THE MILLIONAIRE FASTLANE BOOK REVIEW
I have read a lot of books in my life and the millionaire fastlane is one of my all time favorite. This is one of the books I wished I wrote. I’ve always seen life and business the same way this book describes and the book does an AMAZING JOB explaining in details all of the components of wealth and how to create it.
The main premise of the book is that the whole idea behind getting rich slow; saving 10% of your income and wait until you are 65 years old to retire and be a millionaire is flawed. Yes you can get rich that way, but most millionaires and billionaires became rich QUICKLY. This is especially true with all the new technologies out there.
The Millionaire Fastlane points out the major flaws with the old get a degree, get a job, work hard, retire rich model, defines wealth in a new way and shows you the path to retiring young.
The author tells us that we should spend our time in the fastlane; a way of creating money that works QUICKLY. Fast wealth is created exponentially, not linearly.
There are basically 3 main financial road-maps; each has its belief system
Sidewalk: poorness. These are the people that live paycheck to paycheck. They work in a job in which they exchange their time for money and they don’t save any money. These people often use credit to buy whatever they want whenever they want. They have negative net worth or no savings…Most of the time they hate school because they hate learning, and they also don’t read books for the same reason.
Slow-line: Mediocrity. Similar to the sidewalk, but they are saving money. They save a good portion of their salary and they invest what they save. Their goal is to save enough money to be able to retire a little bit earlier. The whole premise behind the slow-line is to rely on compound interest to create wealth at the age of 65…The problem with this method is that first of all, you will be old and won’t even be able to enjoy it. The other problem is that because of inflation, you won’t be able to buy much…
Fast-lane: Wealth. These people refuse to exchange their time for money. They realized that wealth can be created quickly with the right system. In the slowlane, you are the source of heavy lifting while in the fastline, you construct a system that does it for you. These are the people like Mark Zuckerberg, Elon Musk, Justin Bieber, and people that you have never heard off but invented or built something that generated billions of dollars. These people ALL IMPACT millions of people. In the slowlane, you do the heavy lifting, while in the fastlane, you construct a system that does it for you.
The slowlane doesn’t only apply to people who work in a job and invest their money. The slowlane is when someone chooses a system with which it is hard to grow exponentially. Someone who opens a subway franchise would be considered in the slowline because it would be pretty much impossible for that person to grow exponentially. With a subway franchise, you rely on the management of subway to make good decisions. If they make smart marketing decisions, then you will make money. They decide what’s on the menu, how you will price the items, etc. It is also really hard to open many locations at the same time because your banker will need you to prove to them that each location that you currently have make money. It will basically take a lot of time for you to make massive wealth with a system like this.
Being the person behind ALL of the subway franchises on the other hand, is a real fastlane business. People pay you to use your system and they pay you a royalty every single time they sell something. That’s how you get rich in line. That’s what the fastlane is all about.
This book is not for everybody. Not everybody can and want to be in the fastlane , but those that want to be in it will absolutely love this book.
The 3 main lessons I got from this book:
Lesson 1: Wealth stands for 3 things, none of which is money
The author says wealth includes 3 things:
1) Meaningful relationships with your family and friends
2) Being fit and healthy
True wealth is being able to control your time as you want. There is no point being rich if you don’t have time to spend time with
people you want to spend time with. There is no point being rich if you don’t even time to take care of your health and exercise.
Money can buy you unlimited amounts of freedom if you make it the right way. It’s not about exchanging your time for money; it is about building a system that generates passive income as you sleep.
Lesson 2: Make your income NOT dependent on your time
Separate your income from the hours you put into work. What you need is passive income. The owners of Subway (all of them) achieved that. They have a system in place in which people that buy the franchises do all the work.
I started making passive income when I started with Kindle publishing. A book that I wrote myself in 3 hours generated $1500 in a year and a half and I have absolutely nothing to do, it sells without me doing anything and it will continue to do so in the future. This is what passive income is all about. Click Here to learn more about Kindle Publishing.
The author says that even though the fastlane might be fast, the main error that people make is to assume it will be easy. It is not. There are absolutely no shortcuts. You will be required to work A LOT in order to make it work, and the same is true for the slowline…The main difference between the two is that with the fastlane, the potential for wealth is much greater (and much faster).
Lesson 3: Stop consuming, start producing
The only way to build a fastlane business is to think like a producer instead of a consumer. Since you were born you have been conditioned to consume…Most people live a lifestyle they can’t afford and the only reason why they can afford it is they buy it on credit.
To become really rich, you need to stop consuming (unless it is for knowledge) and start producing. If you don’t produce anything, it is literally impossible for you to become wealthy.
Look at the Forbes list of Billionaires and what you are going to see is people that build massive system that generates BILLIONS of dollars. These people are real producers. They produce A LOT.
Take a small business owner on the other hand. Yes, that person is much better than someone on the sidewalk, but that small business owner ( a corner store for example) can’t scale up his business to make billions. It is literally impossible for someone with a corner store to make massive wealth because that person picked a system that doesn’t allow wealth creation.
Key Insights form the book
-Getting rich slow demands a long life of gainful employment. It is also a losing game because the game is played with your time.
-The real golden years of your life are when you are young, sentient and vibrant. This is why the rich slow model suck.
-Fast wealth is created exponentially, not linearly. You have to pick a system that allows you to do that if you want to become wealthy. Each system operates under a specific set of mathematical formulas and wealth equations and not every system is equivalent. Some are better than others.
-Really rich people use the markets (stock investing for example) for income and wealth preservation, not to create it. Most of these really rich people became rich by creating a fastlane business, not by investing.
-Slowlane millionaires are cheap with their money, whereas fastlane millionaires are cheap with their TIME.
-A fastlane business is characterized by controllable unlimited leverage (The person that started Subway, instead of the franchise owner).
-Change creates millionaires. Those who observe and take advantage of change will be the new rich…Every day people become millionaire with a new App, a new software, a new way of doing things…You have to learn how the new technologies work. Everything is going online. Offline businesses are still good, but there is a HUGE POTENTIAL WITH ONLINE BUSINESSES RIGHT NOW. Your goal is to learn EVERYTHING THERE IS TO LEARN ABOUT HOW TO SELL ONLINE.
-Extraordinary wealth will require you to have extraordinary beliefs. Forget about what society tells you to do. Forget about social conditioning (the beliefs imposed on you by society). 99% of the people out there are BROKE. Ask any of them and they will all tell you the same thing: get a good job, save money and you will retire happy. THEY HAVE NO IDEA HOW TO CREATE WEALTH. Study rich people and do the same thing as they did and you will get the same results.
-It’s all about execution. Skip the big idea and go for the big EXECUTION. Old ideas suffice…You don’t necessarily need to re-invent the wheel to become wealthy. Just take it and make it better. Execute like no one has.
-Business schools tell you to make a business plan….The problem with business plans is that as soon as the world interacts with your ideas, your business plan is invalidated.
Please leave a comment below or let me know any questions you have. I’d love to hear what you think!