This 70-year-old Woman Sacrificed Every Kobo For One Goal

Today’s story is about a Septuagenarian. She’s done everything from secretarial work to hospitality, and trade. All of this with one goal; to give the best life possible for her kids. This conversation happened in Yoruba, and this is an attempt at translating it to English, all without losing the yorubaness.


Tell me about your first job.

I worked at the Health Department of the Lagos City Council. I started working there in 1969, and I was 20 at the time – that’s when I got married. My salary was £16 and we used to get a Danger Allowance, because of the department we worked in – another £2.

Ah, Pounds.

Yes, Nigeria still used the pounds back then, and it was the same value as the British pound. I worked there till 1971, and then I travelled to go and join my husband, who was in the UK at the time. In Britain, I got a secretarial job that I didn’t like very much. It kept me seated too much. So I took the City and Guilds Certificate, 1 and 2, in catering. A few years later, we returned to Nigeria in 1975, and it was a different country.

The Naira?

Yes. At this time, I already had three kids. Even the hand drive changed. I got a job as a Restaurant Supervisor at Eko Holiday Inn in 1975 – I was 26. You people now know it as Eko Hotel. I was expecting my 4th child at the time.

Interesting.

Yes. It was a joint venture by the government and some Americans. But we mostly worked with the Americans. My first salary was ₦375. To be honest, Jakande didn’t really care about the hotel business. A lot of his attention was on education and housing.

I had to be at Eko Hotel before 6 am. We were living on the Mainland but good thing was, in those days we had staff buses to pick us up and drop us off at our stops.

One funny thing that happened a lot in those days is this. My husband worked somewhere not too far from me. And he always wanted to come to pick me up, but then, sometimes, he’d have come and I’d have left with the staff bus. Can you imagine all that frustration was because we didn’t have phones that everyone has now?

By the time I resigned in 1981, my last salary was a little over ₦700.

Why did you resign?

My child was born prematurely. And there was the fear that if there wasn’t enough care, the child won’t survive. My husband used to say “If this child dies, it’s on you.”

You know, when I was leaving, the personnel manager did everything to keep me. In fact, they came to the house officially asking that I return. I didn’t.

But at the time, I’d already started doing some business on the side. I had a friend who travelled a lot, so she helped me buy things I could sell while I still worked at the Hotel restaurant. She had a shop at Tejuoso Market then, and she encouraged me to open one too.

So I opened my shop in Tejuoso Market in 1981.

How much did a shop cost at the time?

It cost less than ₦5,000 to set up. About ₦120 per month. Restocking used to cost me about ₦2,000, and how did I restock? Only from buying from abroad.

Setting up wasn’t difficult at the time. I remember I even got a car loan while I was still at that job – ₦1700. Ah, Nigeria ti bàjẹ́.

Back then, when you get the car loan, you could buy a Volks. A Volks didn’t even cost up to ₦1,000. A Toyota Corolla cost under ₦2,000 – my husband bought this one. It was pretty and had so much room.

Toyota Corolla: Helping Baby Boys since (before) 1979

I used my car loan to buy a pick-up truck. I was using it to carry canned drinks for supply. I’d go pick them up at Ota, and then deliver at Apongbon.

So you could even buy a car on your salary of two months?

Daada! Even all the gold we used to buy in those days, how much did they cost? Fashion wasn’t hard at the time. Gold bangles were going for ₦120.

What did you sell in your shop?

Baby wares. Children’s clothes. Those days, if you haven’t bought Mothercare products for your child, it’s like you haven’t given birth. There weren’t any diapers, only napkins.

But around the time I started, there was one Igbo man in my neighbourhood. He used to go to Brazil to get car spare parts. He was the first person that made me start selling Johnson and Johnson diapers. He’d stock up his own container with my goods, and bring them to my shop.

The blessing was that my children also wore good clothes – the boys wore suits, the girls wore the best dresses. My last child at the time would come to the shop, and once he saw a toy, he’d cry till he got it hahaha.

Business was really booming in those days.

What changed?

It started with a house fire in 1983. The things we lost, I can’t even begin to value. The shop was something I started to fill up the time while I was planning to start my catering business. Part of my profits from running the shop went into buying things I needed when I was ready. I didn’t have a warehouse, so things I couldn’t keep in my shop, I stored at the house. Cartons on cartons on cartons.

They all got burnt.

Wow.

We moved into a new place, and that cost ₦250/month in rent. It was a three-bedroom flat. Towards the end of the year, someone wanted to help me get a ₦25,000 loan that same year. That money was going to cover the capital to set up my catering business and pay two years rent. I was going to use my father’s properties as collateral, but my mother didn’t think it was a good idea. So I didn’t take the loan.

