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Market Watch
Biz & Entrepreneurship

Shah Rukh Khan's 4-point formula to make good money

Passion in investmentsBCCL
1/5
Passion in investments
Fame brings money and Shah Rukh Khan indeed has got oodles of both. What does he do with his money? Of course, he spends it like other rich people, but he also invests a major part of it.

He may not be a very savvy businessman but his money works because he deploys his passion in his investments. Here are his 4 business mantras:
Always diversifyBCCL
2/5
Always diversify
Apart from being a successful actor, Shah Rukh Khan is also a businessman. Besides films, he has also invested his money into sports and education.

He has his own film production and distribution company, Red Chillies Entertainment, and also a post-production and visual effects unit, VFX. His partly owns the IPL franchise of Kolkata Knight Riders.

He has also invested in the Indian franchisee of KidZania, a Mexican chain of family entertainment centres.
Avoid borrowingBCCL
3/5
Avoid borrowing
Shah Rukh Khan does not seek finances or debt for his own movies even though there would be no dearth of funding for his ventures.

He puts his own money into his films. He says he does not want to risk anyone else's money for his own indulgence. Shah Rukh Khan thinks one should avoid borrowing as much as one can.

One should make do with less but avoid borrowing. He also does not like investing in share markets personally.
Follow your passionBCCL
4/5
Follow your passion
Though his father used to run a restaurant, Shah Rukh Khan does not understand business very well. He just follows his passion and business follows that.

His dream now is to own a film studio even though it's not a very sound business proposition because film studios don't give immediate returns on investment. It is not business but pure passion that inspires him to set up a film studio.
Don't follow a fixed formulaBCCL
5/5
Don't follow a fixed formula
Shah Rukh Khan says film-making is a high-risk business where there is no fixed formula of success. He keeps on making movies despite his failures because he knows anything can click. There is no learning from past mistakes in the film world because in this business no one knows what must work.
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