Are you a consumer or an investor?

Not only do you need to know how to make a correct investment, or use numbers to your advantage, but also skills that can help you understand the world as an investor from a whole, and among them is that you identify things that might seem obvious like do I think as a consumer or investor? You’re about to have a moment where you can find out who you really are and this understanding could have important implications on your financial destiny and whether you get rich.

Two simple questions will help you know if you’re a consumer or an investor and it’s not about where you are today, it’s about where you’re going. Consumers eventually go bankrupt (or near) while investors eventually prosper financially.

Find out what you are:

This is important information, because sometimes consumers are ruined or about to be, while investors are rich or will be. In this blog, you’ll learn to determine the differences between the two, so that even if you’re a consumer now, you’ll know how to become an investor. What are you doing with your extra money? We want you to imagine the last time you had some extra money.

The extra money is any money you have left at the end of the month after paying all your bills. It can be for a work voucher or a big night tip, or even a lower monthly bill than usual. The question is, “What did you do with that extra money the last time you had it?” We’re not talking about what you would do with the extra money in the future, but what you’ve done with the extra money in those past situations where you had surplus funds at the end of the month. If you spent that money on something that has absolutely no chance of a financial return, then it is consumer action. This would include splurging because you deserve a good vacation or inviting your friends for a round of beers. If the last time you had extra money you spent on something without a financial return, then, even if it’s difficult, you’re a consumer.


If the above does not describe you and you spend your extra money on things that have good chances of financial return, then you are an investor. This could mean investing in yourself by buying education and training, or books that help your training, it could also mean buying real estate or stocks, or anything else you have a chance of having a financial return.

In this example, we will assume that you have approved question one and are an investor. Question two is where we separate “men from boys”. When looking at an investment, you should first focus on the price of profitability. This is what you could potentially gain by investing in the project.

You’re one of those people who thinks they’re getting a cheap investment they can afford, but they’re buying a terrible investment. They just focused on the price of the property instead of focusing first on returns.

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