Costs you should try to avoid

 

Experts say there are certain expenditure that ought not to have a place in your budget. SIMON EJEMBI writes on some of them.

On a daily basis people spend money on things ranging from feeding and transport to phone calls. Experts say while some of the expenditure are out of your control, several can be reduced to save costs, while others can be avoided altogether.

Some costs such as school fees and taxes cannot be avoided by parents and adults, but some others such as subscription fees or illegal parking fines can be avoided. Financial experts say by avoiding such expenses you can free up money and boost your savings.

Some of the costs you should try to avoid are discussed below.

Marriage and real estate investments

Abiodun Doherty

The institution of marriage is a highly esteemed one and the subject of love, trust and co-operation is at its root. Couples are ideally, to be one mind and should plan their future together for mutual benefit. Trusting each other enough to pull resources together and invest together are clear indications of couples that are on the right track. This is a wise path and those who tread it should do so with understanding.

I don’t know whether this case is true or not. But some years ago someone sent me a scenario for my opinion. There was a couple who had no children and the wife was far better economically. She and her husband agreed to start investing their extra income in real estate. They also agreed to buy all their properties in the name of their yet-to-be born child which the husband suggested. They both believed that this was a step of faith. After several years of investing and several properties purchased they still had no child. Then the husband died suddenly. After the period of mourning, the woman was summoned to a family meeting by her in-laws and confronted with the fact that the husband had another wife outside of wedlock and the name of the first child of the woman for her late husband was the name he had suggested and they had used on all their property documents. The question was who owns the properties?

Have passion for children? Run school business, get rich

IT was Dr Nelson Mandela who said: “Education is the great engine of personal development. It is through education that the daughter of a peasant can become a doctor, that a son of a mineworker can become the head of the mine; that a child of farm worker can become the president of a great nation.”

The above submission by the powerful symbol of the black struggle against apartheid in Southern Africa confirms the age-long importance of education and the reason parents strive to go the extra mile to ensure their children get adequate and qualitative education. This makes any venture in education lucrative.

An ideal proprietor
If you want to run a school, you must have a passion for children and be knowledgeable, be able to teach and assess a good teacher. You are the first basic raw material for a school business. Next is your passion for children. Importantly, you must be creative.

Start up cost
Most of the time, you don’t need money to start a school. It starts from your heart. Most states in the federation allow you to start in a rented apartment. But I prefer you start in a whole building, because it is against the law and it is not good for the business to share space with accommodation. 

Make millions from spa business

MANY people are concerned about how they look. They want to look charming and youthful always and they could go the extra mile to achieve this. The desire to look good and healthy, therefore, makes spa a good business.

According to the most recent statistics from the International Spa Association, there were approximately 136 million spa visits made in the United States last year. The business, according to the association, is a growing industry that generates over $11 billion per year in revenue.

The fact that the business is yet to gain ground in Nigeria makes it a great prospect.

Spa is in classes: Beauty, Health & Wellness. For beauty and health, there is normal facial treatment, which is to freshen the face, remove stress and tension, lessen the oils, and rejuvenate the face to make your beauty products work better; Reflexology is a massage technique that focuses on the foot; Manicure/Pedicure is to rejuvenate hands and feet. Body treatment also helps with skin which becomes dirty, dead and blocked due to accumulated sweat, especially during the summer months; Body polishes is to rehydrate and moisturise your skin if it becomes dull and lifeless or dries after the cold winter months. Body Butter Hydrating Wrap involves the use of body butter or oils that are slathered on the skin to vanish dry and flaky skin.

Make cool cash from make-up business

DOING make-up for people is hobby for Abidemi Ahmed, Chief Executive Officer of Ara ‘n’ Dara Studio, Ibadan. Though the Mass Communication and Media Technology graduate from Lead City University, Ibadan, got a good job after her compulsory National Youth Service Corps, her passion for make-up business made her to build an enviable career in the business.

