224: My Honest Advice To Someone Who Wants Financial Freedom

How I Think About Financial Freedom as an Entrepreneur

If you’re anything like me, you didn’t become an entrepreneur just to chase money—you probably did it for freedom. But ironically, money (or the lack of it) can easily become the biggest cage we ever build for ourselves. That’s why financial freedom matters so much, not only for your lifestyle, but for your brain space as an entrepreneur.

I've been through all the mental states you can imagine: from living with a constant scarcity mindset, stressed and anxious about money, to drowning in debt and questioning everything. But over the years, I learned how to build a financial moat around my family—one that gives me peace of mind, creativity, and the freedom to build the business I truly want.

Today, I want to share the three simple rules I follow that have transformed how I think about financial freedom. These are principles I live by to stay out of financial chaos and maintain the mental energy needed to create, take smart risks, and grow.

1. Don’t Finance Luxury

This is my biggest rule. I do not finance luxury items. Ever.

Sure, we could talk about no debt being the ultimate goal—and that’s true—but realistically, if you’re going to have debt, keep it to assets that make sense. When it comes to luxury cars, watches, homes that are way beyond your means—if you can’t pay cash, don’t buy them.

I’ve spent a lot of time in the luxury real estate world. One big secret? Most people buying those multimillion-dollar homes pay in cash. The people who actually sustain wealth know the dangers of leveraging debt for luxury. Financing these things puts you under pressure that can throttle your creativity and business decisions. If you want the Bentley or the fancy house, build up to where you can pay for it outright. Otherwise, it’s just financial weight slowing you down.

2. Make Sure Your Net Worth Is Greater Than Your Mortgage

My main financial goal isn’t flashy. It’s about protecting my family. That means ensuring my net worth (all assets minus liabilities) is greater than the mortgage on our primary home.

Why? Because if things ever got tough, I know I could liquidate other assets and be completely debt-free on our house. That’s the ultimate safety net for me.

As entrepreneurs, our businesses are often our biggest assets. Don’t forget to include them in your net worth. But also don’t get complacent. I want to be in a spot where if life went sideways, I could take care of my family’s home—no question.

3. Make Sure Cash Flow Beats Debt Payments

This one is huge for financial freedom. I aim to make sure all of my income-producing assets—whether rental properties or other investments—generate enough monthly cash flow to cover all my debt payments.

So if all my debt obligations add up to $3,000 a month, I want to own enough cash-flowing assets to cover that (and then some). That way, anything I earn through my business can be reinvested or enjoyed, without the stress of debt strangling me.

This is why lifestyle creep is such a killer. If your personal burn rate keeps creeping up, you’ll eventually handcuff your own business. I see it happen all the time: entrepreneurs start pulling too much money out to fund a bloated lifestyle, they stop investing in growth (coaches, marketing, systems), and suddenly their businesses plateau or decline.

Why This All Matters for Financial Freedom

None of these rules are about fancy spreadsheets or hitting some arbitrary net worth. They’re about protecting your mental bandwidth.

When you’re constantly stressed about money, you can’t make clear-headed decisions or spot new opportunities. When you have financial freedom—because you’ve avoided financing luxury, kept your net worth strong, and structured your cash flow to cover debts—you’re in a position to stay creative, invest in what matters, and grow your business without panic.

I’m living proof this takes time. But if you follow these simple principles and try hard, you can build real financial freedom—not just for yourself, but for your family too.

Show Notes with Timestamps

• 00:30 – Why financial freedom matters even more for entrepreneurs

• 01:20 – My ugly money history: scarcity mindset, debt, and constant stress

• 03:10 – Rule #1: Don’t finance luxury items (seriously)

• 06:45 – Examples from luxury real estate & how the truly wealthy buy

• 08:40 – Rule #2: Why your net worth should always be greater than your mortgage

• 11:25 – Considering your business as part of your net worth

• 13:10 – The mental benefit: freeing up brain space for better decisions

• 14:30 – Rule #3: Make sure your cash flow is greater than your debt payments

• 18:20 – Avoiding lifestyle creep so you don’t handcuff your business

• 21:00 – Wrapping up: how these rules actually fuel creativity and risk-taking

• 23:00 – Final thoughts: building a safety net and true financial freedom