The story of David and Goliath was
one of rich dad’s favorite stories. I
suspect he may have seen himself as
David, a man who started with nothing,
yet rose to compete against the giants of
business. Rich dad said, “David could
beat Goliath because David knew how

to use the power of leverage. A young
boy and a simple slingshot were far
more powerful than the feared giant,
Goliath. That is the power of leverage.”
My previous books were on the
power of cash flow. Rich dad said,
“Cash flow is the most important term in
the world of money. The second most
important is leverage.” He also said,
“Leverage is the reason some people
become rich, and others do not.” Rich
dad went on to explain that leverage is
power and that power can work in your
favor or against you.