Written by Hi, it’s Dre Griggs with Obsidian Wisdom. Today, we’ll be discussing the proverb ”One beam, no matter how big cannot support an entire house on its own”. We’ll be talking about this proverb in two ways. The first is we’re going to talk about the impact financially. Second, we’re going to talk about the application of this proverb physically within the members of your family. The importance of sharing the burden and trusting others cannot be overstated. We build the case in this episode.
Jumping off the high board
Have you ever jumped off a high board of a pool? You can climb 10-20ft and jump into the water for a big splash. Depending on how someone jumps off the high board, the sound of hitting the water will vary. Someone doing a belly-flop will found much different than someone doing a cannonball.
Belly flops tend to sound painful. As though the water was able to hold their weight up for a split second. As a result, even though they hit water, it felt like they hit something much harder. The reason the water was able to withstand the impact of the person’s jump is because they were spread out. That is why if someone does a cannonball, the water doesn’t stand a chance. Their weight is concentrated into a smaller area. And the water cannot hold you up for even a second.
This principle is shows the importance of sharing the burden and trusting others. If you spread the weight over a larger area, we can withstand the pressure. If the weight is concentrated into one central point, we will be overwhelmed instantly.
No matter how amazing
No matter how amazing, influential, or financially successful someone is, one person cannot be responsible for the family’s success. As a family, we’re designed to support each other. There is an African proverb that says, “If you want to go fast, go alone, but if you want to go far, go together”. In other words, it may be slow in the early-going, but it will be worth it.
You may need to train a family member in leadership. Train them on the work you do and how you do it. Almost like hiring a new employee at the office. There is a time where things are rough, but long-term success increases when you train others. Consider having family meetings to go along with your family reunions. That way, you have a time for business and a time for pleasure. Make an age limit on who can speak at the family meeting. Have everyone come with problems and suggested solutions. These suggestions may seem simple, but most things are. It is the small changes we make each day that will yield the greatest results.
Your family is your business
You are the CEO of your family, but does the CEO make every decision? Of course not. The CEO creates a team of trustworthy and dependable people. As you share your responsibilities, create a decision matrix. A decision matrix will have a set of predetermined solutions to typical problems. For example, set a minimum financial impact for you to get involved.
That way, if someone ask for $100, you have a preset approval process. It will list the reasons someone can use the money and reasons someone would be told no. The mindset shift is the idea that every decision does not rise to the level of CEO. Sometimes, a manager or director can answer the question. Other times, the secretary is more than able to answer the question. Your goal is to share your thought-process so your team is aware. The team’s goal is to help you turn your vision into a reality.
Multiple streams of income
Diversifying your income streams is key to achieving financial freedom. If you have all of your money in one basket, and something happens to that basket… all of your money is gone. Your one income stream can be a job, a business, or an investment. You don’t want to be tied to one income stream. Things happen. Companies file for bankruptcy. Investments lose 50% of their value. You become disabled and can no longer work. You have to share the burden.
Opportunity funds
Every so often, an amazing opportunity presents itself. You want to be ready for that opportunity. I can this your opportunity fund. And don’t get this confused with your emergency fund. Your emergency fund is set for unforeseen events. Events such as a car breaking down or losing a job. Your opportunity fund is set for investments. You hear about the next Amazon and have a chance to get in on the ground floor.
The reality is the next Amazon may not work out. That is why you are using your opportunity fund and not your retirement or emergency fund. In other words, don’t invest in one-off opportunities expecting or needing it to work. Invest being confidence it will work, but content if it doesn’t. Finding the next Amazon is not much different than going to Vegas and betting it all on red. Sure, you seem like a genius if it works out. But, it’s a gamble. You don’t really know what is going to happen. That is why you should only invest in opportunities with your opportunity fund.
Crowdfunding as a community
Crowdfunding is a great way for one person to work with a lot of people. On a smaller level, you can create a mastermind group with five families. Each family invests $10-$20,000 into the pot. Once you have the money, you look for a business to purchase. Then one of the families in the network will run the business. They will hire as much of their staff from the mastermind as they can. Most of the time, the families are working below market value. As the business generates enough revenue, they will purchase another business. This business will be run by a different family in the group. The goal is for each member of the group to have a business.
When it is all said and done, the family mastermind will own five businesses. This would have taken a longtime alone, but is much more feasible when working together. Just as we were speaking about relying on one-beam in your family, working with other families will work wonders.
Final Thoughts
One beam is simply not enough. Whether that beam is one family member who makes all of the decisions. Or one income stream that funds your entire life. You cannot properly plan for the future relying on one beam. Diversify your responsibilities and income alike. Working together will create much more success than working alone.
Resources:
NPR: It Takes A Village To Determine The Origins Of An African Proverb
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