- They effectively manage their money
The average US household credit card debt stands at $15,863, according to Forbes Magazine. A substantial amount of this debt is based on luxury and consumption spending that are unnecessary purchases. Wealthy individuals are more likely to save their money and wait for opportunistic investments. We have personally seen many companies fail because they ineffectively manage their finances. A key reason that start-ups fail is because they run out of capital. If the finances are being misappropriated to begin with, it is highly likely that the companies will not be able to continue regardless of how much cash is generated.