The drought hit us proper in 1985. My husband also didn’t pick a better time to marry a second wife. Before then, our kids’ school fees were paid by whoever had money first. I paid, he paid.

When the second wife came, everything thinned out. We barely saw him. Sometimes, we didn’t even see him for weeks. Before this period, work made him go away for months at a time, so I was already used to not having him around in a sense.

How did you cope?

Business never really went back to how it was before that fire, but we managed. That shop was literally how our family survived. My baby sister lived with me too at the time. We’d sell what we could sell, and buy food for the house for that day. The bulk shopping I used to do before became buy-as-you-have.

What was bulk shopping like in the good days?

I had another sister who was the Oga of bulk shopping, bless her soul. Once I gave her ₦200 in the early 80s, we were sorted. Do you know how many people were living with me? Three of my siblings and my own six children. My daily sales in those bulk shopping days used to be over ₦1000 on good days.
In fact, I used to be part of a club. You people only talk about Ao Ẹbí, but we used to buy a lot of Aso Egbe.

Squad goals.

Illustration by Oshomah.

Kini yen?

Nothing ma. So, back to Aso Egbe.

We called ourselves Club 8. We partied together and bought our clothes together. But by the mid to late 80s, I couldn’t keep up. I had kids to feed, and their suffering was too difficult for me to bear. My baby sister and first daughter got into tertiary school. You had to pay for their hostel rent, school fees, and you had to buy their hand-outs.

Whenever my daughter and baby sister came home and there wasn’t money, they’d take a few things from the shop and go sell in school to lecturers. That was how they survived. It got to a point, by the late 80s, where I could no longer continue selling baby wares. I had friends traveling, who’d help me buy shoes for adults, male and female, and I started going from office to office, selling them.

How did you pull off the school fees struggle?

At the biggest school fees stretch, I was paying the school fees of 7 people, my kids and my baby sister’s. When my last born came, I couldn’t afford private school for her, so she went to one of these under-the-tree schools in the neighborhood.

At some point, I could no longer afford private school for two of my older boys too, so I moved two of the kids out of private school, and took them to public school – Jakande made those free and that saved our lives.

All you had to do was buy books, uniform, and give them attention.

Where was he – your husband – all this while?

Oh, he said he was raised by his mother too. And so, I should raise my kids too. And it wasn’t just me. He did it to his second wife. If she wasn’t fortunate enough to be able to send her children abroad, she wouldn’t have survived. She faced the same struggles too. She was hustling to pay ₦150 school fees too.

So, all he was doing was having children. What was he using his money for?

I dunno for him o. To be honest, there was a time he quit the safety of a job and tried to start a company, and that was a tough period for him. In fact, it’s in between all of this he married his second wife, and everything just crumbled for him. He sold his two vehicles, a bus and a car.

Was this how they used to do, these men?

Most of them were like that. But there were some who were good homebuilders, despite being polygamous in some cases. They were present for their families. All the while, he blamed me for having all the kids.

Why didn’t your husband use birth control?

I even used at some point, but I’m just unfortunate with birth control. I used the coil but somehow got pregnant. When my child was born, he was holding the coil in his hand. The doctors at that time said I was 1 out of 100, and I was like, why me?

The IUD (coil) is a small, T-shaped contraceptive device inserted into the womb to prevent pregnancy.

Why…why didn’t you leave?

The kids. I kept wanting them to be present in his life. And him in theirs.

The times are changing though.

Do women these days have time for nonsense? They would have flung the man away since. Nobody is waiting around for someone who won’t give them love and give the kids attention.

Okay, back to work.

I kept trying out things to sell and make a living, and by 1988, I started travelling to Aba.

Ariara Market?

Haha. Ariyariya. I used to go and buy cut-and-sew. We walked the length and breadth of the market in those days. The roads were good, and. How much did it cost from Lagos to Aba by bus? ₦120.

Hayyy

Bẹ̀ẹni! We didn’t have to worry about anything on the road. I used to travel with Emerald Motors at Jibowu. Then there was Young Shall Grow. Okechukwu.

The Young Really Grew.

Yes o. They didn’t have enough vehicles then. Emerald was the reigning one, but when the owner died, the business died too. Even Ojukwu had his own bus line then.

Aba was really pleasant. When I wanted to start that business, I didn’t even have up to ₦10,000.

Again, my husband was saying “Why are you risking your life and leaving these children at home.” As if we were even seeing him at home. Hahaha.

He was giving you trouble at the time?

You see, the way he switched when he married a second wife ehn? He just became bitter. So, I just focused on making sure that I could give the kids the best things possible.

What was the most popular order in Eko Hotel?

