ESBI Career Progression

A framework for understanding career progression and wealth building, moving from employee to investor status. Based on Rich Dad Poor Dad's quadrant system.

The Four Quadrants (ESBI)

  • E (Employee)

    • Starting point for most people
    • What parents typically encourage through education
    • Trading time for money with a stable job
    • Limited income potential and freedom
  • S (Self-Employed)

    • First step toward independence
    • Example: Going from barista to freelance web designer
    • Higher hourly rate but still trading time for money
    • More freedom but income ceiling exists
  • B (Business Owner)

    • Key transition from selling your time to selling others' time
    • Creates systems and processes that work without you
    • Example: Growing from solo designer to agency owner
    • Requires learning delegation and management
    • Reading "E-Myth" helps understand business as a machine
  • I (Investor)

    • Final evolution where money works for you
    • Complete freedom to do what you want
    • Focus on return on investment rather than active work
    • Example: Warren Buffett style investing

Key Transitions

  • E to S Transition

    • Often requires identifying opportunity in current workplace
    • Can lead to significant initial income jump
    • More enjoyable work as you choose your path
  • S to B Transition

    • Critical realization about leveraging others' time
    • Need to accept others may do worse job initially
    • Must build systems and processes
    • Can lead to significant wealth creation
  • B to I Transition

    • Requires accumulated capital
    • Shift from operating to investing mindset
    • Focus on long-term wealth building
    • Most freedom but requires investment knowledge

Framework Value

  • Helps understand progression of wealth building
  • Creates clear path from employment to financial freedom
  • Each stage requires different skills and mindset
  • Not understanding these stages can leave you stuck in one quadrant
11:29 - 12:03
Full video: 54:50
SP

Shaan Puri

Host of MFM

Shaan Puri is the Chairman and Co-Founder of The Milk Road. He previously worked at Twitch as a Senior Director of Product, Mobile Gaming, and Emerging Markets. He also attended Duke University.

WebsiteTwitter
Host
Restaurateur
E-commerce