen

6
Grahams Proposition

• Can you get what you have earned?
• You will be exploited for others. In Marxism it
  was capital that got the rewards but today you
  are the capital and still dont get it. WHY?
  Dalton Example
• Create your own Wealth-O-Meter! Start it now
  and do it every year.

7
Webbs Wealth-O-Meter
8
Wealth-O-Meter

• Do it every year and find out your process to
  wealth creation and getting what you deserve.
  
• Measurement is whether your results can and are
  measured.
  
• Leverage is your ability to force your results to
  be recognized.
  
• Love what your doing must be on an HONESTY SCALE
  of 1 to 10
  
• Definition of Wealth could change dramatically
  over the years. Know how it changes.

9
Where is wealth?Webbs Top 10 Places to Find It!

• Wealth can be many things from moral to
  immoral. But that is not what we are talking
  about today.
  
• HERE ARE WEBBS TOP TEN PLACES TO FIND WEALTH!
• First wealth is what is inside you!
• Failure - 100 times or a thousand
• Cheap If you want it today, you wont have it
  tomorrow!
  
• Start today, jump in and get going, tomorrow
  never comes!
  
• Willing to risk yourself not just your money
  but YOU!
  
• Expectation-Reality Gap
• Humor
• Passion, learning, knowledge must be important.
• See the little things, that is where the insights
  are.
  
• Open doors 100 or 1000, keep opening, most
  wont work.
  
• Do you love what you are doing?

10
Webbs Top 10 Places to Find Wealth!

• You have to do three things. No one every told me
  this.
  
• Figure a way to create wealth
• Figure a way to get it
• Figure a way to keep it and then give it away!
• Creation of wealth requires measurement and
  leverage.
  
• Can you output be measured? No rewards if cant
  measure?
  
• Do you have the power to force your returns up to
  meet net worth?
  
• Are you in a place where these two can happen?
  Hint can you fail?
  
• Me at Dalton
• Link up with someone!
• Find a competitive advantage in the world of
  BIG!
  
• Pick a hard problem to solve and keep picking
  hard
  
• Find a niche, a gap, a hole
• Do something someone really wants
• Get their fast and better
• Wary of patents

11
Webbs Top 10 Places to Find Wealth!

• Pick an area and become an expert! Key!
• Location, locations, location!
• Go to growth, where is the action
• Find the niche, the gap
• Go to the place in the industry that is future.
  Go to the wealth generator in a company
  
• Get in an environment where you can measure and
  have leverage! Small is best.
  
• Compound Interest. Rule of 72.
• Investment Fool.com
• Webbs Theory of the last 5 years 50-50!
  Stowers Idea
  
• Do something, anything that creates wealth buy
  a car, collect, land, real estate, etc.
  
• Nothing in your life can be more powerful than
  compound interest!

12
Webbs Top 10 Places to Find Wealth!

• Are you really serious about creating wealth?
• If you are then debt must play a major role
  in your life avoid it. Debt is the opposite of
  wealth. Unless you conserve some resources then
  you wont create wealth. Debt comes from living
  at a standard of living you cant afford other
  than some real emergencies You make this
  decision every day and until you do, you just
  wont make progress. Remember the rule of 72 and
  The Theory of the last 5.
• Try different hats until one fits.
• You dont buy your cloths with just one try or
  not even seeing if they fit, why do that to you
  life!
  
• You may find more than one hat that fits over
  your life. In fact that is a really exciting
  thing to understand! Such a treasure!

13
Where is wealth?

• Do something you love so if you fail, you can
  still be happy. Think of the terror when you
  find out you arent going to make it and you are
  in something you hate. Such tragedy!
• When you get out of college and go to work you
  have gone from guest to servant!
  
• I hereby guarantee you I will give each of you a
  million dollars if you faithfully follow these
  rules and dont become wealthy within 25 years.
  If you do, send me 10,000!

14
Shakespeare

• MEASURE FOR MEASURE
• Act I, Scene 4
• William Shakespeare
• Lucio. Assay the power you have,
• Isabella. My power? Alas, I doubt--
• Lucia. Our doubts are traitors,
• And makes us lose the good
• we oft might win,
• By fearing to attempt.

15
GoetheUntil One is Committed

• Until one is committed, there is hesitancy, the
  chance to draw back, always ineffectiveness.
  Concerning all acts of initiative (and creation)
  there is one elementary truth, the ignorance of
  which kills countless ideas and splendid plans
  that the moment one definitely commits oneself,
  then Providence moves too. All sorts of things
  occur to help one that would never otherwise have
  occurred. A whole stream of events issues from
  the decision, raising in ones favor all manner
  of unforeseen incidents and meetings and material
  assistance, which no man could have dreamed would
  have come his way.
• Whatever you can do,Or dream you can, begin
  it.Boldness has geniusPower and magic in it.
  
• Goethe
• 1750-1832 - a painter, novelist, dramatist, poet,
  humanist, scientist, philosopher, and for ten
  years chief minister of state at Weimar

16
HOW TO CREATE WEALTHThe Beginning!