Jollof Rice and Chicken Peri-Peri. A plate went for ₦180. There were different restaurants – Kuramo, Summit Restaurant at the rooftop. We moved from restaurant to restaurant, but I worked at Kuramo as a Supervisor.

How stressful must it have been?

It was stressful, but it was good work. My health started to deteriorate shortly after I left. I started treating hypertension in 1983 at the age of 34. When I eventually got rushed to the hospital a few years later, the doctors said I was “very lucky”, because if I had delayed treatment, it would have killed me.

Something else came in 1996. One of the kids fell ill, so we went to the hospital. I was just lying down on a bench, exhausted, when this doctor came in and asked if I was okay. He randomly observed me for a few minutes. Then he asked me if I was hypertensive. I told him I was.

I think it was his instinct, but he asked to run some tests on me, and when it was done, he screamed.

What was it?

Diabetes. The doctor said ‘ah! 400!’ I didn’t even know what diabetes meant: there wasn’t that much awareness about diabetes at the time.

I told the doctor that the child I brought, I hadn’t even paid money. Where was I going to get money to pay for mine? Hahaha.

Wow.

I was still travelling to Aba in all this time, while at the same time trying to arrange flight tickets for my son, who was going to the UK. I paid for all of it without his father. I think it was about ₦25,000 in the mid-90s. It could have been easier for us to arrange that travel because he was a British citizen.

What made it hard?

Abacha. There was some embargo on the Nigerian government, and British citizens could only fly from Ghana. That would have cost more money.

All that travelling and stress must have taken its toll on your health. When did you eventually stop working?

I stopped going to Aba in 1998. Do you know what I loved about Aba? Many of them were kind. When you become a regular customer, you can show up with the money for 5k worth of goods, and they’d tell you to take 10k’s worth. Because they knew you’d come back, and pay up. That helped a lot.
I dunno if it’s still possible today, but I hope your generation eventually gets it easy.

I travelled in 2002. At this time, two of my children were now in the UK. I really just wanted to go take a break, and see my daughter – I hadn’t seen her in four years. I needed to see how comfortable she was. She was still a teenager when she left. That was also tough for her.

I spent almost a year there, and when I came back, I was still trying to buy and sell things and chasing debtors.

Looks like debtors were stressful.

Yes, they were. People in offices, for example, would take things on credit and pay at the end of the month. And I don’t blame them because they also couldn’t afford to pay till the end of the month, but my children had to eat.

The food sellers in our neighbourhood were really understanding. They let the kids come and buy food and kept a tab open for me. So I paid when I had money.

That year, we moved into our own house. My husband had been building one. By the time we were moving out of the house we lived in, it cost ₦5,500 per month. A lot of it was still incomplete.

Do you want to know how much we bought the land? ₦25,000 in 1992. I contributed ₦8000.

With all of what you know and have experienced now, what would you do if you could travel back in time?

Hahaha. Let’s just be glad I survived. You know, when things happen, it’s impossible to tell outcomes. If I died, my children’s lives would have still continued somehow. They were courageous.

I’m really grateful.

How is old age?

Boring. I’m grateful that I have children who send me money for my welfare. I never have to worry about medicine. But the hardest part about being old for me is that all the places I could go, You can’t move around as much because your body is weak. Some of the things you did with ease when you were younger, now need an extra hand.

I’m treating Diabetes, hypertension, and osteoporosis. My meds are taken care of by my kids. I have no pension. No insurance.

Investments?

My kids hahaha. They’re my pension and my insurance.

They send money, but, even that no longer feels enough. I’d love to talk to them. And my grandchildren. I can’t always do that now, and those times when I can’t hear from anyone, I feel lonely. It used to make me very bitter – the loneliness – but not anymore.

Their father talks about it now, about how much of a lucky man he is. And despite the fact that they remember everything, the children don’t hate him.

Are you happy now?

I used to be bitter a lot. All that suffering alone. Now I’m just thankful, the kids are doing fine.

Thank you for making me remember all of this. It’s so easy to forget

Originally published on Zikoko

Personal Financial Planning with Raphael- Principles of savings

Joe walked into the room and greeted Ade his friend, “O boy I hail o! you no dey even ask of person”

Ade, in a pensive mood, responded, “I just dey o.”

What’s up with you?” said Joe.

“Just worried about how to save for my financial goals and achieve set target Man! It’s just difficult to start up something.” Ade sounded very disturbed. “Each time I tried to save there is always something to spend the funds on and most times I can’t even explain what I spend the funds on and even windfall is not happening”, groaning Ade.

