Leverage: Fancy Business Word or Staple of Life?

October 6, 2007

Archimedes once said “Give me a lever long enough and strong enough and I will move the earth for you”. Now while this concept may seem almost egotistical in and of itself, it holds a very viable distinction. What Mr. Medes was simply stating is that if an individual has enough leverage in his hands then what once seemed as impossible thus becomes possible. When one examines the art of leverage and the ability to do more with less, I truly believe that we find the defining factor that separates…..

- Those who have moderate flow of income from those who have a distinctly massive flow of income.
– Those who have a limited amount of available time to pursue passion from those who have what seems all the time in the world to do otherwise.
– Those who are limited in their ability to achieve goals from those who seem to reach a new plateau every time you talk to them.
– Those who are locked in one location for an indefinite amount of time to those who can pick up and travel at will with no fleeing thought to hinder them.

Leverage when defined in lifestyle terms is the ability to work smarter and not harder. It is the ability to get more done and deliver more value to more people with less time and energy. It is the ability to replace yourself as much as possible without losing the quality of the task at hand. For many people this can sometimes prove challenging, due to the fact that many individuals refuse to let go of certain life tasks or formal operational methods due to a blown up ego or because they are afraid that no one can basically perform the certain task as well as they can. This thought pattern is a crippling one and is a pattern that other lifestyle designers and myself have to learn to overcome. With my experience in the past, if a task can be leveraged to someone or something and can be performed 80% as efficiently compared to if you were to do it yourself , then that is adequate and should be delegated to him/her/it.

With all of this said, let me stress that leverage DOES NOT = laziness. It simply reflects a smarter and more efficient way of tasking and all be it , living. Here are 3 main sources of leveragability that I have discovered, along with a brief overview of each.

IF LEARNED AND PRACTICED WITHIN ACCURATE MEANS, THESE 3 LEVELS OF LEVERAGE HOLD THE ABILITY TO CHANGE ONES LIFE ACCORDINGLY.

3 KEYS THAT WE ALL HOLD

POTENTIAL RELATIONSHIP LEVERAGABILITY(PRL) – Some of the most adherent and wisest leaders you will find are those who surround their selves with individuals who are either smarter than they are or are more skilled. Thus they can then leverage other peoples strengths , wisdom, and skills to further either their self or their vision.

PRL is the aptitude of leverage concerning people or the skills of people. Simply put, it is the effectiveness of how well one can use the resources of others to perform a task or further a vision. It extends to but is not limited to employees, friends, acquaintances, online contacts, those who may be in debt(not necessarily financially) to you, or anyone else in your realm of living as well as future relationships.

When PRL is put into effect, one must use a selective feeder in making sure that the people you are leveraging will in fact perform said method adequately by at least 80% of desired outcome. If not, then I suggest looking elsewhere.

· PRL also includes the reputation that you hold as an individual. Reputation too can be leveraged in relationships if people hold a high respect for you.

POTENTIAL RESOURCES LEVERAGABILITY(PrL) – Ones aptitude in using tools or objects as resources to accomplish tasks rather than the use of ones energy. PrL speaks respectively in terms of how you can use the mechanics of tools and thereof. Many computer programs fall into the efficiency method form of PrL.

PrL pertains to basically any motorized, mechanical, computerized, or nonliving forms of operations. Certain examples of PrL are……

Setting an alarm clock in order to help my wife wake up rather than taking 5 minutes of time and energy to call her in order to do the same. I use the alarm clock as my leverage.

Using any of 37Signals web applications to either help organize a daily routine, checklist, or other operation geared towards more computer minded individuals rather than relying on other outdated methods which use more of time and energy.

Simply driving a car somewhere rather than walking(although for obvious health reasons, walking may be suggested ).

Using the weights in a gym as an method of leverage in order to “get fit”.

Also let it be known that when speaking in terms of resources, many people associate time and mobility with leverage. I , however do not. Time and mobility, to me are currency, therefor they fall into the third of our leveragabilities…..

POTENTIAL CURRENCY LEVERAGABILITY (PCL)- Ones aptitude in using the assets that we create in life in order to help accomplish goals or certain tasks. When speaking in terms of assets, I speak of mainly the 3 main currencies of lifestyle design….TIME, MOBILITY, and MONEY. When speaking in terms of money, we also include vehicles that create this such as business or investments.

The peculiar thing about this form of leverage is that the very objects that we are using to create leverage are actually the same objects that we create leverage FOR.

