What's the Best Way to Get Rich? Mark Cuban Answers

You'll never guess what it takes to make money. On his personal blog, Mark Cuban has re-posted a piece he wrote three years ago entitled, “How to Get Rich.” But this is no get-rich-quick scheme. In fact, Cuban warns that the path to wealth could to take you several years, if not several decades. “The question everyone wants answered is how to get there,” he wrote on his blog, which was also featured on Business Insider. “There are ways to get there. But there is not a template that works every time for everyone. It works sometimes. Getting there requires being ready when opportunity presents itself.” In short, Cuban says that change and uncertainty create opportunity. “Times like we are facing now, with complete financial uncertainty, are perfect times to start on the road to getting ahead financially,” he said, referring to the crisis of 2008. Boy, how little has changed since then. “There are no shortcuts,” Cuban warns. “NONE. With all of this craziness in the stock and financial markets, there will be scams popping up left and right. The less money you have, the more likely someone will come at you with some scheme. The schemes will guarantee returns, use multi-level marketing, or be something crazy that is now ‘backed by the US Government.' Please ignore them.” Cuban says that if a deal was truly great, no one would want to share it with you. “I don't broadcast my great deals,” he insists. “I keep them all to myself. The 2nd thing to remember is that if the person selling the deal was so smart, they would be rich beyond rich rather than trolling the streets looking to turn you into a sucker. There are no shortcuts.” Instead, Cuban recommends that you save your money. “Save as much money as you possibly can,” he writes. “Every penny you can. Instead of coffee, drink water. Instead of going to McDonald's MCD, eat Mac and Cheese. Cut up your credit cards. If you use a credit card, you don't want to be rich. The first step to getting rich requires discipline.” Believe it or not, Cuban says that the greatest rate of return that a person can earn is on his or her own personal spending. “Being a smart shopper is the first step to getting rich,” he insists. “Yeah you have to give things up and that doesn't work for everyone, particularly if you have a family. That is reality. But whatever you can save, save it. As much as you possibly can. Then put it in 6 month CDs in the bank.” Why? “The first step to getting rich is having cash available,” he continues. “You aren't saving for retirement. You are saving for the moment you need cash. Buy and hold is a sucker's game for you. This market is a perfect example. Right at the very moment when cash creates unbelievable opportunity, those who followed the buy and hold strategy have no cash.” “Cash is king,” Cuban says, “for those wanting to get rich.” Follow me @LouisBedigian