There are two key principles that could help Ade out- First, Ade needs to make it a habit to always have a budget. This would help provide a picture of how he spends every penny /Kobo and then he would be able to decide what he should spend his money on and what he should not. In creating a budget, there is a fixed and variable component. The fixed component is what you must spend on regardless of your situation that is you don’t have any control while the variable component is what you have control over. The trick is to always add the amount you intend to save to the fixed component of your budget. It could be through setting up a direct debit or a standing order with your bank. It goes with the saying that if you don’t see the money you don’t get to spend it.

The second principle is to pay yourself first. This should also be a habit. Make it a habit to always pay yourself 10 to 20% of every cashflow. Always spend what is left after paying yourself and not save what is left after spending. People say there are different demands for the money they earn e.g. external family demands as it always happens in Nigeria but guess what these demands will always be there. I this case everyone will spend whatever is left after saving. You need to understand that you own your goal or your dream and no one else. If you do well or not it is all about you.

Think about an individual that had a job paying N250,000 a month and suddenly lost the job and found another job that pays N100,000. The question is will he survive with the change in condition? The interesting answer to this question is that he will always survive. This speaks to the discipline that is always required when you have a financial goal and you need to save for it. The truth is that you will always survive with what is left when you set something aside. Therefore, savings never kills but helps build a future of financial independence and achieve your dream.

Define your goals today and begin to save or plan for them as we have spelt out in our earlier articles.

NSR H2 2019 Excerpts – Inflation – A tale of two seasons

Nigeria Strategy Report – H2 2019 Excerpts

Domestic Economy and Policy Environment

  • In this morning’s cut-out of our core strategy document – The Nigeria Strategy Report, we focus on the major themes that steered consumer prices over H1 19 and delineate our outlook for inflation over H2 2019.
  • Consumer prices ticked up by 5bps to 11.32% over the first half of 2019, mirroring the conflict induced increase in food prices in Q2 19. For the first three months, inflation maintained a downward trajectory, followed by an unanticipated rise in farmers-herdsmen conflict which changed the inflationary trend in April and May. Eventually, the tide calmed in June as the anticipation of a favorable harvest season drove an increase in market supplies. Consequently, inflation declined in the month of June. Looking at the components, food inflation ticked up by 34bps to 13.58% YoY mirroring the telling impact of conflict in the north and seasonal increase in food prices. At the other end, the core basket maintained a downward trajectory, declining by 53bps to 9.39%) following NNPC’s drive to leave petrol prices unchanged at N145/litre.
  • Over the rest of the year, we foresee the current administration would retain its socialist modus operandi, limiting the downside risk to core inflation. That said, we shift our focus to heightened tensions in the north which took a toll on food inflation over the first half of the year. Continued efforts to resolve the tensed security condition in the Northern region and reduced risk of flooding relative to the prior year, limits the downside risk to food inflation in coming months. According to FEWSNET, markets are expected to remain well supplied during the lean season through September. Further amplifying the market supplies is the main harvest season which will begin in October with favorable harvest expected in the last two months of the year. That said, we expect average inflation rate to print at 11.2% YoY (2018: 12.2% YoY).

Nigerian Consumers: Nestle and Unilever

nestle nigeria

Competition gradually blighting the Food business.

• Central to the Q2 19 earnings of Nestle and Unilever is the telling impact of increased competition in the food business and improved input cost management. For Nestle, EPS grew 4.3% YoY to N16.90 due to gains from increased local sourcing of raw materials and higher sales. On the flipside, having restated its Q2 18 financials, Unilever reported 30% YoY decline in EPS to N0.35 reflecting increased input and finance cost following exchange rate differentials relative to prior year.

• Over the rest of 2019, we expect normalization in margins for both companies while we expect the competition from other brands to remain drag on sales. However, after adjusting for the improved cost management over H1 19, we raised our NESTLE FVE to N1,447.39 which translates to an OVERWEIGHT rating. Nestle trades at a 2019P/E of 23.01x, relative to Bloomberg MENA peers of 15.49x. Elsewhere slow recovery in revenue guides our downward revision of Unilever FVE to N31.95 (previously: N35.82), which translates to UNDERWEIGHT rating. Unilever trades at a 2019 P/E of 26.1x relative to Bloomberg MENA peers of 16.1x.

• Food business faces increasing challenge: Amidst flat pricing, competition in food business from smaller seasoning brands (Ginomax, Terra cubes, Onga cubes) became more apparent over Q2 19, with both companies recording low to mid-single digit growth in revenue, relative double digit recorded in prior years. To begin, Nestle’s revenue from the food business grew by just 1.6% YoY over the review period. However, support from its beverage business drove the 4.6% YoY expansion in its overall revenue. Elsewhere Unilever’s revenue recovered from a downbeat in Q1 19, with food business expanding by 6.3%, following the measures put in place to drive topline. To clarify, we recall management’s guidance during its Q1 19 conference call to drive sales by partnering with banks to provide liquidity to its distributors. However, persistent struggle in the HPC segment drove overall revenue lower by 1.7% YoY to N23.4 billion.

