THE CASH FLOW
QUADRANT
UNDERSTANDING THE WORLD OF BUSINESS
By Kato Festo - The Business of the 21st Centuery
By Kato Festo - The Business of the 21st Centuery
E - EMPLOYEE
• Always looking for a safe secure Job with benefits e.g. allowances e.t.c
The core value here is Job security.
How much you earn is determined by the efforts and time you put in the work.
One can only have 5% of wealth here.
No Leverage
Time = $$$
More Taxes: the more the salary the more the Taxes
By Kato Festo - The Business of the 21st Centuery
S – SELF-EMPLOYED / SMALL BUSINESS OWNER
• Here, we find statements like, “you want it done right? Do it your self”
• They’re often solo – they operate by themselves.
Income is determined by active work done
96% of the Population is based here.
No Leverage
Time = $$$
More Taxes: compared to the Employees
By Kato Festo - The Business of the 21st Centuery
B – BIG BUSINESS OWNER
• These have 500 employees or more.
• They work with systems and employ the qualified to work in their businesses.
• Leverage
• 95% of wealth
Work with People = $$$$$
Less Taxes: More of the taxes are covered by the taxes taken from employes
By Kato Festo - The Business of the 21st Centuery
I - INVESTOR
• People here own investments.
• The money work for such people.
• Leverage
• 5% of the population
Money working = $$$$
More less/No Taxes: Depending of the Terms in the Country of operation
By Kato Festo - The Business of the 21st Centuery

The cash flow quadrant

  • 1.
    THE CASH FLOW QUADRANT UNDERSTANDINGTHE WORLD OF BUSINESS By Kato Festo - The Business of the 21st Centuery
  • 2.
    By Kato Festo- The Business of the 21st Centuery
  • 3.
    E - EMPLOYEE •Always looking for a safe secure Job with benefits e.g. allowances e.t.c The core value here is Job security. How much you earn is determined by the efforts and time you put in the work. One can only have 5% of wealth here. No Leverage Time = $$$ More Taxes: the more the salary the more the Taxes By Kato Festo - The Business of the 21st Centuery
  • 4.
    S – SELF-EMPLOYED/ SMALL BUSINESS OWNER • Here, we find statements like, “you want it done right? Do it your self” • They’re often solo – they operate by themselves. Income is determined by active work done 96% of the Population is based here. No Leverage Time = $$$ More Taxes: compared to the Employees By Kato Festo - The Business of the 21st Centuery
  • 5.
    B – BIGBUSINESS OWNER • These have 500 employees or more. • They work with systems and employ the qualified to work in their businesses. • Leverage • 95% of wealth Work with People = $$$$$ Less Taxes: More of the taxes are covered by the taxes taken from employes By Kato Festo - The Business of the 21st Centuery
  • 6.
    I - INVESTOR •People here own investments. • The money work for such people. • Leverage • 5% of the population Money working = $$$$ More less/No Taxes: Depending of the Terms in the Country of operation By Kato Festo - The Business of the 21st Centuery