If ever there was a concept you absolutely had to understand in order to succeed in business this would be it. That said, I would see less than 1 in 20 or 1 in 30 business owners who actually do grasp it and, even less who use it well.

So, why learn this … ?

Well, before I understood this I worked 16 hour days, traveled too much and, for two years running spent more than 200 nights a year in hotels … for work that is, not pleasure …

Now, I work maybe 2 or 3 hours a day, have 4 months a year on vacation and run a company with almost 1,000 offices in 26 countries …

So, here goes, let’s learn …

The concept of Leverage is all about achieving ever more with ever less.  Getting your people to achieve more with less effort, getting your advertising to return more sales with less dollars.  Getting better results with less and less efforts, time after time.

So, how do you do it … ?

Well, first you need to think in terms of the formula for Leverage, divide to multiply.  Stay with me. I truly want you to grasp this view of business thinking.

Think about divide to multiply in terms of day-to-day life, a tree cutting.  You take a cutting from one plant, you don’t end up with half a tree, you end up with 2 trees …

In terms of business, franchising is the easiest way to describe divide to multiply, but there are hundreds more ways to apply it.  I want to make it as simple as I can for you to use …

Leverage is your key to business success, and my definition fo you is … Do the work once and get paid forever …

And the exact opposite of that …

Do the work once and get paid once.

That’s why most employees will never create wealth in their job.  They go to work for a day and get paid for a day.  Business is a great way to build something once that will pay you and your family for the rest of your life.

Problem is, most business owners still think like employees and are trying to maximize their income from today’s work.

I don’t do that anymore …

This article is reprinted courtesy of My Business magazine, one of the leading business publications in Australia.