• We are positive on Nestle: Nestle still posted a modest performance notwithstanding the tensed environment, due to savings from its cost. Elsewhere, exchange loss worth N219.5 million, recorded in Unilever’s finance cost coupled with input cost pressure drove earnings lower. In coming quarters, we expect the competitive environment to remain unchanged, albeit with a normalization in gross margin. That said, gains from improved sales and lower cost is expected to support growth in Nestle FY 19 EPS by 26.5% YoY to N68.7. On other hand, Unilever’s EPS is expected to decline by 22.9% YoY to N1.23 due to struggling sales, impact of currency convergence on its input cost and less shield from its finance income, given its lower cash balance.

Tips to Stay Healthy during the rainy season

Tips to Stay Healthy during the rainy season

It feels good when it rains and the atmosphere looks fresh and exciting  As much as the rainy season brings joy and freshness, there is also a healthy impairment of people.

Due to excessive moisture in the rainy season, the biggest fear of the spread of flu, malaria, bacterial, and viral diseases remains. However, there are some tips which help you to stay healthy, away from these diseases in the month of this rain.

1. Wash your hands properly

It is very important to wash hands regularly in the month of rain. We go to many places, meet many people, touch many things.

Someone else may have some infection, and you have contaminated with them, or you may have been sitting on a bench with bacterial or viral infection or someone affected by disease touched that thing. So regularly wash your hands with lukewarm water and soap.

2. Do not touch your face repeatedly

Most bacteria and viruses penetrate our body through the mouth, nose, and eyes, so do not touch your mouth again and again in the rainy season.

Do not wander on your head repeatedly, or turn your hands on the face, keep a napkin or handkerchief with it and use it.

3. How to avoid dirty water

It is normal to see filling gutters and pits with water in the month of rain. Due to the accumulation of water, diseases related to water are generated, such as diarrhea, influenza, cholera, and fungal skin diseases.

Always drink boiled water in the month of rain. Use raincoats and umbrellas as soon as possible. Do not get too wet in water and if possible, use rubber shoes to avoid dirty water.

4. Do not eat outside

If you are afraid of getting the disease, they never think to eat outside. Do not even think of eating food on the road side this month. Those who are fond of eating fast food know that most bacteria and viruses are produced in the month of the rain in hotels and canteen food.

Eat fresh and clean food made in the house as long as possible and stay agile in the month of rain.

 

The post Tips to Stay Healthy during the rainy season appeared first on Realising Ambitions.

The Entrepreneur Betting On A $20 Billion Industry From His Quiet Town

The Entrepreneur Betting On A Billion Industry From His Quiet Town

Every week, Zikoko seeks to understand how people move the Naira in and out of their lives. Some stories will be struggle-ish, others will be bougie. All the time, it’ll be revealing.

This week’s story pulled off in collaboration with Payday Investor. Before you start to make plans about your next salary, click here.

When was the first time you made any money?

That’s an interesting question because I didn’t make money until I was in my final year at school. I had this friend that cared very little about money, and life, so he drank a lot. But he was a really great artist.

So I got the info that one government house where I had a friend was renovating, and somehow, I managed to make a case for an artist to come make murals across the government house.

On the other end of things, my dad gave me ₦50k to pay my school fees. And what did I do, I carried that money and used it to buy materials for my friend.

He went on to do the work. In three months, we got paid – ₦2.5 million.

₦50k to ₦2.5 million. That is quite the start.

I gave my guy one million. Paid my school fees. Then I spent about ₦800k on getting people to make noise about it – PR in some of the right places. That fetched us other gigs that brought in about ₦1.9 million.

Woah.

Some people at the Government house took an interest in me. The best thing about working with people in government is the access it gives you. Meanwhile, I started looking for what to do with all that money, so I invested some of it in stocks and acquired some land. Pushed that into Agric.

Sounds robust. What happened next?

I applied for YouWin in 2014 and got a grant of ₦6.5 million. It was actually a partner and me.

My partner was the admin and comms guy while I was away, and I was the technical guy.

How did the Fonio business go?

First of all, Fonio, or what we call Acha locally, is a kind of grain. It used to be really popular, but it didn’t get all the love that Sorghum, millet and co have gotten. What we wanted to do was experiment with Fonio in more consumer-friendly forms. We tried it in baking and different recipes. So we developed a packaged product.

