Rule #1 - Chapter 2
I’m reading Phil Town’s book "Rule #1". I just finished the Chapter 2. Here are the salient points to me.
The basis of his system is these four steps:
- Find a wonderful business
- Know what’s worth as a business
- Buy it as 50% off
- Repeat until rich.
In this chapters he introduces his four M’s. They are:
- Meaning – Does the business have meaning to you?
- Moat – Does the business have a wide moat?
- Management – Does the business have great Management?
- Margin of safety – Does the business have a big Margin of Safety?
He says he’s going to explain his four M’s in detail, later in the book.
Posted by The Vorlon at March 29, 2006 11:47 AM
