Your Friendly Philosopher & Guide

There are many pros and cons of being on your own and being employed. Let me talk only about the negative part of being on your own. First thing is – no banks will give you loans –neither for vehicles, nor for home. They would want you to file IT returns or to at least have insurance policies. My only policy in life is to not have any insurance policies, and I don’t file IT returns either. Hence the option of getting a loan from the bank for a new car closes completely.

My friend asked then what about earning 2 lakhs a month with ease, and I had to tell him about the difference between Main Business and Core Business philosophy.

Example 1 – Jewelry Shop

Go to any jewelry shop. Beautiful ornaments are showcased in 1000s, which prompt you to buy something for your loved ones. And we think selling those beautiful ornaments to the customers is the only way jewelry shop makes a living. No, there is a core business associated with these shops, which most people fail to see.

Whenever a new ornament is bought, the customer is charged for the wastage. Secondly cheap stones that come with the jewelry are weighed and sold as gold. And thirdly, after the purchase is done they will ask if you want a bill. If you ask for a bill, some 4 per cent is charged as sales tax. So obviously to save that 4 per cent extra, you take the jewels without a proper bill – and these jewelry are adjusted in smuggled gold, for which the shopkeeper need not show account to the government.

And when you want to sell gold – once again the customer is charged for the wastage, the jewelry is weighed after the stones are removed. The whole funda is to buy gold from the customer at the cheapest rate possible!

Hence the main money for any jewelry shop doesn’t come from selling new ornaments, but by selling smuggled gold. And they make a killing when they buy used gold.

To be continued….