Billionaire Mark Cuban has obviously made some savvy financial decisions.
Besides being a brilliant businessman, are there any lessons you can take away from Cuban’s financial success?
Yes, and one of Cuban’s suggestions on how to maximize your money might surprise you with how simple it is. In a recent interview with Vanity Fair, the owner of the Dallas Mavericks revealed a great saving strategy: buying toothpaste in bulk.
“It’s so hard to make a return on regular investments that … you’re better off buying two years’ worth of toothpaste when it’s on 50 percent discount,” Cuban explains. “There’s an immediate return on your money.”
And toothpaste is just an example. Cuban says you should apply this strategy to “any resusables or consumables that you have to have. When they’re on a huge sale on Amazon, buy them, because chances are, their prices are going to go up. That’s a real savings that you get to put in your pocket.”
That actually makes a lot of sense! If you’re going to need the items eventually, why not stock up while their price is at its lowest? Maybe those crazy coupon people who fill their garages with their hauls are onto something!
In the two-minute video interview, Cuban doles out some other pieces of advice for “getting rich,” which he says is all relative. He recommends never using credit cards, saving up six months’ worth of income and to negotiate using cash, among other tips and tricks.
“I tell people all the time, if you’re out, and you’re going to take a yoga class, and they want to charge you $30, say look, ‘I got $20. You know what? They’re gonna take it. Negotiating with cash is a far better way to get a return on your investment,” he said.
To hear the rest of Cuban’s advice on how to strike it rich, check out the whole video below: