Recruitment Funding Solutions

Category: Advice

  • How to write effective job adverts

    How to write effective job adverts

    We published a post on our LinkedIn page recently, re-sharing a post from the team at idibu, about “How to write engaging job adverts (and why it still matters)”.

    If you’ve not seen the original post from RFS, be sure to follow our LinkedIn company page or check out the original post from idibu HERE.


    The idibu article takes you through some solid foundational marketing points about how to write a good job advert. They explain why most job adverts don’t work and why the wrong candidates are applying to your job advert, before going on to explain how to write a great job advert.

    Seeing the article from idibu and sharing it on our LinkedIn company page got us thinking that there’s probably a lot of good resources like this that are being developed with recruiters in mind, so going forward, if we see something we think will add value to the recruitment businesses we work with, we’ll share it with our network – both on LinkedIn and here, on our corporate media pages. If you come across something you think is worth sharing, let us know and we’ll add it to the list.

  • The importance of Google Reviews

    The importance of Google Reviews

    As most people know, to succeed online often means being found in Google search results; and preferably in the first page of those results. And one of the additional ways to achieve this is through Google Reviews, as these appear next to your business profile in Google Maps and Google search results, helping your business to stand out.


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  • When is contracting really contracting?

    When is contracting really contracting?

    In April 2021, HMRC impose further tightening of the existing IR35 legislation, originally brought into force over 20 years ago.


    The latest changes mirror similar changes in the Public sector whereby ‘end hirers’ are given responsibility for the decision-making over a Limited Company contractor and their IR35 status. Fundamentally, these changes are designed to tackle what HMRC deem to be ‘disguised employment’ whereby a self-employed contractor is deemed to be engaged under an assignment that could too closely resemble that of an employed engagement, based on certain conditions of their assignment. To debate every point or ‘marker’ contributing to an inside or outside IR35 status decision would not be possible in such a short article, however, below are some of the significant indicators that a contractor, engaging via a Limited company, is truly contracting, and not engaging more closely in line with their employed colleagues.

    1. Is your engagement project-based? Are you paid on a project basis or an hourly/ daily rate?


    A key indicator of genuine self-employment is the way in which an engagement is agreed with a contractor. Often contracts will be offered to work on a particular project and then priced in line with the completion of the project, rather than an open-ended engagement based on an agreed hourly or daily rate. Whilst this may not, in isolation, prove a contractor to definitively be outside of IR35, it is certainly a strong indicator.

    2. Are you at financial risk if something goes wrong?

    One of the advantages of genuine employment is the blanket of safety it provides, should something, during the working day, go wrong. A genuine contractor will be responsible for providing their own insurance, and, should something go wrong, they will typically be held accountable to fix it, at their own cost. Being financially liable is also, therefore, a good marker for self-employment.

    3. Have you become ‘Part & Parcel’ to an organisation?

    True contracting typically has a finish date, at which point the contract ends and the contractor leaves the engagement with their client. Contracts that go on for a more prolonged period can start to seem more like an employment engagement than a genuinely self-employed one. Genuine contractors would typically not enjoy the same comforts that an employee would when working with a client. Aside from the obvious employment benefits, employees should typically be more engrained in a business than a contractor coming in to complete a particular contract and then leaving on completion.

    4. Are you in business on your own account?

    For the purpose of IR35, it is important to establish that the business is behaving like a ‘real business’. Typically, genuine businesses may have a website and associated company email addresses. Such businesses may also have a designated office space from which the business is based. Contractors will often use their own equipment or supplies when undertaking a contract which might typically be factored in when agreeing on the price of the contract with the client. Proving yourself to be a genuine business, working on your own account, could have a strong bearing on the status of your assignment.

    5. Do you work exclusively with one client?

    Another important indicator of genuine contracting is if you are engaging with multiple clients, across different projects. This is something that employed individuals are highly unlikely to do, thus, again highlighting the differences between employment and self-employment.

    Importantly, IR35 decisions are made up of a huge variety of factors, including some of the above points. With this in mind, it is worth remembering that there isn’t one specific point that can, in isolation, provide a definitive determination that a Limited company sits inside or outside of IR35 and all areas of an assignment should be reasonably reviewed and considered.

    To our white-collar clients, RFS offers a sophisticated, insurance-backed, status determination tool, powered by industry experts, Kingsbridge.

    For further information on how we might support you during your IR35 status decision-making journey, contact us today.

  • The lessons to learn from Uber

    The lessons to learn from Uber

    Self-employment, worker status and IR35

    In a recent landmark ruling, the debate over self-employment and worker status came to ahead again when the supreme court sensationally ruled that Uber drivers are ‘workers’.

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  • COVID-19 Q&A interview

    COVID-19 Q&A interview

    Alex Grant, MD at Recruitment Funding Solutions answers some of the key questions we\’re being asked during this difficult period.


    These are the COVID-19 questions every (startup) recruiter needs answering

    How has the lockdown period been for RFS and its teams?

    It\’s obviously been very different from how we all normally work but, with the technology and processes we have in place, the business was always set up with the capacity for everyone to work remotely, if required. I’m very proud of the way in which our teams have adapted to the situation and some of the challenges that it has presented.

    The way that everyone has embraced those challenges and dealt with them has been very pleasing and reassuring. You certainly learn a lot about your people when faced with situations that are outside of the norm.

    How has Covid-19 impacted on your agency client base?

    We work with a wide spread of agencies working in a variety of sectors and naturally certain sectors have been impacted more than others. As an example, the medical/ healthcare, logistics and merchandising sector agencies have seen increases in volume across the board but then the construction, education and manufacturing sector agencies have seen an inevitable decline in business levels. We have continued to invoice with many of our agencies, but the volumes have obviously changed as per sector. As with our teams, I have been really impressed with the responses of the agencies we deal with in relation to their dealing of this difficult situation. Many have furloughed staff, but the directors have generally continued to work themselves and have really shown great resolve to ensure that their businesses stay in good shape during this time.

    What challenges does the temporary Recruitment Industry face as we gradually move out of lockdown?

    I think there will inevitably be challenges for most sectors because of the virus but I do believe that the temporary recruitment space will come back fighting quite quickly. I really feel for certain sectors such as aviation, retail and hospitality as this situation will undoubtably continue to impact them years down the line. In terms of challenges to our sector, Insurance is something that is already a hot topic and the trade credit insurance market has already reacted across the board and moved to mitigate its exposure. Inevitably, and rightly so, insurers will seek further reassurance before providing credit insurance on companies that may be deemed to be risky to cover so this will perhaps present some challenges for agencies wanting to trade with clients that might fall into that category.

    On the same note, the potentially increased risk of end clients falling into financial difficulty, as a result of Covid-19, is also something that agencies will want to be aware of and may make them tread a little more carefully with who they trade with. Away from risk, dependant on the sector, the need for an external, flexible workforce could reduce for a period as businesses look to reign in their spending while they ‘lick their wounds’ as a result of the pandemic.

    How might Covid-19 have a lasting effect on recruitment businesses?

    I think recruitment agencies, particularly the temporary workforce, will play a significant role in helping our economy to recover and, the uncertainty that Covid-19 has caused with businesses everywhere, could well result in an eventual increase in the need for temporary workers. As I said before, this will be industry dependant but in construction, for example, the government have made no secret of their desire to pump funds into infrastructure to get the economy going again. Projects still need to be finished. Unfortunately, like in many sectors, there may also be redundancies, therefore there could well be a crop of talented recruitment professionals in the market to hire or even start their own agencies. It will be interesting to see how this side of things unfolds.

    What, if any, opportunities might there be as a result of Covid-19?

    As I said earlier, there will be a requirement for temporary workers as we move out of lockdown and the flexible workforce in this country will play a big part in the recovery of our economy so I do think the opportunity to provide a flexible workforce will be there. I also think the things we are learning right now, in terms of how we are able to work, away from a formal office setting, will be giving people confidence in how they may be able to work moving forwards. I already have several clients that have opted not to renew the contract on their office space, choosing to enable staff to work from home instead. There are obvious cost benefits to doing this but, also, this is, perhaps an opportunity to address the issue of work life balance with your staff.

