Cheap Entrepreneurs

[oceans11]

Is this feasible? I have a friend who wants to be & talks about being millionaire & is very intelligent & definitely has the business mind for it.

But the dude is sooooooo freakin cheap! He still lives at home & he's never had a "newer" car (forget new I'm just talking about newer) in his life. The guy has -0- bills & basically never has a want or need for anything. He loves gadgets & electronics but never buys anything. He loves cars & is definitely a gear head but like I said hasn't had a newer car in ages.

He really only needs a few hundred bucks a month to get totally by. He does the "Hustle" thing. Everything is about the "hustle."

I don't know maybe I'm from the old school but I believe you need a little "want" or "need" or bills in your life in order to keep you motivated. If all you need to get by is a few hundred bucks a month then why do you need to be a millionaire? If you don't need or care for the finer things in life what do you need to be a millionaire for?

 

[hopkins_student]

It sounds like there are things that he wants, but he's choosing to sacrifice in the short term. Willingness to sacrifice is a pretty useful trait for successful entrepreneurs.

 

[oceans11]

Good point!

Originally Posted by hopkins_student

It sounds like there are things that he wants, but he's choosing to sacrifice in the short term. Willingness to sacrifice is a pretty useful trait for successful entrepreneurs.

 

[makushin]

I think a lot of entrepreneurs and small business owners are cheap. One thing I've learned is that the people you think have money, are never the ones with money, and vice versa. You have to be able to save capital, and entrepreneurs are also responsible for a potentially rocky future with no pensions or anything, so there is more impetus to save. I used to be like your friend, and had more money in the bank than anyone I knew my age without a trustfund. Unfortunately I did some stupid ****, like buy a house, and my tastes got expensive, and now my overhead is too high.

When I make my next move I'm going low overhead again. On a related note, anyone know what the hell to do with money in this economy? I don't know what to invest in. Maybe it is better to just spend it.

 

[crazyquik]

Originally Posted by oceans11

I don't know maybe I'm from the old school but I believe you need a little "want" or "need" or bills in your life in order to keep you motivated.


Um, no. That's what has cratered the economy. He's probably socking back 50% or more into savings or investments instead of having a negative savings rate like the rest of the country.

 

[rnoldh]

Originally Posted by hopkins_student

It sounds like there are things that he wants, but he's choosing to sacrifice in the short term. Willingness to sacrifice is a pretty useful trait for successful entrepreneurs.

Originally Posted by oceans11

Good point!

+1

The guy sounds like a variation of GQgeek. There are a lot of good things in that kind of philosophy. It generally pays off in the future.

 

[DNW]

I'd hate to have a friend like him. Cheap bastards.

 

[VKK3450]

A lot of successful entrepreneurs have to be cheap. Whether bootstrapping or using $10 million round of investment, a lot of it is about knowing how to most efficiently use resources (money), and that means looking for value in any expenditure. That said, it also means knowing when to spend.

K

 

[MLIW]

Living cheaply is not something to be mocked. You could have all the money in the world and still live on some kind of humble budjet each month?

 

[robbie]

Warren Buffet drives an '06 Toyota Camry IIRC.

 

[Cavalier]

Originally Posted by robbie

Warren Buffet drives an '06 Toyota Camry IIRC.
He used to drive old Volvo's ... until he got that Camry most likely. I wish I could spend less, but I certainly spend less then I could-- and I most certainly avoid incurring large bills. The ultra cheap tendencies you describe are actually very common to entrepreneurs... 8-5 office worker type are way more likely to be willing to incur debts knowing they have a full time job,etc.

 

[ComboOrgan]

Being cheap is fine, but at what age is it no longer ok to live with one's parents? (I ask this not knowing how old this fellow is, but I assume he is too old to be living with his folks from the OP's use of "still").

Asuming he has the ability to move out, and simply chooses not to do so, I wouldn't call that thriftiness....I'd call it mooching

 

[oceans11]

Originally Posted by crazyquik

Um, no. That's what has cratered the economy. He's probably socking back 50% or more into savings or investments instead of having a negative savings rate like the rest of the country.


Really? So as an entreprenuer we're all suppose to just sock all the money under our mattress. Live in a box, walk or ride a bike & then die? I'm not saying your idea is wrong I just don't see the enjoyment of becoming self made & having an abundance of money & not using it "once in a while".

I know this may sound marsupialed but IMO lavishness, abundance, opulence & overtop things like mansions, Lambo's, yachts, Rolex etc. etc. are here for a reason. Those companies are surviving somehow aren't they?

I mean, I do see your point & it appears the majority who responded back all have the same frame of mind or thinking but it just seems a bit boring. Make money......save it.....die.

 

[oceans11]

Originally Posted by VKK3450

That said, it also means knowing when to spend.
K


I hear ya on that. He doesn't even like to spend for necessities for the business. I'm more of a person who, "If I've allocated the funds to purchase office equipement, programs etc, then you buy it." He's more, "I'll learn how to make it myself & save the money."

That's cool & great but I also believe time is one of the most valuable assets you can have & if it takes me an hour to go & "buy" what I need & it takes him a month to build what we need then there's a disjoint.

 

[oceans11]

Originally Posted by robbie

Warren Buffet drives an '06 Toyota Camry IIRC.


I know a lot of men arent' "car guys" but jeeeeeeeeez!!