Interesting

We got the money in tranches, and the first one was about ₦1.9 million. The first thing we bought was some equipment. There was a kind of dryer we wanted to buy, but it would have cost us about ₦1.5 million locally to bring it here. So I carried my mechanical engineering sense, and we fabricated locally. That cost ₦500k.

We didn’t want to wait for all the money, so we got started immediately. Took the rest of the money buying tons of Fonio from local women, dehull, wash and package.

The value we were trying to add was taking it quicker to consumption.

What’s the demand for Fonio?

It’s a resilient crop, and it requires no fertiliser. People use it for various things, like pudding, swallow, and even baking. People also tend to encourage it as a healthy alternative for diabetic people. But, Fonio doesn’t get as much love as you’d expect. It’s not so popular in Nigeria, so while we believed we had a great product, there was one problem – advocacy.

Now, to make a product popular, you need to make a lot of noise about it. When you make noise about it, your increase demand. But that costs a lot of money and resources.

What came next?

I started to experiment with other stuff and gently ease out of full management of Fonio. Somehow, I found my way back to an old obsession – Coffee.

I live in Jos, and because our climate is unique, coffee grows here. I had a coffee tree from about 15 years ago. I’d roast the beans for my dad, and he’d give feedback and I’d improve it.

In 2017, I decided to give it a shot. I actually tried to go at it from scratch – so I threw in one careless ₦5k.

Then I started going to people who had farms and buying berries from them. Buy, process, roast, sell. And slowly, it grew. By  October, we’d done about 800k in revenue. The profit was just about 380-something-k.

The biggest struggle that year though, was that when I started buying coffee, a lot of them were bad. So I started researching more about how to properly treat coffee better, and transferring whatever I learned to farmers.

₦380k? I’m not sure that was enough to sustain you.

So, because I was researching more than most people, that also created another opportunity. I started consulting for other farmers, and someone even asked me to help him co-manage his plantation. It’s sitting on about 50 hectares of land.

I believe there’s a growing coffee culture in Nigeria, and I want to be a part of that. Especially because the coffee we brew is not only fresh – a lot of imported coffee is stale – and it’s homegrown.

If you ask me about numbers, I can assure you that I know very little about those things. My wife was the one managing my finances, while I just focused on making my roast better.

Ask my wife, please.

Fair enough.

Hello, your partner asked me to ask you about money, because he doesn’t seem to know much about it.

Hahaha. Very good. I actually started keeping records in July 2017, because there needed to be a system that showed progression and tracked growth or something. There was no evidence that there was growth, because we weren’t tracking anything. He’s passionate, but passion is not always enough to run a business. If you have passion but no skills, it dies.

Word.

In August 2017, it was ₦50k. These days, it can fetch many times that amount on very good months. In March, for example, we made up to ₦400k in profit.

That is interesting.

Yes, that’s more than the entire 2017 from selling coffee alone. We tend to re-invest a lot of it in materials, from the coffee beans to the packaging. Also, because you don’t harvest all year round, we invest in buying a large amount of coffee beans.

So, what’s the most important lesson as an entrepreneur?

First of all, hunger is super important. I think entrepreneurship forces you to improve, make things better, and do things differently.

It is also forcing me to work on my personal discipline; in finance, in relationships, and everything –

Her: – he still needs to hire someone to manage his books. I can no longer do it because my 9-5 job is taking my time. There needs to be someone to actually pay him a salary. That forces him to be more accountable.

How much salary do you think you’d earn as an entrepreneur in 5 years?

Him: Using today’s value, maybe ₦100k?

Her: Add more.

Him: Okay, ₦250k. I think what is most important for me is that we have a strong place in the new coffee culture in Nigeria in the next 5 years.

Entrepreneur or not, bills need to get paid. How’s that going?

First of all, the most important one is rent, and ₦250k per year fetches us a really good 2-bedroom. I hardly go out much, except I have to go and get materials. That means I don’t spend a lot on transport. Last-last, ₦50k is enough for a good month in Jos.

Minus your business, what other investments do you have?

Her: Right now, we’re actually looking into doing mutual funds, my sister is a heavy investor in mutual funds. I’m considering it too though. Aside from that, I also invested in a farm with my parents. It’s about 9 hectares of Rice and Soya Beans.

When do you think you’ll retire?

Her: My husband said he wants to die at 85, so that he doesn’t turn to anybody’s problem. Hahaha.

Him: It’s too much?

Her: Too small. Anyway, you’ll be too troublesome then.
Him: By 60, I’m done with work. Then I’ll be travelling, and having the time of my life.

What was the last thing you paid for that required serious planning?

