The document summarizes Robert Kiyosaki's Cashflow Quadrant model, which divides people into four categories based on how they generate income: Employees (E) work for money, Self-Employed (S) work for themselves, Business Owners (B) generate income through owning systems and other people's time/money, and Investors (I) generate income through investments and do not have to work. It notes that moving from the S quadrant to the B quadrant requires converting skills and knowledge into systems that do not rely on the owner's direct work and time. The document also provides an overview of a bootstrap business's history, challenges, solutions, obstacles, and overcoming obstacles.
3. E
They work for others
They work for money
They work hard (if honest)
They work and work and have to work
4. S
These are people who want to be their own boss or like to do their
own thing. I call this group the do-it-yourselfers.
Often, when it comes to the subject of money, a hard-core S doesnt
like to have his or her income dependent on other people.
They work hard
5. B
B business owners can go on vacation forever because they own a
system, not a job. If the B is on vacation, the money still comes in.
To be successful as a B requires:
Ownership or control of systems
The ability to lead people.
For Ss to evolve into Bs they need to convert who they are and what
they know into a system, and many arent able to do that.
OPT and OPM
OPT Other Peoples Time
PM Other Peoples Money
OPT and OPM are found in the B and I quadrants. For the most part, people
who work in the E and S quadrants are the OP (Other People) whose time and
money are being used.
6. I
Investors make money with money.
They dont have to work because their money is working for them.
7. The Cashflow Quadrant
The CASHFLOW Quadrant simply makes distinctions on
how income is generated, whether as an:
E (Employee)
S (Self-employed)
B (Business owner)
Or I (Investor)