SAVING AND CREATING ASSETS

Why Savings and Creating Assets is Extremely Important.

As Netflix became popular, Blockbuster Video business based on renting out home media was destroyed. The company that had over 84,000 employees in 2004 filed for bankruptcy in 2010. Small rental stores owned by ordinary American families began shutting down at incredible speed.

Now think of it as if you were one of those families. In the early 2000s you would’ve felt comfortable with your life. Nothing could go wrong. I mean, everyone needed entertainment, so who would stop renting videotapes or DVDs or CDs? And then suddenly, in a matter of less than 5 years, your earnings shrink because people no more come to your store, they’re taking a Netflix subscription. Before you even have the time to understand what’s happening and act on it, you have to shut down the store. Income gone, expenses and debt still heavy. 

We usually talk of how recessions take away jobs. But the magnitude to which technological changes put people out of job is unbelievable. 

My point here being: don’t take what you’re doing for granted. The pace at which technology is evolving, ANYONE could face a professional and financial crises in the coming decades. 

You have only one near sure-shot saviour: savings and sensible investing. If you build assets now, you can deal with future uncertainties.

I encourage you not to take the little money you earn for granted put in use and allow it to grow. We don't know where the evolution of technology will leave us🤷🤷

Our generations may not feed on our salaries and wages but can feed on the assets built from our salaries and wages today.


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