An example of leveraging your time would be holding a telisimenar and speaking with 10, 20, or 60 individuals all at the same time rather than speaking with them each on an individual basis.

An example of leveraging your mobility would be traveling not for travels sake, but rather traveling to help support a non-profit organization that builds houses for survivors of natural disasters in Vietnam. Thus your travel expenses can be written off tax exempt saving you on your money.

An example of leveraging your money would be as simple as the concept of investing. The magic of having money work for you rather than you working for money has been tried by the test of the ages, and still holds up.

HARDER, FASTER, STRONGER…

Daft Punk has recently come to the mainstream due to the remix of this original song by Kanye West. Contrary to popular musical beliefs, one does not have to work harder, faster, or stronger but can use some of these simple suggestions of leverage to help mold ones life to fit what he/she expects from it.

What are your thoughts? Any leverage forms or rules that you would like to add. Is leverage still a relevant topic? How does leverage help you in your daily life. Sound off and let us know…..

Also, in the upcoming weeks look for an in depth interview with Michael Davis of Familyhack fame. You have seen him mentioned on here and he frequents from time to time with comments. Find out how Michael and his wife , Hanna, apply laws of leverage in their own life. Be prepared for tales of travel, independant living, and messy diapers.

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12 Responses to “Leverage: Fancy Business Word or Staple of Life?”

  1. WarriorBlog Says:

    Wow Bunk, very detailed and helpful. I realized something while reading this:

    “When one examines the art of leverage and the ability to do more with less, I truly believe that we find the defining factor that separates…”

    So, what Arrchimedes said is kind of like saying “if I have lemon, then I will make lemonade.”

    Leverage is also very important if you are trying to make money online. Invest what you have and keep investing once it is made.

    ——

    All of your post are very advanced – English is second language :P I read it and thats the conclusion I arrived at.

    I wonder how long it took you to write this…

  2. bunk1980 Says:

    Sean,

    In many ways you are correct. I truly believe that the individuals who master the art of leverage can then take almost any circumstance or item in life and use it as leverage to further them. This would also include not so pleasent circumstances as well as lemons LOL.


  3. [...] Leverage: Fancy Business Word or Staple of Life? by Bunk Price [...]

  4. Jennfier Says:

    Talk about leverage. Ok you just did.So giving you a blog was the way to get you to talk.


  5. Wow – what an outstanding post. I love the thinking that time is currency – Not all that long ago, I didn’t used to think that way.

    I love this topic. After reading the 4 Hour Workweek, I realized that I was not using nearly enough leverage. Since then, thoughts of how to do this are always at the forefront of my mind – it’s very exciting. If you’ve been living life without utilizing leverage, the concept of using it is truly like opening the doors to an entirely new dimension of possibility.

    Thank you Bunk for yet another thought-provoking and inspiring post!

    Christine

  6. bunk1980 Says:

    @ Jenn – Giving me a blog was the way to invite me to be expressive in my passion LOL.

    @ Christine – It is amazing how once something( in your case leverage) is pushed to the forefront of your mind you begin to find ways or manners to use it that should have been obvious ……atleast that was my case.

  7. Cyril Barot Says:

    Leverage indeed is integral for concepts like the ones at http://www.timferriss.com/


  8. [...] Leverage as the base When you apply the laws of leverage to life, its the creation of a new lifestyle design, one which allows for travel, independent living, a great lifestyle and income muse that supports this all. Check out more such thoughts at Leverage: Fancy Business Word or Staple of Life? The LifeStyle Maverick: beta [...]


  9. [...] We all understand the power of leverage when it comes to lifting heavy objects – with the right leverage system, a 90 pound woman could easily lift a 2000 pound vehicle off the ground. Leverage, defined by Wikipedia is: “a small force applied over a long distance is the same amount of work as a large force applied over a small distance. The trick is converting the one into the other.” Bunk Price at Lifestyle Maverick has written a useful and thoughtful post about applying this principle to your business success in his post, “Leverage: Fancy Business Word or Staple of Life?” [...]


  10. [...] Administrator wrote an interesting post today onHere’s a quick excerptWhen speaking in terms of money, we also include vehicles that create this such as business or investments. The peculiar thing about this form of leverage is that the very objects that we are using to create leverage are actually the … [...]


  11. [...] I think Bunk Price is intelligent and you can learn a lot from his blog about being more successful. [...]

  12. bunk1980 Says:

    @ Cyril- Thanks for stopping by. I agree with your statement completely.


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