This story is about the richest man in Ancient Babylon. It seems really simple but eight thousand years ago, Babylonians had already figured out how to become rich, and all those principles are still suitable in our modern life.
According to the records on clay from ancient Babylon, the richest man in Babylon is named Akard. There were many people admired his wealth, so they went to ask him how did he achieved it.
Akard used to scribe on clay tablets for earning. One day, a rich man Ognis went to him and subscribed a clay tablet with articles of law. Akard agreed to work over the night and complete it in the next morning but on one condition, that Ognis had to tell him the tips of getting rich.
Ognis agreed with him, and the next dawn, when Akard finished the job, Orgnis kept his promise and told Akard :
‘the tip of getting rich is: you should save a part of your earnings.’Wealth is just like a plant, growing from a small seed. The initial savings will be the seed for your growing wealth. So no matter how little your earning is, you must save one tenth of it.
One year later, when Ognis went to visit Akard again, he asked if Akard had followed his tip to save 10% of the earnings.
Akard proudly told him that he had. The Ognis asked him, ‘How did you use the savings then?’
Akard said ‘I have given it to a brick maker Aluma, because he was going to buy rare jewelries from Philies, when he comes back we will sell this jewelries at a very high price and split the profit.’
Ognis scolded him: ‘Only idiots will do this. Why do you believe a brick maker? Your savings are all gone! Young man, you have taken away the root of your wealth. Next time, you should buy jewelries from a jeweler, and buy wool from a wool dealer. Do not do business with someone not in the industry.’
Just like Ognis said, the brick maker Aluma was deceived by Philies, and only brought worthless glass which looked like jewelries.
Akard decided to save one tenth of his earnings one more time. The next year, when Ognis came again, he asked Akard how was his saving?
Akard replied: ‘I have lent my savings to a blacksmith to buy some bronze and he will pay me back as rent every four months.’
Ognis said: ‘Very good. And how did you spend your rent then?’
Akard said: ‘I spent the rent on a feast and a pretty dress, and I also plan to buy a donkey to ride’.
Ognis smiled and said: ‘You have eaten the offspring of your savings, how can you expect them and their offspring to work for you to earn more money? Only when you have earn enough treasures, you can enjoy it without worries.’
Two years later, Ognis came and asked Akard: Have you achieved the wealth your have dreamed about?’
Akard said: ‘No, but I have already saved some money, so that money will grow into more money, on and on.’
Ognis asked: ‘What else did you learn from the brick maker?
Akard said: ‘Suggestions on anything about making bricks from him will always be helpful.’
Ognis said: ‘You have already learnt how to become rich. Firstly, you have learnt how to save from your savings; then you have known to ask advice from professionals; and last, you understood how to make more money. You have learnt how to obtain, keep and manage wealth.’
Eight thousand years ago, ancient Babylonian pointed out: all successful people are good in managing, maintaining and creating wealth. The path to become rich is to listen to people already in the business and always follow their advice. This old story implies five fundamental principles:
Golden principle one: money flows slowly into those savers.
Saving at least one tenth of your money will accumulate to an incredible amount over the time.
Golden principle two: money will work for the people who knows how to manage it.
Those who are willing to listen to professionals and invest money in a stable business to make money grow more and more, will constantly create wealth.
Golden principle three: money will stay in the pocket of those people who knows how to protect it.
People should focus on the meaning of investment return period, and be patient and cautious to maintain their wealth to keep it grow gradually, but should not look for windfall profit.
Golden principle four: money will slip away from those who don’t know how to manage.
Some people own money but do not know how to manage it. They can see investment opportunities everywhere, however, in fact, there are traps hidden all over the place. They normally will lose money due to misjudgment.
Golden principle five: money will walk away from those who are after windfall profit.
Investment return is relatively certain. People are likely to be fooled and lose money at the end because of chasing after unreasonable profit. The most crucial reason of failure in investing is either lack of experience or being an outsider of the business.