There are many differences between the life of an employee and the life of a business owner. There are even more differences in the perspectives they bring to everyday issues in life.
When we are employees we are basically on a fixed income. Of course, it might vary a little from year to year, but as far as the short term is concerned, we know exactly what to expect on payday.
The problem is, our expenses aren’t fixed. Food, transportation, energy, medical, taxes and more all see regular increases that are almost always beyond the increases – if any – we see in our paycheck.
This is an intractable mathematical reality that has to be addressed. Leaving aside the common (but unsustainable) option of increasing our total indebtedness every year as a way to limp along, the only other possibility for an employee is to cut expenses. So we eat cheaper food, skip the fun vacations, visit the dentist only when the discomfort gets unbearable, drive a car with marginal reliability and endure other reductions in our basic standard of living. This is the new reality for tens of millions of families.
And expense reduction is very finite. You can only cut so much before you are hurting yourself in ways that can bear long-term costs. In short, poverty is no solution.
But an entrepreneur looks at this situation with an extra option. Why not just increase income? This is the fantastic power of owning your own source of income. It’s even more valuable when that source of income is online. Why? Because no matter how dire things are in your local economy, there are people all over the planet willing to spend money on what you offer. They are easy to reach and all you need is to offer them a value they desire.
In the year 2001, when I was getting started with my own online income, I visited a motorcycle shop and saw a bike I really wanted. It was $10,000 and that just wasn’t in the budget. But because I looked at the matter from the perspective of an entrepreneur, instead of an employee living paycheck to paycheck, I had an extra option.
I went home and wrote an email to the people on my mailing list. I offered them something at a discount price and I told them it was a special offer so I could buy a motorcycle. Of course, nobody really cared that I wanted something. What they did care about was that they could get a good price on something they were already interested in. (That’s why they were on my mailing list in the first place.)
Forty-eight hours later the $10,000 was in my bank and I bought the new motorcycle.
That was a real eye-opener for Connie and me. I’ve owned other businesses in the past but the immediacy of doing it online was really brought home that week. When I operated a mail order business, it took a couple of months to get a special deal laid out with a typesetter, made into a color catalog at the printer, mailed out via the postal service, then waiting weeks for paper checks to gradually arrive in the mailbox.
Online, it was all done in 48 hours at basically zero expense. That’s a revolution!
Two years later $10,000 was a typical week. Two years after that I (finally) realized the whole business could be run from the Caribbean or Thailand or almost anywhere else we wanted to live. That’s a global revolution!
Employees of a company have few options. Most have to rely on reducing their standard of living in order to make ends meet during difficult times. Entrepreneurs have the powerful option of simply increasing their income at will.
When an employee works twice as hard, he gets to keep his job (maybe). When an entrepreneur works twice as hard, he makes twice the income.