“I was just doing the business for the fun of it, because of my keen passion for the business. The rapid increase in my clients made me plunged into the business after my NYSC programme, though on a part-time basis. But a further increase in my clientele list and my unflinching passion for it made me to leave my job and go into make-up business fully.

“The fun in the business and my passion for it now channel in cool cash for me. People pay me good money for catching my fun and doing my hobby.

And I must say that it has been fun all the way.

“The future of the make-up business is overly bright as Nigerian women are more fashion conscious now than ever, while shows, beauty pageantries, filmmaking, among other events, continue to lubricate the wheels of the business. The creativity and versatility of the business have made it one that would last.

“My clients consider me a born-make-up artist due to my expertise in the art, Yet I consider myself an up-coming make-up artist, as I continue to improve myself, enlarge my coast in the business and continue catching my fun,” Abidemi explained.
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Make cool cash from make-up business

PEOPLE, especially women, like to look more beautiful than they do on special days of their lives, like their wedding and birthday. And no matter how good they are in the art of making their faces more beautiful for these special days, they prefer entrusting it into the care of an expert.

Make millions from footwear making business

I started with N5,000 now my brand is an household name —Bamidele Omeiza, Creative  Director, Bambata Footwear & Accessories

A graduate of visual arts and creative design from the School of Arts of The Polytechnic, Ibadan, Bamidele Israel Omeiza, having discovered his flair for creative works, especially footwear making, enrolled himself at Young Aro Shoe Works, Mokola Ibadan for few years, after which he established Bambata Footwear & Accessories.

The soft-spoken, creative and well-rounded footwear designer said: “Art and creative works are natural to me. They had been part of me since my childhood. I grew up to see some of the sketch pictures of animals I did on the walls of my mother’s room.

“The more I grew, the more my penchant for footwear making grew. My decision to fully explore the industry made me go through series of trainings, while my course of study at the tertiary institution was of great advantage.”

Bamidele disclosed that his ability to mix traditional and African patterns with modern shapes carved a niche for him in the industry, making his brand, Bambata, the toast of the celebrities, students and professionals, among others.

“My creativity and passion for footwear making industry and my commitment to doing it the best way the best person in the industry could do it, place my brand side-by-side Italian brands, and a fast-rising brand in Nigeria. This has in turn earned me fame, local and foreign connection, exposure and good financial rewards.

“Footwear making industry is, and will always remain a good business with enviable financial rewards,” Bamidele said.

Taking a personal loan

Taking a personal loan

Financial experts say applying for a loan is not something that should be taken lightly. SIMON EJEMBI writes on tips you should consider in doing so.

 Financial experts have repeatedly advised people to avoid debt. They explain that this is because people who are in debt find it more difficult to get their finances in order and are, therefore, less likely to attain financial freedom. And one sure way of getting into debt is by taking out a loan. Does that mean it is wrong to take a loan? Well, according to experts the answer to that is ‘no’ when you are building or buying a house, for instance, and ‘yes’ when you are thinking about financing a birthday party. They explain that it is not out of line to take a loan when you don’t have enough cash to make a needed purchase. They, however, warn that taking out a loan, like other financial decisions, is something that should be taking seriously, especially as it means you are getting into debt.

The focus of this article is on personal or unsecured loans, which Investopedia.com says defines as “a loan that is issued and supported only by the borrower’s creditworthiness, rather than by a type of collateral.”

It adds, “An unsecured loan is one that is obtained without the use of property as collateral for the loan. Borrowers generally must have high credit ratings to be approved for an unsecured loan.”

Some of the things you should consider before taking out a personal loan are explained below.

4 assumptions that ruin entrepreneurs

All businesses start on assumptions but the great ones don’t thrive on assumptions. Assumption is the starting point of a business because the promoter usually gets the idea to go into the business on the assumption that there is a need. However, while many business promoters stay at that level and build their businesses on hunches and feelings dictated by their assumptions, very few business promoters go beyond that level to conduct a thorough survey to see if there is indeed a need and how a new business can effectively meet the business at a competitive price. They talk to people and study the trend before putting their resources into the venture. So, while the one who planted his business wholly on assumption and refused to stretch himself a little will soon run into a problem beyond his capacity to handle, the one who was less presumptuous will have a good run and build a lasting business.

