Most people try to get the last inch out of their dollar. It makes sense and this is for sure how I am wired. The same can be said for their ‘day job’ or company sweet spot where we optimize the niche, service, and COGS, to get the most bang for our buck and subsequently our time. However, what I have noticed about life, having optimized a few things/companies is that it ultimately doesn’t create transformational wealth. Sure it makes you rich or well off, but it doesn’t change the trajectory altogether. Risk with a chance of zero is the only game changer left in the chamber.
One way to look at it is compounding wealth. Over time, optimizing your current business model is like your compounding wealth. It’s completely and utterly the wise and intelligent thing to do. It will make you rich! Keep your capital churning through the system and emerge 20 to 50 years later with something substantial and impressive.
However, it’s the asymmetrically diabolically stupid idea that becomes a verb or an everyday tool that creates transformational wealth. You need a lot of market favors to go your way but if it does it’s dumb money!
