Washington Times just made a statement that is not only irresponsible, it's in fact not at all correct...on any level. I defy them to prove me wrong. Here is the opening line...
"The worst financial crisis since the Great Depression is claiming another casualty: American-style capitalism."
That type of statement certainly speaks to me that Washington Times would love to see nothing more than the failure of Capitalism and all things that America was built to stand for.
Credit has never been the lifeblood of any of my businesses that I started. Hard work, on the other hand, was. The friends I have who have started business hustled them up from nothing. Getting credit is not always an option, so you're left with true grit hustle.
Work hard, save up some money, go out on your own and make it work.
Credit is not the lifeblood of Capitalism. That is a good way to get any country in trouble when it is viewed as such.
Obviously credit has been used at a very high level for a lot of businsses. It doesn't make it right. It's actually pretty stupid. It gets businesses in trouble. It has helped many businesses grow into powerhouses too. It's still not a bright way to build your company.
At one point, I will be buying a couple thousand acres and building a movie production studio - with zero credit on the project. I'm not inheriting money to do it. I didn't win the lottery. I'm working hard on a couple of my businesses (which I will either sell or use the cash-flow to fund my new ventures) and I will be writing checks for all of this.
Credit is the lazy, irresponsible way of building a business.
Back when the Great Depression happened, having nothing meant having nothing. Not at all like it does today. We are such a rich nation and it amazes me to think that our perspective is so off. I sit here working on a new laptop I just bought about a month ago, maybe less. I have books and magazines and CDs surrounding me in my office in my finished basement. I have an extra TV with a PS2 that my oldest son is playing on - and I have several games for it. I drive a used BMW I bought in April. There are plenty of days when cash-flow is thin and I
feel like I don't have any money. The problem is simply my cash-flow.
As Andy Stanley puts it, those are "rich people problems." He's right.
One of my grandfathers was really affected by the scarcity brought on by the Great Depression. The youngest of his brothers, he had nothing (from a monetary standpoint). He knew that if he was to have anything as he got older that he would have to work smart. Save, invest, work hard and earn the rewards. He built several companies, starting small and growing them as cash-flow allowed. He died a very rich man, rich financially and rich with family.
Hard work is the life-blood of American Capitalism. Don't let anyone tell you otherwise.