I couldn’t boast of N200,000 when I started my company — CEO, Bufferzone Nigeria

Akin Fadeyi, the Chief Executive Officer of Bufferzone Nigeria Limited, is a do it now individual who many people, including his staff members, fondly call a workaholic. In this interview with Yejide Gbenga-Ogundare, he speaks on his experiences and how it had affected his business.

Tell us your work experience
I started out as a Sales Representative in CAPL as it was then called and Nigerian German Chemicals. I had my National Youth Service with the same CAPL which is now CAP Plc. CAP Plc was fondly called the “CAPL family” then. It holds fond memories for me as it offered the first platform for real life exposure after the University fairytale ambitions. After these sales jobs, I decided it was time to add value to myself and I headed to the University of Lagos for my post graduate degree. It was while I was writing my final Masters’ examinations that I got the tip-off for Media Relations Manager vacancy in Cadbury Nig. Plc. I gave it a shot and got short listed amongst many other capable candidates. It was a gruelling experience because Cadbury took us through the screening furnace. I remember one of the applicants said, “How much dem wan pay sef wey wahala boku like this”! But at the end of it all, I got the job and that opened the vista of opportunities for me into the real world! I must say I cut my Public/Media Relations and strategic thinking teeth at the Cadbury School of Compulsory Knowledge. Of course, I went to Vmobile from there and MTS First Wireless where I became Head of Corporate Communications Department, but till Cadbury held out the world for me, working under the overall tutelage of Bunmi Oni and I must say I “grabbed” it.

Failure is just a tool towards success - Muyiwa Olaitan, CEO, Nu’ World Africa

Muyiwa Olaitan is the 32-year-old CEO of Nu’ World Africa. He told RUTH OLUROUNBI in this interview that he had been a Public Relations consultant for 10 years before he decided to build his company. He also revealed where he gets his business ideas from. The Ogun State born said he loves music, travel, football and fashion.

Does money buy happiness?

’Nimi Akinkugbe

The constant message relayed in our materialistic society that money is the most important thing in our lives and the constant desire for more, have had far reaching consequences for our societal value system and morals. This unending pursuit of money has damaged family relationships, the environment and global socio-economic systems.

Sadly, in our consumption-driven society many of us have come to believe that all our worries would be solved if we have more money. Indeed, wealth has become the ultimate measure of who we are, and we have become defined by it. Chasing after money for its own sake can damage our value system, and we pay for it in time, health, and stress.

What does money mean to you?  Do you have a healthy relationship with your money? Do you worship it? Or do you use it as a tool to achieve your goals? Does your life depend on it? Would you do anything, to get it? What really matters to you? What really does make you feel happy and fulfilled?

It is important to understand your own money personality and to put it in the right perspective. The ways in which you make money and how you spend it reveal a lot about your personality. This relates to the emotional aspects of money such as needs, values, relationship choices, feelings about earning and career choices, spending, saving, and investing. Issues of control, security, self-esteem, and a sense of well-being are always evident when money matters come up.

I started laundry business with N20,000 ( about $125.00)

Ms Uloma Ibeawuchi is the managing partner of Clean Yard Services Limited.  She speaks with KEMI LAWAL about life as an entrepreneur and the challenges of the job

Ibeawuchi

How much did it cost to set up your business and how did you source for the capital?

Clean Yard Services Limited started as an enterprise in October 20, 2010. We upgraded to a limited liability company on February 24, 2012. We started our company with just N20,000. This was spent on the CAC registration and our first operation. Basically, every other thing was obtained by goodwill especially loans, although we paid for them when we started getting businesses.

In May 2012, I received a grant from the Federal Government when we participated in the Youth Win Innovation in Nigeria Programme .

What is the focus of this business?

Just as our name depicts, we provide professional cleaning and hygiene services.

Who are your target clients and how do you reach them?

