As any successful entrepreneur will tell you, positive cash flow depends on one’s ability to be frugal. I’ve said before, I’ve made a lot of money but I’ve also lost a lot of money! Cultivating habits to build positive cash flow can reverse loss in a big way and really aid cash flow. Have you acquired any of the following habits?
- Carrying limited cash: simple but effective. Don’t give yourself any room for frivolous or impulse purchases and, as a result, help protect your wallet.
- Driving sensible cars: flashy and expensive is a sure-fire way to drain your bank account. Therefore, you should invest in a reliable car with good gas mileage and minimal maintenance.
- Making smart purchases: don’t chuck out your hard-earned money. Make intelligent purchases and choose quality products that will stand the test of time.
- Avoiding needless debt: if you don’t have the money for it, don’t buy it!
- Avoiding procrastination: be frugal with your time as well as your money. Understand the value of work and you’ll be less likely to put it off.
- Setting goals: don’t try to drive without a road map! Set clear goals and give yourself a target at which you can aim!
- Adapting to change: also, it’s important to stay flexible and adapt when you need to. You’ll keep yourself open to opportunity and options!
Taking small steps like these and cultivating habits to build positive cash flow will dramatically increase the money you can put towards an asset. In what ways do you need to become more frugal?