A van – to be honest, it’s still in the works. My farm is quite far from the house, so buying a van will help me move produce fast.

What’s the most annoying thing you’ve paid for recently?

We paid for coffee, and they gave us bad coffee beans. We had to return it, and they didn’t pay back for up to a year. A loss.

Do you have an emergency plan for weird things like health emergencies?

Her: We were actually talking about that yesterday, I think we’re going to do it with one of these apps.

Happiness levels, 1-10.

Her: To be honest, we’ve not reached where we want to go.

Him: Yep. But I really don’t feel like I’m struggling, I even have room to give a lot. So, I’m really good.

Her: We need more sha.

The post The Entrepreneur Betting On A $20 Billion Industry From His Quiet Town appeared first on Realising Ambitions.

Ask Shade About Trusts: Is It Right to Name My Son as My Beneficiary and not My Wife?

A trust is an arrangement in which an individual’s assets are transferred to a trustee to hold for the benefit of named beneficiaries. With a trust, you can not only ensure that your wealth is preserved for your son, you can even pass this wealth down through generations.

Hello Shade,

Is it wrong to name my son as a beneficiary in important documents instead of my wife? It’s not like I don’t trust my wife, it’s just that I can’t gamble with the future of my only son. What’s your professional advice please?

– Dr. Duke, Calabar.

***

Hello Dr. Duke,

I must commend your eagerness in ensuring the future of your son, rather than leaving fate to decide.

The subject of naming beneficiaries to one’s assets is one that can neither be judged as right or wrong. However, your choice of beneficiaries should not only be influenced by the prevailing state of affairs of your family, but the probabilities of such benefits extending to your actual beneficiary.

Although there are no restrictions on naming your son as a beneficiary of your assets, it is important to note that certain measures can be taken to ensure that your son does not squander assets appropriated for his welfare as a result of his level of financial maturity, especially if your son is still a minor (although not stated in your text).

I also recognise your concerns with naming your wife as beneficiary of your assets for onward transfer to your son, as this could jeopardise the chances of these assets being eventually passed to your son in a situation where your wife either remarries or is unable to complete the asset transfer during her lifetime.

Therefore, in such cases of uncertainty, a trust would be most appropriate in ensuring that your assets are effectively transferred to your son when you deem it necessary and in what proportion you may prefer.

A trust is an arrangement in which an individual’s assets are transferred to a trustee to hold for the benefit of named beneficiaries. With a trust, you can not only ensure that your wealth is preserved for your son, you can even pass this wealth down through generations.

It is my advice, therefore, that you carefully assess both options and choose which best suits your intention and family.

Cheers!
Shade

Speak to us today or visit our website at www.armtrustees.com

Now or Later?

Derick and Raymond have been best of friends from their university days as they shared similar vision and life aspirations. This bond is evident in their career aspiration as they both gained employment in the same organization. Tenacious in realizing their ambitions, they pursued their career goals with every sense of commitment and were consequently rewarded with accelerated promotions and attractive salary packages.

Derick was advised of voluntary contributions by his Pension Fund Administrator (PFA) as an additional means of investment towards retirement. He was fascinated by the attractive benefits of having voluntary contributions asides from his statutory monthly contributions, being remitted into his Retirement Savings Account (RSA) by his employer. Basking in excitement, he decided to share the information with his bosom friend Raymond who immediately committed to the idea without further enquiry with the PFA having heard of the contingent 50% withdrawal of each lodgment retained in the RSA for a minimum of two years.

Derick unlike Raymond sought for details to understand voluntary contributions better, as an investment opportunity. The PFA official exposed Derick to the voluntary contributions tax benefit, emphasizing that as an active contributor, tax would be applied on the income earned when withdrawal is less than five years from the date the voluntary contributions was remitted into the RSA. However, voluntary contributions clocking five years and above in the RSA would be exempted from tax deductions. The possibility of tax exemptions, the option of using voluntary contribution to augment pension at retirement and other gainful benefits of voluntary contribution aided Derick in making an informed decision to sign up.

Four years down the line, Raymond was eager to withdraw from his voluntary contributions as he had dreamt of owning another luxury car and the contingency portion of his voluntary contributions would afford him enough funds to translate his dream to reality. He approached his PFA requesting to withdraw and was presented with the voluntary contribution consent form that highlighted the value eligible for withdrawal. Raymond having sighted the huge sum eligible for withdrawal, signed the consent form and applied without raising any concerns despite the PFA official’s attempt to educate him on the imminent tax benefit he would enjoy if he retains the voluntary contributions for a minimum period of five-year remittance.