    Can work from home scenarios be embraced moving forward as we come out of lockdown? I think in some scenarios, the answer will be yes. I don’t think businesses will all necessarily abandon an office environment, and personally, I think this is where a real team culture can be built so perhaps a mixture of working remotely and keeping an office base might be the answer for some. I have conversations, everyday with potential new start-ups asking the question “Will I need an office?” I think what we’re all going through right now, is demonstrating that it can be done remotely if you have the right people who are motivated to do a good job.

    What advice would you give to anyone who may be considering starting a recruitment agency right now?

    I think if it is something you have been considering, now might be the perfect time to take the leap. In some cases, where people may sadly be facing redundancy, it may actually be their best option. I think 10 years ago starting any business was perceived to be much more difficult in terms of the administration and knowledge that you might have needed. There just was not the same support available as there is now. Services like RFS can make, what might ordinarily feel like quite a daunting and time sapping process, become very straight forward and things can be set up extremely quickly.

    Whereas in the past, you had so much to consider as an agency like ‘Who will run my back office? Who will chase my debt? How will I manage my payroll?’, nowadays services like ours literally take that pain away and you can instantly have a professional back office and funding service in place so that, even as a one person outfit, your clients will see a professional service from day one. It certainly helps to bridge the gap between smaller agencies and those organisations with hundreds of staff. Nowadays smaller agencies can offer as professional a service as their larger competition and compete with them on a level playing field. Ultimately starting any business comes down to the question ‘Do you back yourself?’ If the answer is yes, starting up in this industry is easier than you might think.

    What, if any, assurances can you offer to any agencies worried about the future?

    Right now, we’re in uncharted waters so, exactly how this will unfold in the longer term, we don’t yet know. Having said that, there are industries that this will impact harder than others and whilst I can see, certainly in the shorter to midterm, permanent recruitment placements being a little harder to make, I am confident, from all that I see and read, that the UK’s flexible workforce will be playing a big role in the recovery. I am therefore quietly confident in the temporary recruitment market and its recovery.

    Right now, my advice would be to trade sensibly and carefully, be aware of those freak job orders for 100 workers starting tomorrow but for only 2 weeks work. There will be companies looking to finish jobs but not have the cash to pay right now so tread carefully on who you deal with. Whenever there are challenges to be faced, there\’s also inevitable opportunities so look for those areas that you might be able to capitalise on in your niche. It’s also worth remembering, we’re all in the same boat with this. Every challenge that you’re facing, your competitors are also facing those challenges. Those that continue to do all the groundwork and not allow themselves to get lazy will come out in better shape.

  • Buy or build a recruitment website

    Buy or build a recruitment website

    So you’ve now taken the leap and have set up your own recruitment business, or are about to launch your recruitment startup and this is when your thoughts need to turn to some of the more practical elements associated with a new business.


    One of the key considerations, once you’ve decided on a company name, incorporated the business, identified and engaged a reputable funding provider (like RFS) is to consider your route to market.

    These days, one of the foundation elements in developing that route to market is the creation of a company website. For many startup businesses these typically start off as lightweight online brochures, with a core system for advertising vacancies and accepting applications or enquiries. But the key consideration is whether to build this yourself or outsource and buy your website from external providers like marketing agencies.

    Here are the five key considerations for buying or building a website.


    Do you have the skills internally?


    Developing a website yourself is easier than ever these days with services like Wix, Squarespace and WordPress. They’re all self-service tools that allow people to point, click and drag and with relatively little effort or skills, using the included templates on offer, a reasonable business website can be created. But what about adding and managing jobs? Or accepting applications? Or creating a news feed? Or integrating your newly-created social media accounts? Or how do you buy your domain name and link it to your website?

    As you can see there are lots of additional skills-related questions you should ask before you dive in and create your web presence.

