Kuban, 1958 was born in Pittsburgh, USA, an ordinary worker's family, starting from scratch. I paid college tuition, sold magazines, worked as a bartender, disco coach and party host. 1982 After graduating from college, I entered the workplace for the first time. Although he is ambitious, his development is not smooth.
I worked in software sales for less than a year and was fired by my boss.
For a long time, cash-strapped Cubans woke up in the morning thinking about how to fill their stomachs. In order to make a living, when he was in his twenties, he went out early and returned late every day, doing a lot of odd jobs. It was because he realized that the work was not easy that Cuban decided to start a business.
He founded Microsoft Solution Software Company. In the next seven years, Kuban developed this company into a successful enterprise with an annual profit of tens of millions of dollars.
1990, he sold MicroSolutions for 6 million dollars (about 40.7 million yuan) and earned the first pot of gold in his career.
At this point, Cuban has a sense of financial security and does not have to worry about having no money to spend tomorrow. Later, he and his friends founded broadcast.com, a sports video website. A few years later, this little-known website has grown into a famous website with more than 300 employees.
Later, Internet giant Yahoo bought broadcast.com for a huge sum of US$ 5.7 billion (about RMB 38.7 billion), from which Cuban made a profit of US$ 2 billion (about RMB 65.438+03.6 billion). Naturally, he became a real billionaire.
Next, he bought his favorite basketball team and started his investment career like a duck to water.
Whenever I think back to the difficult days when I was young, the big boss of Dallas Mavericks is always filled with emotion. For him, those days were precious because he learned some valuable experiences related to money.
It should be pointed out that Cuban's success cannot be replicated, but his financial advice to young people is extremely feasible, as follows:
1. Try not to accumulate credit card debt.
For a long time, Cuban has been advising young people not to owe a lot of credit card debts.
In the billionaire's view, there is nothing wrong with using the credit card itself, as long as you pay off your debts every 30 days. However, if the credit card debt is not paid off in time, the debt will snowball.
Cuban said in an interview that it is feasible to buy a house with a loan. After all, the mortgage interest rate is not high, and most houses are constantly appreciating. But because of credit card debt, it is not cost-effective to pay a high interest every month. He thinks credit card interest is the worst investment.
The reason why I hate credit cards so much is because Cuban is an "experienced person" and is deeply poisoned by credit cards. In his twenties, he owed a credit card debt, and the interest increased rapidly. In order to pay off the debts he owed, he had to apply for several credit cards. This practice of robbing Peter to pay Paul made him complain.
20 17, Cuban said frankly, "The most difficult experience I summed up was to cut off my credit card. Try not to use credit cards, but only use cash or debit cards. If you must use a credit card, you must pay off all the arrears within 30 days. "
Don't buy things you can't afford.
Kuban's second wealth advice to young people is to live like a student forever. What he means is to avoid excessive consumption and not to spend money on things you don't need in your life.
"Don't buy such things, especially if you can't afford them," Cuban said. "The more money you have in the bank, the more you can handle things calmly." He added that if you can live like a student, the savings of 6.5438+0 million US dollars (about 6.78 million yuan) will be enough for you to enjoy your old age. However, the premise is that you must be a super self-disciplined person in spending money.
Enough money for one year's expenses, and then invest the rest.
Before the outbreak of the COVID-19 epidemic, Cuban usually suggested saving enough living expenses for six months in case of dismissal or illness. However, in the current environment, he made some adjustments and suggested that young people save enough living expenses for one year.
He said: "Once you can save enough living expenses for one year, you can start investing and invest the rest of the money in things that can appreciate, such as low-cost mutual funds."
Learn to bargain.
Cuban pointed out that everyone must be aware of the power of bargaining. He believes that anything that money can buy can be bargained.
He gave advice to young people: cash settlement is an excellent bargaining method.
"I often tell people that if you go to a yoga class, they will charge you 30 dollars (about 203 yuan). You can say,' Look, I only have 20 dollars (about RMB 136). "How about 20 dollars?" Next, the boss may accept your $20. Bargaining is an effective way to save money. There is nothing to lose by trying, and the other party can only say no at most. "
When he was young, Cuban was often and very good at bargaining. He said: "Now, I seldom bargain. There is a simple reason. When others see it's me, the price will naturally go up. However, for a long time in my life, I survived by bargaining. "
Bulk purchase
Whether it is online shopping or physical shopping, make full use of the promotion opportunities of merchants. When you see a commodity with the right price, you should buy it in bulk. In this regard, Cuban explained that doing so can save you 20%, 30% or 40% of expenses. Such a high rate of return is the best investment you can make.
The billionaire claims that it is much easier to be a "wise shopper" than to invest in the stock market.
"It is very difficult to choose a suitable one among many stocks, index funds or mutual funds," he said. "However, if you spend $2,000 a year on daily necessities such as toothbrushes, toilet paper and shampoo, you may buy them in bulk at the right time (such as during the promotion period), thus saving money. Sometimes being a wise shopper is the best investment you can make for yourself. "