The story of David and Goliath was one of the 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.