When news broke out that "Rich Dad, Poor Dad now a Bankrupt Dad", everyone was so excited to share it out to their circles of friends. Maybe thanks to the interesting news title created to attract the attention of us. In fact, it succeed (because it reaches Finance Malaysia attention now). Well, since we're a financial related blog, we must blog about this hyped news without second thought. Should we learn from Robert Kiyosaki from now on?
About the Bankruptcy...
According to UK dailymail, "the financial guru behind New York Times bestseller Rich Dad, Poor Dad has filed for bankruptcy on one of his companies after losing a $24 million judgement." Read carefully... It's on one of his companies, not under his own name. Meaning, Robert Kiyosaki didn't bankrupt. Then, what's the difference?
The liability of the debt was limited to the extent of the company only. It's doesn't affect the other business or on Robert Kiyosaki personal either. Doesn't it a smart move by Robert? Should we learn from him on this matter?
No doubt, there was nothing wrong for Robert to do it that way. He saved $24 million by simply closing down one of his companies. However, in terms of business ethic, he should not practice that way. Some more, he was rich enough to pay for it (we assume). Agree? This might be an interesting debate between personal interest and business ethic. Don't you think that we should learn from someone whom can be a role model in good personal value also? This world is not about money only. Let's look at the example below to differentiate it.
This is the activities we did to look for money:
Money with ethic => Being employed or doing business ourselves
Money without ethic => Robbery, burglary, kidnap...
There are too many unethical business out there and I think most business men may most likely do the same, no?
ReplyDeleteHi ChampDog, maybe this is one of the reason why I'm still poor right now. Haha ;)
DeleteIt always amazes me how the media 'slightly' manipulate the fact to get catchy Headline. The Headline said: "Rich Dad, Poor Dad now a bankrupt dad". That guy didn't go bankrupt. It is only ONE of the many companies went bankrupt. That company only has few million dollar inside. The fine is $24 million. It is a totally logical decision to declare bankrupt, open another company and transfer all the operation to the new company. Business as usual. Interesting fact about those ultra rich people, when they lose 5 million, they always make back the amount very quickly and they make back even more than what they have lost.
ReplyDelete“He saved $24 million by simply closing down one of his companies. However, in terms of business ethic, he should not practice that way.”---- True enough! What he did was way out of business but more on personal interest. He filed bankruptcy for his own benefit and he didn’t think about how it would affect other people.
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