    Do you have the time required?


    When you’re launching a new business, you should be 100% focused on doing the things that will make a difference to your bottom line. In many cases, that should be all about sales and focusing on activities that drive sales. Designing, creating and populating a website all take time… and that\’s after you\’ve got to grips with whatever software or platform you\’ve elected to use. That time could arguably be put to better use if you outsource creation of your website, although of course that will come with its own challenges of finding, briefing, managing and paying for that outsourced support.

    Don’t forget about post-launch

    Even after you launch the site, you’ll still have to consider backups, security, maintenance, improvements, etc. – and every one of these activities can be a distraction for a fledgling startup. Depending on the platform you’ve chosen or the system you’ve adopted, ongoing advertising of jobs, posting news and adding content to your website can vary in the amount of time and skill required. The more advanced systems that can help streamlines these processes, are often also more complicated to set up initially.

    Think about costs

    Although self-building your own website may seem like the lower cost option, there’s the cost of your time in creating and supporting your website. Would your time be better focused elsewhere – ie on actual sales?! Pricing for business users on WordPress starts around £7 per month, Wix starts around £8.50 per month, on Squarespace from £15 per month. On a positive note, all of these services also include the cost of your domain name for the first year too. Of course, if you’re more IT literate then you could self-host as well as self-build and this could lower the overall monetary costs, but this may require more of your time to manage.

    Weigh up the risks

    Weighing up the risks of build vs buy comes down to focus more than anything. In the early days of launching a new recruitment business, it’s absolutely critical that you focus on the things that will make a difference to your business. Outsourcing the creation of your website doesn’t have to cost the earth, especially if you engage niche providers, freelancers or other people with the skills, time and resources to do what you ask of them. The risk of not engaging others to build your website means your available time which should be spent on sales and building / growing your business, will now also need to accommodate your website work too.

    Ten other website things you need to think about and questions you need to ask.

    1. Domain name – this is what you want your web address to be. Is it available? Can you register it? If you’re only focused on the UK then a .co.uk domain name is probably more appropriate than a .com one.
    2. Content – who’s going to write the content? Will you have a ‘news’ section and if so, can you commit to updating this regularly? What are your writing skills like? Do you need external help with this?
    3. Images – a full text website will be quite a dull thing to look at, so you’ll naturally want to include some suitable images to support your fledgling brand. You need to make sure that you have the legal right (copyright) to use the images you choose, so royalty free stock photography libraries like Pexels and Pixabay will certainly help here.
    4. SEO – Optimising each page of your website so that it is indexed and ranks well in search engines is critically important in the medium to long term. Do you have the knowledge or skills to do this? Many of the self-build services offer some basic tools, but a level of understanding of SEO is really needed to get the most out of this activity.
    5. Posting jobs – what’s the mechanism for doing this? And how will people apply? What happens to filled or expired jobs too… do they get de-listed or removed from the site automatically or is this something you’ll need to manually manage?
    6. Social media – you’ll want a social media presence, but you need to commit to maintaining it too. Basic social media activities involve just broadcasting your jobs, but how will you develop this and take it to the next level and really start engaging with your network? Your social media accounts should also be linked to your website too (and your email signatures).
    7. Promotion – how are you going to attract people to your website? Yes, you need a website to start with, but then you need to attract people to it. Make sure you include your web address in all your marketing activities and communications e.g. on your email signature, on your adverts, on any merchandise you order, etc.
    8. Contact forms – will you encourage people to contact you through the website? It makes sense to open this communication channel, but what will your forms look like? Don’t ask too many mandatory questions and put people off contacting you. And it’s good practice to set up an auto-responder so that people know their enquiry has been received.
    9. GDPR – as a recruitment agency, you’re almost certainly going to be processing personal data in some way so it’s essential that you be fully GDPR compliant. Check out this handy Guide to GDPR from the official body, the ICO. In brief, you need to make sure you have a suitable privacy policy that governs how you process, use and retain personal data. Your policy should be easily available from your website too.
    10. Security – Once you’ve created and published your website it’s important that you remain vigilant against any security breaches. Not only could a security breach be a GDPR infraction that potentially exposes personal information but could lead to your site being compromised or e-vandalised. Regular security updates, audits and site maintenance will be critical to ensure this doesn’t happen to you.

