• Protection from lawsuits
91
We live in a litigious society. Everybody wants a piece of your
action. The rich hide much of their wealth using vehicles such
as corporations and trusts to protect their assets from creditors.
When someone sues a wealthy individual, they are often met
with layers of legal protection and often find that the wealthy
person actually owns nothing. They control everything, but own
nothing. The poor and middle class try to own everything and
lose it to the government or to fellow citizens who like to sue
the rich. They learned it from the Robin Hood story: Take from
the rich, and give it to the poor.
It is not the purpose of this book to go into the specifics of owning a
corporation. But I will say that if you own any kind of legitimate assets, I
would consider finding out more about the benefits and protection offered
by a corporation as soon as possible. There are many books written on the
subject that will detail the benefits and even walk you through the steps
necessary to set up a corporation. Garret Sutton’s books on corporations
provide wonderful insight into the power of personal corporations.
Financial IQ is actually the synergy of many skills and talents. I would
say it is the combination of the four technical skills listed above that make
up basic financial intelligence. If you aspire to great wealth, it is the
combination of these skills that will greatly amplify your financial
intelligence.
In summary:
As part of your overall financial strategy, I recommend that you learn
about the protection that legal entities can provide for businesses and assets.
92
Chapter Five
LESSON 5: THE RICH INVENT
MONEY
Dostları ilə paylaş: |