Our target clientele cuts across all sectors of the economy, including individuals, companies, corporate organisations and associations. With the awareness of the importance of a healthy environment, they need our professional services to attain their desired environments.

We employ various marketing strategies, but the most effective is our referral marketing strategy. By providing our clients with the most satisfying services, at moderate and affordable rates, we get a lot of calls as a result of referrals, and they end up becoming our clients.

The Power of Personal Charisma by Brian Tracy

If someone were to ask you what the word "charisma" means, what would you say?

The Webster's Ninth New Collegiate Dictionary defines charisma as "a personal magic of leadership arousing special popular loyalty or enthusiasm for a public figure." Knowing this, how can you develop your own personal charisma?

Develop Personal Magnetism

Charisma is also that special quality of magnetism that each person has and that each person uses to a certain degree. You have a special charisma to the people who look up to you, who respect and admire you, the members of your family and your friends and coworkers. Whenever and wherever a person feels a positive emotion toward another, he imbues that person with charisma, or attractiveness.

Project Yourself Positively

In trying to explain charisma, some people speak of an "aura." This aura is a light that is invisible to most people, but not to everyone, and that radiates out from a person and affects the people around that person in a positive or negative way. The halo around the heads of saints and mystics in many religious paintings was the artist's attempt to depict the light that people reported seeing around the heads of these men and women when they were speaking or praying, or in an intense emotional state.

5 steps to delegating and supervising by Brian Tracy

There are 5 steps to delegating and supervising that guarantee that your expectations are met and success results are achieved.

Step One

The first step in delegation is to become perfectly clear about the results that you desire from the job. The greater clarity you have with regard to the results expected, the easier it is for you to select the right person to do the job.

Step Two

The second step is to select a person based on his or her demonstrated ability or success at doing this job. Never delegate an important job to a person who has never done it before. If the successful completion of the task is important to the success of your business, it is essential that you delegate it to someone who you confidently believe can complete the task satisfactorily.

Celebrity and financial misfortune

BY ’NIMI AKINKUGBE

’Nimi Akinkugbe

Legendary singer Dionne Warwick has filed for bankruptcy. In a statement last week, her publicist said the singer’s filing was “due to several consecutive years of negligent and gross financial mismanagement.”

Dionne Warwick’s success began in 1962 with “Don’t Make Me Over,” followed by 18 consecutive Top 100 singles. Her repertoire includes “say a little prayer,” I know I’ll never love this way again” and numerous others. Since she did not write her most famous songs she has not benefitted from the significant royalties that songwriters Burt Bacharach and Hal David did.

Even though the singer has worked for over fifty years and sold over 100 million albums and 30 million singles, it is alarming to read that she, at 72 years old, must continue to work hard and give live performances to keep earning to supplement her income from social security and a pension. Dionne Warwick will always be a legend; she is a truly gifted singer, and she leaves a legacy of some of the world’s greatest music.

This is yet another sorry tale that graphically illustrates the far too common “riches to rags” saga. There are some common threads that run through the reasons why so many high earning celebrities such as musicians, actors, and sportsmen go broke,

Artistes and sportsmen are particularly vulnerable when it comes to their personal finances as they face unique challenges. When the funds start coming in, many don’t realise that they may be earning a lifetime of income within a relatively short time frame. Careers are often brief and uncertain particularly for sports men and women whose careers can come to an end in their 30s or sooner, and one serious injury could cut short a career overnight. Musicians cannot predict the popularity of their music, and an actress doesn’t know which will be her last role. Unrealistic assumptions about future earnings can cloud judgment when it comes to savings and spending.

The Key to Happiness by Brian Tracy

Your ability to achieve your own happiness is the key measure of your success, of how well you are doing as a person.

You learn the key to happiness that has been the same through all of history. You learn how to dispel the two myths that may be holding you back and how to achieve more happiness in everything you do.

Dedicate Yourself to Your Best Talents

The key to happiness is this: dedicate yourself to the development of your natural talents and abilities by doing what you love to do, and doing it better and better in the service of a cause that is greater than yourself.