    So whilst we can’t say decisively whether building or buying a website is the best option for you – as everyone’s different after all – we hope we’ve given you enough food for thought and helped you ask the questions you need to in order to reach your own decision.

  • Invoice Finance or Invoice Factoring

    Invoice Finance or Invoice Factoring

    If you’ve made the decision to set up and run your own recruitment business, particularly in the temporary market, you will inevitably eventually need to decide how best to finance your weekly payroll.


    Below is our brief guide on the very different options available to a new recruitment business director.

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  • Your first month as a recruitment agency owner

    Your first month as a recruitment agency owner

    Once you have begun operating your own recruitment agency, it may suddenly dawn on you that your primary source of income is your own business!


    This can of course be very scary to some, especially if this is the first time you have started your own business.

    However, don’t worry, help is on hand. To help make this transition as smooth as possible, and give you the best possible chance of succeeding, we have put together some information. From what to do in your first month, to how to make new contacts, the following tips are designed to help remove some of the pain involved in setting up your own recruitment agency.

    Whilst this list is by no means exhaustive, it does contain some important details that we feel new recruitment agency owners need to know when first starting out. As such, you are also recommended to read as much as you can – not just about setting up a recruitment agency, but what you need to do to make a business venture a success.

    Create a schedule and stick to it

    The freedom of being your own boss it likely one of the reasons why you first wanted to set up your own business. Such freedom is very desirable, and therefore wanting it is perfectly understandable. However, having a regular routine is very important as it provides you and your working day with much needed structure. If you do not put such a schedule in place, one of two things are likely to happen. First, you will either become lazy and not work as hard as you need as there is nothing in place to make you sit down and work when required. Second, if this does not happen, then the opposite usually does – that of working too much. Not only can this put a real strain on your health and personal relations but can result in you resenting the lifestyle you have chosen for yourself, and as a result, the very business you set up. Whatever your schedule is, ensure it remains achievable over the long time and enables you to work and have time for yourself.

    Be careful with your money

    With your new recruitment agency doing well and clients increasing, it is perfectly understandable to want to spend more. Of course, this may be necessary for expansion purposes, but a general rule for new businesses is to remain cautious when it comes to spending, at least initially. This is because things can change very quickly, and whilst one moment everything can be going well, circumstances out of your control can result in things taking a turn for the worst. To help combat against such a situation, you are advised to have emergency funds in place, as well as sticking to as small a budget as possible. Such behaviour will also give you peace-of-mind, knowing that you have funds and a budget in place should they be required.

    Stay indoors and meet people

    Growing your contact list and meeting people have traditionally been important aspects of running your own business. Of course, the internet has changed this, and many new businesses now operate exclusively online. Whilst this means that many people do not have to leave their homes to operate their business, it does not eliminate the need to meet people. This can be done both online and offline and is encouraged for new business owners. Such networking enables you to keep your social skills fresh, and of course can lead to new business opportunities. Joining online groups and reaching out to individuals through social media are great ways to meet new people and stay connected.

    Remember to market your business

    If you find yourself with a full client load, it is understandable that you may not be focusing on marketing your business. However, this is a mistake and as a business owner you are strongly advised to always be pitching for new work. This is of course to ensure that you can cope temporarily should your business experience a downturn, as well as attract new clients that will ensure your business remains sustainable. Simply put, do not rest on your laurels. Whilst you may be successful now, this is no guarantee that you will remain so in the future. It is therefore vital that you continue to look for new business opportunities to help your business grow and remain sustainable for the foreseeable future. Many of the most successful businesses around today can point to their ability to change and branch out into new business streams. You should therefore be flexible and aware enough to always be on the lookout for new opportunities.

    Good luck

    Starting out on your own is of course very exciting. From leaving your old job and choosing the name of your business to registering it and getting your first client, there are many exciting milestones awaiting you. Of course, there are also many things you must learn, as well as a lot of hard work along the way. Remember, by planning a schedule and sticking to it, being frugal in your spending and becoming connected with like-minded business owners, you will be giving yourself the very best chance of getting it right in your first month and the many months that will follow. Recruitment is an increasingly important and growing industry in the UK – one that can make a very real difference to the people you find jobs for and the companies you are placing them with.

  • What entrepreneurs have in common

    What entrepreneurs have in common

    When looking at successful entrepreneurs, it is only natural to look for a pattern, something they all have that sets them apart from everybody else.


    Some point to education, where they grew up, or how rich their families were. Whilst it is undeniable that such factors can have a significant impact on how successful a person is, when looking at successful entrepreneurs, that is, those who have changed markets, a different pattern emerges, that of personality. It would seem that your personality, your mindset, your drive, are much more important than how many degrees you have when it comes to success.

    You have what it takes!

    It is normal to look at the likes of Jeff Bezos and Richard Branson and think that they are different to the rest of us in some way, that they are a type-A person; academically excellent and incredibly ruthless. However, studies have shown that this just isn’t true. Research has revealed that the top two personality traits shown by entrepreneurs are perception and intuition. This suggests that success isn’t dependent on being the smartest, but rather it comes to those individuals who can identify opportunities and take them. To further breakdown the common traits of successful entrepreneurs and show you that you can have these also, we have put together the following five common personality traits.

    Determination

    All successful entrepreneurs share a passion for what they do. Whilst money and success are of course important, they are not the sole drivers behind their success, initially, there has to be a passion for what you do. This passion is evident in the time and effort needed to be put into a successful business. From the long hours required, the extra work and of course the responsibilities. That is why passion is so important – you need to love what you are doing so that all this hard work doesn’t serve to put you off.

    Staying focusing on your dream makes such hard work possible. Successful business people understand this and embrace hard work, often long after they need to. Steve Jobs, the iconic leader of Apple, once stated, “I\’m convinced that about half of what separates the successful entrepreneurs from the non-successful ones is pure perseverance.”

    Motivate yourself and others

    Being a leader means you have to remain motivated yourself and be able to motivate those around you. Having this drive to succeed is essential and often comes from the passion and love they have for their business. It is this passion, and their ability to pass this onto others that often makes successful entrepreneurs very successful entrepreneurs. Knowing your vision and being able to clearly communicate this to others is important. If you want your staff to invest in your company, your dream, then you need to be able to pass your passion to them, to make them want to join you on your journey.

    The glass is half full

    With all the stresses related to starting out on your own, it is understandable to become a bit pessimistic sometimes. It is important to try and eliminate such thinking. Successful business people are often positive, very positive. They focus on opportunities and the future rather than obstacles and what could have been. This ability to stay positive can, of course, be difficult, but it can be made much easier if you stay true to your plan. By remaining clear in your goals and ensuring your team is also, will help you on your path to success. Staying to your plan and knowing your goals will help you and others to remain positive. Try to always ensure that everything you do has a purpose and that this purpose is aimed at helping you realise your goals.

    Think outside the box

    Creativity is another common trait found among successful entrepreneurs. Their ability to look at things from another angle, to see things differently, is often what makes them so successful in the future. Businesses are often formed on big ideas, and these ideas usually come from looking at an issue in a creative way – differently from the usual. This ability, desire to think outside of the box enables you to improve existing processes, to identify new opportunities. Such thinking has led to ideas that have changed the world. Whilst you are not expected to change the world just yet, the more you think creatively the easier the process becomes and the more likely you are to come across good ideas.

    Take risks

    As has been mentioned, successful business people are not opposed to taking risks. When starting your own business, you too must exhibit such bravery, understanding that risk-taking is a natural part of running a business. You must be clear in the knowledge that in order to realise your goals and dreams, you must take risks from time to time. Remaining safe and complacent will prevent you from achieving greatness, and you should therefore not be afraid to take a leap of faith now and again. You should try to view such risks as opportunities, to focus on the rewards rather than the risks involved.

