This Week’s Insight
Here’s a truth few people realize: the wealthiest families in America love debt.
Of course, not all debt. They’re not running up credit card balances or financing depreciating cars. The debt they love is the kind that creates cash flow.
Think about banks for a second. Their entire model is built on debt:
- They borrow money from you. through your savings account, often paying just 0–2%.
- Then they lend that same money back out, at 8–12% or more.
- The spread goes straight to their bottom line.
This is why banks have historically been some of the most powerful institutions in the world. They don’t just participate in the system, they are the system.
Wealthy families figured this out long ago. They stopped thinking like consumers and started thinking like banks.
The Wealthy Playbook
When most people hear the word “debt,” they think of risk, stress, and payments. But for the wealthy, debt is a tool:
- Real estate moguls use mortgages to control hundreds of millions in assets while tenants cover the loans.
- Private equity firms borrow to buy businesses, improve them, and then sell at multiples of their investment.
- Governments issue trillions in debt each year, funding growth, infrastructure, and even wars.
In all these cases, the debt isn’t a liability, it’s an engine. It enables control, cash flow, and wealth creation.
Meanwhile, the average American is told to “avoid debt at all costs.” That advice is safe, but it also locks them into a consumer mindset.
Takeaway
The truth is simple: if you want to build lasting wealth, it’s not enough to own assets, you need to own cash flow.
That’s why the wealthy love debt. Because when they’re on the lending side of the equation, they’re not worrying about volatility, market swings, or short-term noise. They’re focused on steady, dependable returns.
Cash flow beats speculation.
Predictable beats flashy.
And thinking like a bank beats thinking like a consumer.
Eppler Capital Update
At Eppler Capital, we build on this exact principle. We currently offer two opportunities that allow investors to participate on the lending side of the table:
- Promissory Note Fund – Provides secure, fixed rates of return up to 10% annually.
- Acquisition Entrepreneur Fund – A unique opportunity to invest in the generational transition of American businesses. As baby boomers retire, trillions of dollars in business ownership is changing hands. This fund allows investors to participate in that transition. It closes at the end of the month.
If you’d like to discuss how this approach can fit into your portfolio, you can grab time on my calendar here: Schedule time on my calendar.
