Book : The Snowball – Warren Buffett and the business of life

"The Snowball – Warren Buffett and the business of life" is Warren Buffett’s authorised biography to be published on 29 Sept 2008.
website on the book

Thre is an article which features Warren Buffett "10 ways to get rich":

It’s a good read with condensed wisdoms.
I try to "re-phrase" the main points using my own words (after reading the "10 ways to get rich").

1. Reinvest your profits

Power of compounding;

2. Be willing to be different
Beware of "herd mentality";
Own yardstick to judge yourself, not the world’s;
Live your own life, not others

3. Never suck your thumb
Gather info/database before hand to enable fast decision making;
Set a deadline for decision;
Don’t procrastinate on decision

4. Spell out the deal before you start
Get the specifics/details before start

5. Watch small expenses
Beware of any cost that can eat into profit;

6. Limit what you borrow
Be debt free, then work on savings, then only invest

7. Be persistent
Importance of cost reduction;
Importance of negotiation;
Persistance even when in "underdog" situation;

8. Know when to quit
Beware of "mental accounting";
Know when to quit;
Learn from mistakes;
Never repeat mistakes;

9. Assess the risks
Risk analysis by using scenario analysis: best case scenario, worst case scenario;
Decision making analysis : "and then what ?" (much like decision tree)

10. Know what success really means
Success is not measured by dollars nor monuments;
Success is charity, be loved

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