  • The secret to success

    The secret to success

    It is perfectly normal to look at successful people to try and learn how they do it and get tips that you can follow yourself.

    When doing this, you will likely begin to see that the habits of some of the most successful business people are based on philosophic beliefs that proclaim the benefits of living within one’s means. This belief that stoicism and staying humble are important aspects of success can be witnessed in the words and actions of some of the world’s most successful business people, such as Bill Gates, Elon Musk or Jeff Bezos.


    Do as others do

    When it comes to living stoically, it may seem strange to look for tips from some of the world’s richest individuals. However, as you will see, many of these people do not measure their wealth in terms of expensive cars and clothes. Warren Buffett, the famous and much lauded American CEO of Berkshire Hathaway is well known for his frugal lifestyle, apparently never paying more than a few dollars for breakfast and remaining in the same home he purchased for less than $40,000 in 1958.

    Ingvar Kamprad, the founder of Ikea, is one of the world’s richest individuals with a personal worth of approximately $60 billion. Whilst such riches would enable him to buy any vehicle in the world – regardless of cost – according to Bloomberg News, Kamprad drove an old Volvo for more than 20-years; only giving up the vehicle after being persuaded by his daughter that driving such an old car could be dangerous.

     

    Similar examples of such frugality include that of Mark Zuckerberg, the founder, and CEO of Facebook. Young, rich and powerful, Zuckerberg could be forgiven for driving to work in a supercar. Instead, he prefers to drive a normal, everyday car worth less than $30,000 because, in his worlds, “It is safe, comfortable and not flashy.”

    So why do these billionaires choose to spend so little when they could spend much more without it making any real difference to their worth? We will now look at why these individuals place more worth in other areas, and what these areas are.

    Don’t live beyond your means

    Wherever we look, again and again, we can see examples of rich individuals living way below their means. One such example is Lebron James, the famous US basketball player with a net worth of around $440 million, who refuses to pay for expensive subscriptions, preferring free WIFI and music-streaming sites instead. Staying with US sports, there are numerous other stories of athletes earning millions of dollars every year but who have limited their spending to just a few thousand dollars each month.

    Like Buffett and Zuckerberg, these individuals have chosen a lifestyle way below their means; exhibiting spending habits that show their focus for being successful lies elsewhere from money. Just because these individuals are extremely wealthy, it does not mean that wealth is their driving focus. Being clear about what matters to them provides them with clarity and freedom. This freedom is a freedom from possessions and is important as it enables these individuals to concentrate on what makes them happy.

    Admit you do not know everything


    Billionaire and humble are not two words that you would normally associate with each other. However, many of these individuals are the first to admit that they do not know everything. Such successful business people are often ferocious readers – understanding the need to continue to learn in order to be successful. Such understanding that there is always more to learn is not a new discovery, with Socrates himself stating, “All I know is that I know nothing.”


    The understanding and acceptance that we can be wrong are important. Once we realise that imperfection and failure are perfectly natural and that there is no shame in being wrong – we can much more easily move forward and focus on what really matters. Making mistakes is an important part of life and enables us to learn from such events. It was Einstein who famously said, “The definition of insanity is doing the same thing over and over again and expecting different results.”


    Time can be your most valuable asset

     

    Of all their many assets, successful individuals know the importance of time. Our time is valuable, and therefore anything and everything we can do to make the best use of it is encouraged. However, whilst we may be protective of some of our assets, such as physical property, we are often less concerned with our time and what we do with it. One simple way of better protecting our time is saying no to requests. Whilst we are not saying you cannot help people, you must ensure that others do not set your agenda in life. As Buffett himself states, “You have to keep control of your time, and you can’t unless you say no.” When saying no, remember why you are doing so – that of protecting your time and energy so that you can focus on what is important to you. Remember, time should be considered your most valuable asset, and one that you cannot buy more of.

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