Dame Dash, the businessman

Net Worth vs. Liquidity 101

Cash is well…cash. An example of a cash equivalent would be a bank savings or checking account. They are considered “liquid assets” because you can convert them to cash relatively easy without incurring significant costs.

Net worth is the total “net” value of your possessions…assuming they have value in the first place. The difference here is, net worth takes into account your total debt as well. So net worth can be defined as what you would have left after selling off your assets and then paying your debt with those proceeds.

In the video below, Dame Dash gives you a simple breakdown of the difference between the two, and also sheds light on where your focus should be as a business (asset) owner.

Bottom line is you can’t be running around talking that money talk and have the game twisted. Don’t be fooled by what you see your favorite entertainers do. If you want to engage in this business of entertainment, then a significant part of your “grind” needs to included educating yourself on business development within that respective industry.