To make money, you have to change the way you think about money.
- Every shilling is the beginning of a new fortune. If you were asked to choose between getting sh10m in cash after 30 days or a shilling which doubled every day of the week for 30 days, which would you take? After 30 days of doubl
- Every shilling is the beginning of a new fortune. If you were asked to choose between getting sh10m in cash after 30 days or a shilling which doubled every day of the week for 30 days, which would you take? After 30 days of doubling, your shilling will be sh1.1b. Every shilling, if employed for a good return, counts.
- Every shilling spent is not the same. The man who put sh10m in the Stanbic Bank share offer last year now has shares worth sh20m. On the other hand, a sh10m car which was bought in the same period is now valued at almost sh7.5m. The first is a worthwhile investment, while the second is a liability.
- Saving is a loserâ€™s game. In this town, you will be lucky to get 5% interest on your savings. With inflation at 2.4% in the last 12 months, you only earn 2.6%. The smart money follows high returns with minimal risk so as to multiply faster. Ninenty-one-day treasury bills have been offering more than 5% interest for years, that is before you even talk about shares!
- You can win with debt. If a man is buried under debt, one of two things could have happened. Either he misjudged the risk of an investment project or pilfered away the money on women and fast living. The winners invest in ventures that pay the debt and live some on the table.
- Wealth is measured in time not money. Time determines how much money you can make or how much money you have lost. If you had bought Uganda Clays shares in 2000 at sh4,000, over the last seven years, you would have seen an annual return of 34%. But if you bought the same shares in February 2005 at sh19,000, you would have realised an annual return of about 22% todate. Now is the best time to start investing, not in the future when you get a multi-million shilling windfall.
Use your earnings to make more money