As the saying goes "businesses exist to solve a problem". I you see a "problem" in your area, that's an opportunity to start a business.. Providing transportation or housing are examples..
@A7x
Your friend did the right thing. He invested time, effort and money to himself in his OWN business and is now benefiting from it. As I've said "invest in your self, not on others". He's a visionary and a risk taker as well as being lucky. Unfortunately, not everyone is like that nor can everyone become like that. Aside from capital and financial know-how, it takes CHARACTER to engage and succeed in business. Its not for everyone. I've seen a lot of people try and failed simply because its out of their character. Some people, believe it or not, are better off as employees. Does that mean these people are doomed? Of course not. You can save up then get better education like a Masters degree or a Phd which in turn will let you command a bigger salary. Some companies will even provide them for free if your a good employee. Then maybe later on acquire income generating assets like apartments, etc. when you can realistically afford it..
Yes, management of cash flow is very, very important.. Everyone should learn how to save but where you put your money and how you plan to use that money is very important as well.. The way I see it right now, with all this "financial independence" flying around, people tend to put their money on Stocks or Mutual funds (for as little as 5k you can invest) Yet most of them probably don't have a clue on how this system works much less a plan on what to do with the money they save.. They simply hope that it will grow and grow and become large enough for them to retire.. This kind of thinking for me is wrong. Yes, you will probably have several millions when you retire say at age 60 but you will have to work your ass till then and don't forget that the value of money as well as the standard of living continually change as well, its possible that even with your millions, its still not enough to fully retire. Then, who do you think will truly benefit from the money you save? The institutions you gave it to.. Chances are they will use it to gain more assets for themselves.