Chapter Content
Okay, so, uh, getting lucky, right? How do you actually, like, *get* lucky?
You know, I always say, "Don't aim to get rich based on luck." And the reason for that is, like, imagine a thousand different versions of reality. You'd want to be wealthy in, like, 999 of those, right? You wouldn't want to be, like, super rich in some of them because you just got lucky, and then, you know, dirt poor in others because you had bad luck. So, you want to kinda take luck out of the equation as much as possible.
But, like, let’s be real, good luck definitely *helps* when you’re trying to make money, right?
So, me and my business partner, Babak Nivi, were actually talking about this on Twitter. We kind of broke down luck into, like, four different types.
The first kind is just straight up, "chance encounter" luck. You know, like, random good fortune that's completely outside of your control. Like, winning the lottery or, uh, just bumping into the right person at the right time.
The second type of luck, well, that comes from, like, pure persistence and hard work. It’s, like, you keep trying, you keep failing, but you keep going. You know, constantly creating opportunities for yourself. You're, like, throwing a ton of stuff at the wall to see what sticks. You're putting out a lot of energy, trying everything, really going for it. Because you're working so hard and consistently putting yourself out there, eventually, good luck will find you.
Then there's the third way to get lucky, which is being really good at *spotting* luck. If you’re, like, super skilled and experienced in a certain area, then when there's a breakthrough, you're gonna see it way faster than everyone else. You're more sensitive to the opportunity. Luck favors the prepared mind, right?
And the fourth kind of luck, which is the coolest and, like, the hardest to get, is about building, like, a unique personality, a unique brand, a unique mindset that basically *attracts* luck to you.
Like, imagine you're the best deep sea diver in the world, right? Everyone knows you are *the* person to call for the stuff that no one else can do. Now, someone happens to find a sunken treasure ship off some coastline that they can't even get to. Well, *their* good luck becomes *your* good luck, because they're gonna have to hire you to recover it, and you're going to get paid for that.
So someone, totally randomly, found the treasure, yeah. But then they come to *you*. It’s your, like, expertise that creates your own luck. Other people aren't putting themselves in that position. You're putting yourself in a position where you can, you know, take advantage of luck or, like, attract it to you. There's a cause and effect. If you don't want to rely on luck to get rich, you have to focus on establishing those definite cause and effect relationships, instead of just, you know, leaving it all up to fate.
So, how do you get lucky?
* Hope for random good luck.
* Keep hustling until you stumble on something big.
* Be prepared and stay aware of the opportunities that other people are missing.
* And, like, become the best at what you do. Just keep improving until you are, you know, legitimately the best. And that way, opportunities will find you. Luck becomes inevitable.
When you look at it like that, the cause and effect is so definite that it's not even really luck anymore, you know? It’s just, like, the result of your actions. The fourth kind of luck is just, like, shaping your character in a certain way, and then your character determines your destiny.
I think a really important thing when it comes to making money is visibility and credibility. People need to know you and trust you. That's how deals get done. Like, going back to the diver example, your diving skills are, like, so amazing, you're so well-known, the treasure hunters come to *you*, and they give you a share of the treasure in exchange for your skills.
And, even more than that, if you're trustworthy, reliable, honest, and have a long-term focus, then other people will choose to do business through you, even if they're dealing with strangers. They'll come to you and, like, give you a cut just because you've built a reputation for being trustworthy.
Warren Buffett gets all these deals constantly, where people ask him to buy their companies, purchase warrants, bail out banks, do things that other people can’t do, and it's all because of his reputation. And, of course, he has a sense of responsibility and a strong brand.
You can build your own character and reputation. And once you have that, the opportunities will come. Other people might think you're just lucky, but you know it's not luck. It’s your character. My business partner, Nivi, has this saying, "In a long-term game, it seems like everyone is making each other rich. In a short-term game, it seems like everyone is making themselves rich."
And I think that’s so true. The long-term game is a positive-sum game. We're building something together, making the pie bigger. And the short-term game is just about, like, dividing up the pie.
So, how important is, like, networking, you know, all that kind of stuff?
I think most business networking is kind of a waste of time, honestly. I know a lot of people and companies promote the idea of "building your network," because it benefits them. It's part of their business model. But the truth is, if you build something interesting, more people are going to want to know you. Trying to build relationships before you have a business is just a waste of time. My philosophy is more like, "Be a creator. Create something interesting that people want. Show off your skills, practice your skills, and eventually the right people will find you."
So, how do you figure out if someone is trustworthy? What are the red flags?
Well, if someone talks too much about how honest they are, they're probably not. That's just a little warning sign that I’ve learned. When someone is constantly, like, proclaiming their values, or bragging about themselves, it means they’re trying to cover something up.
Sharks eat really well, but they live in a world full of sharks.
I have some incredibly successful and charming people in my life – everyone wants to be their friend – and they're also super smart. But I've also seen them do things that aren't so nice to other people. And the first time I see that, I'll say, "I don't think you should be doing that to that person. And I'm not saying that because you're going to get punished. I'm sure you'll get away with it. But it's eventually going to hurt you."
I'm not talking about, like, "the universe is balanced" or "karma will get you," but that we all know who we are, deep down. You can't fool yourself. Your bad behavior deeply affects your own mental model. You know what you've done. And if you have too many moral flaws, you're not going to respect yourself. The worst thing that can happen to you is not having self-respect. If you don't love yourself, who will?
So, I think you have to be careful and not do things that you feel are wrong, because they're going to hurt you in the end. And when I see someone do that for the first time, I'll warn them. Of course, people rarely change. And so, I distance myself from them. I cut them out of my life. I have this saying in my head: "The closer you want to be to me, the more correct your values have to be."