This is a big statement and a big commitment. Being happy requires that you define your life in your own terms and then throw your whole heart into living your life to the fullest. In a way, happiness requires that you be perfectly selfish in order to develop yourself to a point where you can be unselfish for the rest of your life.

Three Powerful Principles for Success by Brian Tracy

There are many similarities between business and war. In both cases, the victor is the one who uses superior strategy against his or her competition.

There are three principles of military strategy you can apply to your work every single day. The first idea from the military is called the Principle of Maneuver. 

The principle of maneuver says that you should be clear about the goal, but be flexible about the process of achieving it. According to the Menninger Institute, this quality of flexibility is the most important single quality that you will require for success in times of rap id change.

Be Open to Continuous Feedback

A key peak performance quality for you is to “accept feedback and self-correct.” Peak performers are those who can take information from their environment and even if the information is contrary to all of their planning, they can accept the information, modify their plans, and continue moving forward. They are always open to new ideas and insights.

Keeping ahead of your competitors

Experts say for businesses to stay competitive, the quality of the products and services they offer is vital. 

SIMON EJEMBI highlights tips that can help businesses beat competition

Business experts say many entrepreneurs spend more time chasing capital instead of focusing on the product or service they want to offer to the public.

Once they get the needed capital, they quickly set up the business, without properly developing the product and service.

According to experts, with many other businesses already offering similar services, such companies may be unable to attract customers and end up failing.

The Chief Executive Officer, R&S Consulting Limited, says, “A lot of people don’t know that many businesses are failing because they keep seeing new businesses on the streets.”

According to him, the reason why many businesses are failing is due to ignorance.

When it comes to being competitive he explains that there are several factors that determine competitiveness.

Some of these factors are explained below:

Five little behaviours that lead to big results

 BY MILLENIALCEO.COM

We spend a lot of time on the “Big Things”. Vision, Strategy and Business Execution immediately come to mind.

These topics are fun to talk about, but the big things can’t always be the main focus. Even more importantly, the big things need to be rounded out by a lot of flawless execution on the little things.

Easily said, but not always so easily done.

Answer this: What has really made you successful?

Unless you founded the next big thing or created the internet like Al Gore (belly laugh), I would be willing to bet much of your success came down to the small things you do.

Like Behavior…

What about it you ask?

Perhaps you work hard or you are a positive person to be around or you are funny. All of which can be good things that can drive results.

That is because there are certain little behaviors that help drive big results. These are behaviors that make you a better boss, parent, friend and Human Being.

In fact there are many; but today I want to focus on a few that I have found to be particularly achievable and valuable. Here are five little behaviors that just about anyone can do that lead to better outcomes almost every time.

Follow through: No matter what it is that you say you are going to do, do it. I can’t tell you how many times someone says I’ll call you in 5 minutes or I’ll have that to you tomorrow and they don’t. Be the one that does and you will be light years ahead of the masses.

- Only ask if you intend to listen: Employee, colleague or customer, it doesn’t matter. We all ask too many questions with no intention to listen to the answers. Somewhere along the line we became confused that empathy comes from asking a lot of questions. But really it comes from asking genuine questions and then listening to the answers.

Preventing your profit from slipping away

BY SIMON EJEMBI 

Experts observe that after working hard to establish businesses, many entrepreneurs allow their profits to go down the drain. SIMON EJEMBI writes on ways to check this.

Financial analysts say despite working hard to establish businesses, many entrepreneurs end up battling financial crisis instead of reaping rewards for their labour. Experts say this is mostly because they fail to properly manage their profits, by watching out for “profit leaks.”

According to experts some notable actions that lead to profit leaks are:

Neglected customers

This is a common source of “profit leak”, according to experts. They explain that many small business owners make the mistake of assuming that after one visit, they have won the customer over. Therefore, they turn their focus to ‘new’ customers and neglect the ‘old’ customers who they fail to realise are prospects for other people. To avoid this, experts advise small business owners to ensure that they do not only have good customer service agents but a great customer service plan which would ensure that they keep in touch and manage business relations with their customers – new and old.