According to page 8 of Dr. Thomas Stanley’s research in the book “The Millionaire Next Door”, people that are self-employed make up less than 20% of American workers yet they constitute almost 70% of the people that make up the millionaire class in the United States. To break down this self-employed group even more, three out of four of them are actual business owners with the rest of them being accountants, lawyers, and doctors.
This is not simply a coincidence. There is a reason why someone who runs their own business shows up disproportionately at the top of these wealth-building lists. When you run your own business, you are no longer (1) bound by “time” to make money in the way that someone who sells their labor is, and (2) you are the direct beneficiary of all of the company’s gains; when a business experiences 10% growth, it does not … Read the rest of this article!