The Power of Delegation

EG: Many business owners spend their time working ‘in their business’ instead of working ‘on their business’. As the expert in this area, what is your advice to small business owners who want to make significant progress and scale up? 

SL: Empower and Delegate to your team – trust them to handle day-to-day operations, while you focus on growth and strategy. Build systems and processes so your business can operate efficiently and scale without your constant involvement. Document the systems and procedures to facilitate growth. This also creates additional intellectual property assets for your business. Track key metrics – that show how the business is performing. Be the conductor of your team and business, so you can lead with data, not assumptions. Adopt a growth mindset – see yourself as the architect that is building something that lasts. Step back regularly to identify new opportunities, markets or efficiencies.

EG: Your financial organisation Pay Your Family First, places great emphasis on educational games for financial literacy. What is it that makes this method of learning so effective? 
 

SL: Experiential learning leads to higher retention and deeper understanding. Financial games are powerful tools for teaching financial literacy because they can turn complex and abstract concepts into interactive and experiential learning – allowing people to make decisions, and more importantly make mistakes, experience consequences and learn by doing in a safe environment (and with fake money). This means real world decision-making skills without real-world risk. People retain more knowledge when they actively participate rather than just listen. This helps players shift their mindsets to think like investors and entrepreneurs rather than employees and spenders.
 

EG: How did your credentials as a professional Certified Public Accountant, prepare you to successfully emerge as a leading advocate for financial freedom through investing? 
 

SL: It started at my dinner table as a child. My parents taught me about cash flow, assets and liabilities at a young age. They were both entrepreneurs and investors. They owned a beauty shop, a used car lot and invested in rental properties and orange groves. That nurtured my desire to learn more about money and investing…which led me to earning my accounting degree and becoming a Certified Public Accountant. My experience as a CPA was invaluable as it gave me the opportunity to learn how companies succeeded from the inside. More importantly, I learned how companies failed. When I realised in the “real world” the majority of people did not understand money, I knew I had a gift that I needed to share. My passion has never waivered. My mission is to ‘Elevate the financial well-being of humanity.’ My messages include:

 

>You are the CEO of your own life.
 

>It is not what you do for your paycheck that determines your financial future, it is what you do with your paycheck that determines your financial future.

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>Assets are $exy!

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>You are financially free when the income from your assets exceed your monthly expenses.
 

EG: What are some of the greatest challenges you came across when building the brand in your tenure as CEO of the Rich Dad Company? 
 

SL: The greatest challenge we faced was going against the well-established mindset of ‘Go to school, get a good job, be a loyal employee, and look forward to depending on a pension.’ The Rich Dad message flew in the face of that advice so we received a lot of criticism for going against the grain. Our subtitle for Rich Dad Poor Dad was ‘What the Rich Teach Their Kids about Money – That the Poor and Middle Class Do Not!’
 

We challenged the status quo by questioning traditional beliefs about money, education, and success – shifting the focus from earning a paycheck to building assets, from job security to financial independence and from working for money, to having money work for you. We simplified complex ideas by taking topics like investing, debt and cash flow and turning them into relatable lessons people could readily apply to their own lives. A perfect example was our message of ‘Your House is Not an Asset.’ We taught ‘assets put money in your pocket, liabilities take money out of your pocket.’
 

Another challenge was from the publishing industry. They told me that finance books needed to be black, red or green. I pushed back to say ‘that is why we want to go with Purple and Gold! To stand out!’ To build a trade dress that was unique to Rich Dad! And it worked. We built the world’s largest personal finance brand and some called it the purple storm. Today when you go into the business section of bookstores you will see a lot of purple books…now you know why!
 

Throughout my ownership of the Rich Dad Company and my tenure as its CEO from 1997-2007, I was challenged by protecting the brand’s integrity. With so much attention and expansion, I had to ensure that every book, game and seminar stayed true to the original mission – to teach people to take control of their financial lives. It was even more important to make sure our joint venture partners and distribution partners were aligned with our mission through strong agreements protecting the brand. Every CEO needs to protect their brand – safeguarding its integrity, its message, and the trust it holds with every customer.

   

EG: As an advocate for financial education, how far do you think the American school system still has to go to reach an acceptable standard of financial literacy? 

SL: There is still a long road ahead to get to where every student learns about money. There are currently 29 states that require a semester of personal finance for high school graduation, but only 10 of them have been implemented as of this writing. We have a very long way to go to ensure every student is adequately prepared to face today’s economic environment. This is why it is so important for parents, aunts, uncles and interested adults to step up to ensure the young people they care about get the financial education they need to not just survive, but to thrive in today’s economy.

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EG: You were appointed to the President’s Council on Financial Literacy by George W. Bush in 2008. What did you learn from this experience? 

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SL: It was an incredible honour to be asked to serve on the first President’s Advisory Council on Financial Literacy. During my tenure, we supported the passage of the Credit Card Act of 2009, which prohibited credit card companies from soliciting college students on campus. But like most aspects of government, progress is slow which further emphasises our need to take control of our own financial lives and to make sure the people we care about learn how to take control of theirs.
 

EG: Tell us more about your book Exit Rich: The 6 P Method to Sell Your Business for Huge Profit? 
 

SL: Exit Rich reveals the step-by-step blueprint business owners need to build a successful, sustainable, scalable and highly profitable business. The book teaches entrepreneurs how to strengthen their operations, develop solid processes, identify and protect their Intellectual Property, grow predictable revenue streams, and create a business that thrives without them…a true ASSET. By focusing on building real value – not just income – Exit Rich shows owners how to maximise their sale price, avoid costly mistakes and design an exit strategy that secures long-term wealth and legacy.
 

EG: You have been prolific as America’s Finance Leader, having written more than 29 books on financial literacy, and sold more than 36 million publications across 110 countries in 51 languages. What’s does legacy mean to you? 

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SL: Your Legacy is created every day with every heart you touch! 
 

EG: Tell is more about the Play Big Movement and the great impact you are making in helping others to achieve their maximum potential? 

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SL:  In 2012, I lost my youngest son. I was devastated and it sent me into a two-year period of numbness, living my life in neutral. I thought about retiring...but had great push back from family and friends. I even felt my son whispering in my ear, Get over it Mom, you are still here for a reason. You have more to do.’ I decided that instead of retiring I would REFIRE! It was time for me to Play Big Again, but also to encourage others to play big as well.
 

I created the Play Big Movement to empower entrepreneurs and leaders to stop playing small, step into their greatest potential, and build the impact, influence and income they are truly capable of. It’s about giving people the mindset, tools and support to up-level their success and create the life and legacy they truly deserve.   EG