How to Know if You are a Junkie with a Cashflow Problem?

Posted on | June 23, 2010 | 2 Comments

I admit it. I am a junkie – an office supply junkie that is. I have several drawers in my office full of office supplies. I just love them. I love the different colors they come in, the different shapes, even the aromas. Maybe, I have a problem. No, I don’t sniff markers. However, why did I spend this money on office supplies for which I have no real need? I did learn how to fix this cashflow problem.

The lesson here, because why would I waste your time reading this if I didn’t have one, is that we should watch what we spend our money on when it comes to our business. How much did I spend on these office supplies over the years? Maybe hundreds of dollars. No kidding. But, this money could have been better spent on my Virtual Assistant who helps me complete tasks that make me more money. I needed to learn how to control my cashflow properly.

There is the kicker. In business, we really need to concentrate on spending money on investments. This means spending money on things that make more money. The office supplies didn’t make me more money – it just took up space. I have stickies everywhere!!! (On a side note, thank goodness I discovered Evernote.com)

When trying to decide whether you should purchase something or not, ask yourself “will it make me more money?” This will teach you how to control your cashflow. Besides my purchase of office supplies, I do this all the time. I hate spending money on things that make me no money or don’t do anything to save me time. Time to me is like money. I put a high value on my time.

For example, I hate spending money on groceries. It takes so much time to cook. However, I don’t mind spending money on a restaurant. It saves me time from having to cook and I can instead use my time to talk with my family. I am not making money while talking with my family, but the reason I make money is for them; therefore, they are even more important, and should be.

Knowing where to spend your money is very important, because it can make or break your business. Understanding how to use cashflow in business and personal finances can help you avoid financial problems.

If you want to learn how to gain control over your cashflow, I highly recommend you read the book below and play the game. The links are below. I promise, if you do you will be writing to me thanking me. (Note: The game is a bit hard to get a hold of. There are a few left at the link below.)

Cashflow Quadrant: Rich Dad’s Guide to Financial Freedom

Rich Dad Cashflow 101 board game (with CD’s)

Tell me, are you an office supply junkie too? What do you spend your money on? Do you have any tips to share that others can use to help them learn how to control their cashflow? Leave a comment below.

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