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  • The Rich the Poor & the Foolish


  • The Rich the Poor & the Foolish


    The Rich, the Poor & the Foolish

    (Increase your financial IQ in just 60 minutes)

    By Paul N Liburd

    Cover art

    By Andrew Hazel

  • The Rich the Poor & the Foolish


    2013 By Paul N Liburd

    E-books available on

    Apple iBook

    Amazon Kindle

    Barnes & Noble Nook

    Paperbacks available from

  • The Rich the Poor & the Foolish


    This book is dedicated to my darling

    wife, for believing in me, long before I

    achieved financial success and to my

    two daughters for their encouragement,

    energy and enthusiasm.

  • The Rich the Poor & the Foolish


  • The Rich the Poor & the Foolish



    This little book is based on real life

    experience, including failure and success.

    It is not a rags-to-riches story; it is much

    more informative than that. It is not even

    a step-by-step guide to setting up a

    business; it is more useful than that too.

    This book actually contains the keys to

    understanding the real difference between

    rich people and poor people, and this has

    nothing to do with how much money they

    had to start off with.

    When I was younger, I succeeded in

    making a lot of money through various

    business ventures, but I was still poor because I was foolish. I allowed the

  • The Rich the Poor & the Foolish


    money to pass through my fingers like

    sand in an hourglass and disappear

    without a trace almost as quickly as I had

    acquired it. I earned a lot and spent it all.

    Oh yes! I had a great time shopping and

    travelling but the good times eventually

    came to an end when the money ran out.

    Later on in life, with many more

    successes and failures under my belt, I

    finally began to understand the real

    difference between rich and poor people.

    I realized that it had more to do with how

    rich people think and what motivates

    them, than how much money they started

    off with.

    One day, after losing a few hundred

    thousand pounds in a poorly managed

    business venture, I sank into a depression.

  • The Rich the Poor & the Foolish


    As I thought about how foolish I had been

    and what I could have, and should have,

    done differently, my wife said something

    to me that got me thinking:

    If Sir Richard Branson (the owner of the

    multi-million pound Virgin empire) lost

    all of his money, moved into the house

    next door and took an ordinary day job

    just to survive, I bet you that within one

    year, he would be a millionaire again.

    I thought about it for a while and

    considered all of the worlds millionaires

    and how many of them had hit rock

    bottom (in some cases more than once) in

    their working lives, and yet had managed

    to bounce back to become even richer

    than they had been before. If wealth

  • The Rich the Poor & the Foolish


    were all about how much money one had

    to start with and if rich people were rich

    simply because they had a better financial

    starting point, then these failed business-

    men should never have recovered so

    quickly from their financial setbacks. But

    the fact is, they did recover and bounce

    back. How did they do it?

    If you read this little book carefully and

    allow yourself time to stop and think

    about what you have read, and if you

    implement the simple principles outlined,

    you will not only discover the answer to

    this question but your personal wealth

    will also increase and continue growing

    without limit.

    I have deliberately written this first volume

  • The Rich the Poor & the Foolish


    as a small book because it is designed for

    busy people who do not have time to sit

    for hours and wade through hundreds of

    pages. However, nothing is missing.

    Everything you need to get started on the

    road to financial success is included. I

    have begun with a story. Tell this story to

    your children and explain its meaning to

    them. If they understand and remember

    it, they will never be poor as long as they


  • The Rich the Poor & the Foolish


  • The Rich the Poor & the Foolish



    16. How to Read This Book

    18. Chapter One

    Three Hungry Men

    28. Chapter Two

    I Want a New Car

    34. Chapter Three

    Saving Money

    38. Chapter Four

    Borrowing Money

    44. Chapter Five

    Assets and Liabilities

  • The Rich the Poor & the Foolish


    50. Chapter Six

    Financial Security

    57. Chapter Seven

    My Own Business

    63. Chapter Eight

    Higher Education

    67. Chapter Nine

    Financial Aptitude Test (A) 77. Chapter Ten

    Financial Aptitude Test (B)

  • The Rich the Poor & the Foolish


  • The Rich the Poor & the Foolish


    How to Read This Book

    The best way to get the most out of this

    book is to begin by completing the quick

    Financial Aptitude Test (A), on page 70.

    This will indicate whether you have a rich,

    poor or foolish mentality right now. Do not

    worry too much about your test results at

    this stage because they will most likely

    change by the time you have read this


    As soon as you have completed the test,

    return to Chapter One and continue.

  • The Rich the Poor & the Foolish


  • The Rich the Poor & the Foolish


    Chapter One

    Three Hungry Men

    One day, a wealthy poultry farmer saw

    three hungry, dishevelled men sitting by

    the side of the road, and enquired of each

    one how he had fallen upon such hard


    The first man said, Because no one will

    help me and its not for want of asking. I

    even play the lottery with money given to

    me by kind people, but everyone except

    me seems to be winning. It never seems to

    be my lucky day. Life is so unfair.

    The second man said, I spent all of my

  • The Rich the Poor & the Foolish


    wages and then continued spending with

    borrowed money. I ran up huge debts but

    that didnt matter because I was in full-

    time employment and could easily make

    the repayments. I thought my job was

    secure but one day I was made redundant

    and then the debt collectors came and

    took everything.

    The third man said with a smile, I made

    some bad business decisions, trusted the

    wrong people and undertook some risky

    investments. I was doing great, but I

    made one crucial mistake and lost

    everything. But Ill bounce back. Its only

    a matter of time

    Being a generous man, the farmer

    decided to help them by giving each one

  • The Rich the Poor & the Foolish


    a live chicken and a rooster. Before he

    departed, he said to the men, Look after

    those birds and the chicken should lay at

    least one egg per day for many years.

    Good luck, gentlemen. And with those

    parting words, the farmer took his leave.

    I wonder what each man will do with his

    livestock, the farmer thought to himself

    as he travelled home.

    The first man seemed to be a feckless,

    foolish individual who somehow expected

    to live on hand-outs and luck for the rest

    of his life, as if society owed him a


    The second man seemed to be more

    responsible but still lacked basic money

  • The Rich the Poor & the Foolish


    management skills; because it was clear

    that he had been living way beyond his

    means for a long time.

    No matter how much he earns, that man

    will always be poor. the farmer mumbled

    to himself.

    The third man seemed quite different

    from the other two. He spoke as if he had

    already learned from his mistakes and

    was well on his way to recovery. Even

    though he had no worldly possessions at

    that point, he expressed himself as if he

    were already rich.

    Upon receiving their gifts, the men went

    their separate ways with a sense of

    contentment for the good fortune that had

    suddenly come upon them.

  • The Rich the Poor & the Foolish


    The foolish man, filled with childish

    excitement, decided to enjoy the moment

    with no thought for the future. Calling his

    friends together, they all feasted on

    roasted chicken and rooster until they had

    eaten every morsel of succulent flesh.

    After the lovely feast, the foolish man

    and his friends licked their lips and

    smiled as they recalled the wonderful

    experience of eating such tasty birds. No

    sooner had the food finished than the

    friends disappeared.

    The next day, the foolish man was

    hungry again, so he returned to the side

    of the road where he had first received

    the gifts, hoping that the farmer would

    pass by again