8 rules To Build Wealth from zero: What the Wealthy Won’t Tell You

Building wealth from nothing is more important now than ever before. We're living in crazy times. The economy's happening lawsuits are popping up and don't even get me started on cyber attacks. Your hard-earned cash is under threat, and if you're not careful, you could lose it all fast. 

You can build wealth from zero—seriously, from absolutely nothing. It’s not about having a bunch of cash in the bank but knowing the right strategies and sticking with them. 

So, if you’re curious about going from flat broke to financially free, keep reading. I’ll lay out some key rules that’ll guide you on your journey to building wealth from nothing. And no, these aren’t just random tips.  You’re about to get the real-deal strategies that wealthy people don’t always discuss.

Principles of Building Wealth from Nothing

Building wealth from scratch, just like the big shots do, is easy. And the best part? You don't need to be a billionaire to start. So, whether you're wondering how to build wealth with low income or dreaming about how to become a billionaire from zero, here are 8 rules to stick to:

1. Own Nothing, Control Everything

Remember John D. Rockefeller? One of the richest dudes in history had a simple rule: own nothing, control everything. He used trusts and corporations to hold his assets. If someone tried to sue him, there was zilch in his name to take. Genius, right?

You Will Own Nothing And Be Happy

You can do the same thing. Set up an LLC or a trust for your assets. Transfer the title out of your name and into the entity. It's like building a fortress around your wealth.

2. Protect Yourself from Lawsuits

Imagine you're driving home, maybe thinking about what's for dinner, and BAM! You rear-end someone at a stoplight. No biggie, right? Wrong. Fast forward 6 months, and you're being sued for $2 million. 

Turns out the other driver was a surgeon who now claims he can't operate due to neck pain. Your insurance maxes out at $300,000, and now they're coming after everything you own.

This isn't some far-fetched scenario. It happened to someone I know and now he's starting over from scratch at 50. Don't let this be you.

3. Use Legal Entities to Your Advantage

The wealthy use things like Family Limited Partnerships (FLPs) to protect their assets. If my neighbor had set up an FLP and transferred his assets into it, he'd be in a much different situation. 

The FLP would own his house, investments, and other valuable assets, while he'd only own a small portion of the partnership. When the lawsuit hit, there'd be almost nothing in his personal name to go after.

4. Stay Ahead of Tax Changes

The government's always cooking up new ways to get their hands on your money. They're talking about wealth taxes and going after offshore accounts. If you haven't protected your money the right way, get ready for a bigger tax bill and maybe even the tax man knocking on your door.

5. Prepare for Economic Turbulence

The economy's looking shakier than a Jenga tower on a rollercoaster. If things go south, your savings could go poof! But if you've got your money set up smart – like in special accounts or investments that don't lose value when everything else does – you'll be sitting pretty.

Speaking of smart setups, If you’re serious about building wealth from scratch, you need to find ways to get your hands on money without paying through the nose for it. And there’s this amazing resource called No Cost Capital, where you can get funds to jumpstart your real estate investments with one easy application. 

If you've got a 680 credit score and no collections or bankruptcies in the last 7 years, you've got to check it out. It's the kind of tool that can really accelerate your journey to financial freedom.

6. Guard Against Cyber Attacks

It's not just big companies at risk anymore. If you're not careful, you could get sued for a data breach or online fraud. Without the right protection, you could lose everything you own if something goes wrong online.

7. Plan for Changes in Bankruptcy Laws

The government is thinking about making it harder to declare bankruptcy and get out of debt. This means all those fancy ways rich people protect their stuff might not work as well anymore. If you're counting on those to save you in tough times, you might want to think again.

8. Protect Your Legacy

Get ready for the tax man to come after your inheritance. The government's looking to take a bigger slice of what you leave behind. If you don't plan ahead with trusts or foundations, your kids might end up with a lot less than you hoped.

How to Become Rich from Nothing

So, "Why isn't everyone doing this?" Well, the government and financial elites don't want you to know about this stuff. Why? Because they want to keep you vulnerable. Let me break it down for you:

• If everyone protected their money like the rich do, the government would see a significant decrease in tax revenue. We're talking about wealth being sheltered from estate taxes, capital gains taxes, and income taxes. 

If everyone shielded their assets effectively, it would lead to a tax shortfall that could impact everything from infrastructure to social services.

• Lawyers make bank suing people who don't protect their assets. If everyone knew how to shield their wealth, lawyers would have a harder time getting big payouts. They prefer you to stay an easy target.

• Banks love it when you're in debt and scared of losing everything. If you could protect yourself, you might not be as afraid to borrow or even default. That's bad news for the bank's profits.

• The government uses money to control people through monetary policy, tax policies, and regulations. If more people protected their assets, the government's leverage would shrink because they would have fewer ways to confiscate or control private wealth.

• Rich folks want to keep their wealth tricks secret. If everyone knew how to play the game, the rich wouldn't be as special anymore. They don't want you to level the playing field.

• The government counts on getting a big chunk of change when rich people die. If everyone used trusts to pass on money, the government would lose out big time.

• Sometimes the government takes people's stuff for unpaid taxes or other reasons. If everyone protected their assets, the government couldn't do this as easily.

• If everyone knew these wealth protection secrets, people would get mad and demand changes. The rich and powerful don't want that kind of trouble.

So, what is the smartest way to build wealth? Start by protecting what you have. 

1. Set up an LLC or a trust for your assets.

2. Transfer the title out of your personal name and into the entity.

3. Make sure your insurance covers the basics, but let your legal entity be your true protection.

This simple step would do a lot for you, and it's very possible to do it all by yourself. But there's just so much more that you can do, and you don't want to get it wrong. So if you have an attorney already, run it by them. If not, get a free consultation at Free Entity where we’ve helped over 150,000 businesses get started.

Start Building Wealth from Nothing

Building wealth from nothing for beginners isn't just a pipe dream. It's totally doable if you know the right strategies. The rich don't own anything in their name – they control everything through entities that shield them from liability.

So the next time you hear "You Will Own Nothing And Be Happy," think about this: by owning nothing, you can actually protect everything that you worked for and live stress-free knowing your wealth is safe. That's happiness in my world.

The principles of building wealth don’t change, even if your circumstances do. The key is starting where you are and using whatever you have to get to the next level. So, are you ready to flip the script and achieve the financial freedom you deserve?