It’s important that we have the right information and understanding if we’re going to be successful.
Thinking that you’re a business owner and operating like a job owner, will only result in frustration, confusion, and likely stunt your growth, the businesses growth that is.
Let’s define these two terms…
If you’ve read Robert Kiyosaki’s book, Cashflow Quadrant, you should have a good idea where I’m going with this, if you haven’t read it, you should. However, I will explain it a little.
A “job owner” is somebody in the S quadrant, which stands for “Self Employed”, however most people in the S quadrant aren’t business owners, but rather job owners. If they don’t show up for work, even though they’re the boss, they don’t get paid.
A true “business owner” is somebody in the B quadrant, who owns a system that the owner can leverage to produce predictable results, even when they don’t show up for work.
An example of a Business Systems Owner is a McDonalds Franchisee. They have invested into a system that is proven to produce results. How many times have you seen an owner of a McDonalds, behind the counter flipping burgers or getting the fries out of the fryer?
An example of a Self Employed job owner is likely to be a service provider like your pool guy, yard guy or pest control guy. They might have a couple guys working “for” them, but you’ll find the owner in the field every week performing the labor, serving their customers.
Kiyosaki says, “…if you’re successful as an S, you’ll work harder than if you were in any of the other quadrants, and you’ll work harder for a long time.” (page 84)
Can an S become a B?
The answer is yes, and that should be your goal, especially if you’re in the S quadrant. In order to do that, you’ll have to change your thinking about business completely.
Most of the small business owners I consult and coach, are actually job owners, and their frustrated with their situation because they don’t think systematically and they’re not willing to let others help.
To prove my point, let’s try this little test, finish these sentences:
“If you want it done right … ”
“Time is … ”
If you said, “you have to do it yourself” and “money”, then you have the wrong information and therefore the wrong thinking. That is, what I call, “job owner mentality”.
For about 5 years I was stuck in the same trap, frustrated with the lack of time I had to work on my business because I was spending so much time performing the labor required to get paid.
And I gave up on trying to duplicate myself, because I struggled to find anybody competent enough to perform as well as I did.
Which was a result of my lack of systemized processes and leadership.
In regards to moving to the the B quadrant, Kiyosaki said, “…remember that your goal is to own a system and have people work that system for you.” (page 100)
How to Move to the B…
Hopefully you’ve figured out by now that you need to systemize your business, and you need to find people who can run the system(s).
However, the most important place to start is with you. You need to invest in changing your thinking and understanding about business. I’ve worked with people who even after implementing a new system, sabotage themselves because they hadn’t changed their thinking from a job owner to a business owner. They couldn’t trust the system to produce the results.
Changing your thinking is a process, and it requires getting better information. I’m going to suggest you do three things.
Both of these will help you transition your thinking, enabling you to become what I like to call, a 5% thinker.
Don’t hesitate, there is a reason why so many new “businesses” fail in 3 to 5 years.
In regards to failing S type businesses, Kiyosaki said, “I think the reason most fail in the first five years is due to lack of experience and lack of capital. The reason the one survivor often fails in the second five years isn’t due to lack of capital, but lack of energy. The hours of long, hard work finally get to the person. Many S’s just burn out.” (page 84)
Are you ready to move to the B quadrant?
I found this video, Kiyosaki teaching his Cashflow Quadrant concept.