If you’re going through a suffocating financial crisis or are on the edge of bankruptcy, and you don’t think you’ll be able to keep a list any longer! Do not despair or give up; you are not the only one who has gone through such a traumatic experience; many ordinary people have gone before you and risen again; how many wealthy individuals who have millions declared bankruptcy, not only was he saddled with debts, but he eventually returned to wealth?
Most individuals believe there is an insurmountable divide between bankruptcy and becoming wealthy. There are many affluent people in the world today who were previously bankrupt before becoming billionaires.
How bankrupts turn into billionaires ?
Before discussing the five strategies that turn bankrupts into billionaires, it is important to note that hope and patience, combined with increased ambition and a spirit of perseverance, were the secret ingredients that the most successful and wealthy people used until they were able to achieve their goals and ambitions, no matter how lofty they were or how many obstacles they faced.
It’s also worth noting that gaining riches necessitates a set of unique skills. Rich individuals learn everything they need to know in order to reach any goal, and those who learn to gain the ability to do anything.
Other than that, billionaire succeed through one of the following five strategies mentioned by Entrepreneur:
1. Create something of great value
Wealth is inextricably linked to the creation of something of worth to the world. You will find that the wealthiest and most successful people today have added value to people’s lives in some way. This is the best way to achieve true wealth.
If you wish to have a large financial fortune, you must understand that all riches is derived in some way from the enrichment of others. The more you succeed in developing something that provides value to other people’s lives, the more money you’ll make and the more confident you’ll feel.
This isn’t, of course, a short-term approach. It’s possible that it’ll take a long time! But the most important thing is to be aware of and take advantage of chances.
Yvonne Chinard, the founder of Patagonia, gained a fortune not by inventing something new, but by improving on something that had already been invented. Despite the fact that Patagonia is now a large apparel business, it went bankrupt when its founder reached 50 as a result of lawsuits.
Chenard, on the other hand, did not abandon his job since it was vital to him and others. He’s worked hard to figure out how to make his products more environmentally friendly and dependable. Patagonia became the market’s juggernaut in this fashion, but at the expense of its contribution.
2. Create a consumer product that people love
All you need is one great idea to start making money. There are a lot of consumer product industries that have taken off like wildfire. Industries are increasing at an incredible rate, from cold coffee to energy shots, drinks, and even e-cigarettes.
Mangul Bhargava, the founder of energy drink brand 5hour ENERGY, has developed his company from a small start-up to a multibillion-dollar enterprise.
Before starting his e-cigarette firm, Howard Baynes owed $600,000 and lost his home in a short-form. His sales increased to $100 million in less than 18 months. He bought Japan Tobacco International, a massive corporation with 27,000 people and a $20 billion yearly revenue, a few years after this significant market jump.
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John Paul de Goria, who had been on the verge of poverty on several occasions, had lost his home, and was forced to live with his kid in a car, achieved something extraordinary as well. He made cosmetics for beauty salons professionally, knocking on all doors and presenting his wares.
He preferred how things were done, and each day brought him closer to his goal. Despite the loan and his young son, he led his company, Paul Mitchell Systems, to the top at the age of 36, becoming one of the world’s wealthiest people.
3. Provide services in a future sector
The entire world has watched as Airbnb has grown from a little-known location in the field of renting lodging to a global firm, with three young billionaires among the three billionaires: Brian Chesky, Nathan Plikorchik, and Joe Gabbia. Airbnb has risen to the top of its industry (an app that allows individuals to rent apartments, rooms, and even just a bed).
Rental housing services had existed before, and VRBO was one of the first to offer them, but Airbnb has been more successful.
Your goal is to determine a sector’s most promising direction and develop inside it. It might be vacation rentals, online shopping, financial services, insurance, virtual reality, chatbots, or any other industry; the main thing is to establish your niche and, at the same time, your one-of-a-kind and successful technique to improve existing products and services.
It is also possible to develop a business that caters to the wealthy, such as automobile rentals, private planes, or a global concierge service. Find a way to outperform your opponents in anything.
After the economy was deregulated, Kenny Trott, the creator of Excel Communications, made his debut in the telecom industry and later became an international trading broker. With his multi-level marketing technique, he has sold over 200,000 franchises.
4. Figure out how to improve online communication.
Mark Zuckerberg became one of the world’s wealthiest persons after inventing the field of inter-human communication via the Internet. We’ve all heard about Facebook’s success, but Zuckerberg was never poor or on the edge of bankruptcy. He was raised in a middle-class family.
The story of WhatsApp founder Jan Koum is even more intriguing. Kom, a Ukrainian immigrant, was working at Ernst&Young in 2007. Soon after the iPhone was released, he and Brian Acton decided to design a mobile messaging software, which was released in 2010.
Kom built WhatsApp into a massively popular program, which Facebook later purchased for $19 billion. Like previous billionaires, Koum took advantage of an opportunity in a promising field that someone else could have passed up had he been in his position.
5. Invest in real estate and expand your portfolio
It is feasible to grasp how you can function as income-generating assets instead of liabilities and liabilities that drain your money and gobble up your income thanks to Robert Kiyosaki’s popular book “Rich Dad, Poor Dad.”
Owners of modest resources can now invest in real estate in a variety of ways and mechanisms, without the need for large sums of money, thanks to the real estate boom. However, it is important to note that real estate investing is not suited for people looking to get wealthy overnight, but it is suitable as a long-term investment to attain the essential capital and income growth.
Because of his real estate ventures, Leon Charney became a billionaire. He was the son of two immigrant fathers, and when his father died, the family’s finances were depleted. He elected to work his way through high school and then law school despite not having any money.
In the case of “Karl Berg,” a billionaire who rose to prominence through real estate investments, he also lost his father at a young age. His mother was a teacher, and he was raised by her.
Berg met a man who was one of the largest construction workers in the United States while working at a hotel, and this man offered Berg a management job in his mortgage company.