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Bonus FAQs Sales are included in communications. Sales equal income. One reason why so many new entrepreneurs fail is because they cannot sell enough to cover the costs of running a business and the cost of their personal living expenses. In 1973, when I returned from Vietnam, my rich dad told me to start looking for someone to train me to sell. That is why I went to work for Xerox for four years, before starting my first business. The most important skill of an entrepreneur is the ability to raise capital. If an entrepreneur cannot sell, the business will die. And the primary reason most businesses fail to get off the ground is because the entrepreneur cannot raise capital.

Systems A business is a system of systems, just as a car or the human body is a system of systems. A car has a fuel system, ignition system, brake system, hydraulic system, steering system, and many other systems. If one system goes out, the car struggles to function or stops running completely. The human body has the circulatory system, respiratory system, digestive system, skeletal system, nervous system and more. Like a car, if one system is weak or out of order, the entire body suffers or stops functioning. A business is the same as a car or a body. It is a system of systems, including phone systems, web systems, accounting systems, marketing systems, legal systems, production systems, and distribution systems. Like a car or a body, if one of the systems is out or damaged, the business falters or dies. For example, let’s say the business is strong, but accounting systems and processes are weak. It will not be long before the business suffers due to shoddy record keeping, poor reporting, unpaid (or overpaid) taxes, and ultimately, a lack of cash flow.

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Profile for Jamiel Cotman

Unfair advantage ebook  

by Rich Dad, Robert Kiyosaki

Unfair advantage ebook  

by Rich Dad, Robert Kiyosaki

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