Moments after the purchase of Raymond’s dream car, he embarked on a cruise with his bosom friend Derick. While on the cruise, he briefed Derick on the withdrawal of his voluntary contributions and how he expended it towards the purchase of his new car. Thereafter, Derick updated him of his plan to retain his voluntary contribution for a longer period in order to enjoy the full benefit of retaining his voluntary contribution beyond five years and possibly till retirement.

At this point, Raymond resigned to his thoughts thinking of the further benefits of voluntary contributions.

Key Highlights:

  • Voluntary Contributions equal or more than five years are exempted from tax.
  • Voluntary Contributions can serve as a viable investment option
  • Due consultation with your PFA would aid informed decision regarding your RSA
  • Embrace the voluntary contribution self-service portal for a seamless service delivery

To learn more about Additional Voluntary Contribution, visit this page.

Baby Juliet’s Future

When 34-year-old Damola gave birth to her daughter, she felt that her life was finally complete. Baby Juliet was the apple of her mother’s eyes and Damola spared no expense in giving her the very best. As a single parent, it wasn’t easy for Damola to cope with the demands of heading the Customer Service department at work, building her side hustle and raising a child alone, but she faced these responsibilities like a superwoman.

Her friends and family tried to pitch in as often as possible but in the end, the bulk of the work lay with the mother of the child. Soon, Baby Juliet was old enough to go to school and what a rude shock Damola got when school fees, books, lessons and more were calculated. It would be a little cheaper should she opt for just any school, but she needed a school that had a good pedigree and was in close proximity to her office to enable her juggle movements seamlessly. The cost per term for Baby Juliet’s KG class came to N95000 when everything like music lessons, swimming classes, dance classes, books and more were calculated. But Damola wanted the best for her baby so she went with it.

But she eventually did some hard thinking. With each year her baby grew and with each new class she entered, she’ll be required to pay higher fees and maybe enroll in other extra-curricular activities which will definitely make fees much higher. She needed a sustainable plan to keep the level of education she desired for baby Juliet up so she called up her best friend Zara and told her what she had been thinking.

“Zara, I’ve done my math and the way things look, I think I need a good plan in place if I really want my baby to get the Ivy League education I plan for her. Do you know anyone who is an expert in these things?” she asked.

“Don’t think too much Dammy. I think I’ve come across one before. I was reading an article on Bella Naija the other day and this Trust Expert on the column Ask Shade was advising a woman with a similar problem. I think her advice will work for you too.” Zara responded.

“Oh really? What did she suggest to the woman?” Damola asked.

“She asked her to consider getting an Education Trust for her child which will cater to every educational needs of her child to whatever level she so desires. Interestingly, she mentioned that the Trust can also comprise of a lifestyle component to provide for other needs of the child like school trips, excursions or vacations.” Zara responded.

“This has a good ring to it” Damola replied. “What do you think babe? Should I give it a try?” she asked.

“Wait, are you really asking that Dammy? I think you should totally do that and enjoy peace of mind jare. Since me I’m still single and seriously searching, I will just pen it down as something to consider when I finally catch Mr. Right and have our golden baby…haha” Zara said.

“Crazy babe. So Mr. Right is now a fish you want to catch abi” Damola queried playfully…

(The two chat on excitedly about other matters…The End)

Secure your child’s educational future with an Education Trust today, not tomorrow, today!

A tale of the triplets

A tale of the triplets

Jude, Jeff and Jaime were born on the same day to the same mother, looked almost the same, grew in the same household yet they were vastly different as black is to white.

Jude was an incredible optimist. He was that man who believed that there was something good in every situation. He expected awesome things to happen for him and they did. He often joked that it was for him that the word ‘luck’ was invented. The man who was willing to live life to the fullest, take chances and learn from any mistakes whatsoever.

Jaime was the indifferent one. He took life as it came not expecting much, and therefore not receiving much too. Life was just one blah place and his indifference showed in the clothes he wore, the decisions he made, the friends he kept and the life he lived.

Jeff was a pessimist to the teeth. He had the knack for conjuring the worst possible outcome to every situation on earth and most times, when life responds to his negativity by bringing bad circumstances his way; he takes that to mean he was right.

Many situations had these brothers taking decisions differently thereby creating their current lives. Let’s take a look at some.

The dream car

The brothers . Jude imagined and spoke excitedly about buying himself a G-Wagon because he loved that car. Jeff scoffed and told him to be realistic and cut his coat according to his size before declaring that even though he desired a car,

Outcome: Somehow, new deals came around and Jude won a contract that afforded him just enough to buy his G-Wagon. Jeff? He rides to work with Jude each day since they both work on the Island while Jaime manages their father’s rickety Corolla.

The Investment

Jeff had a bad story to tell each time anyone tried to tell him about investment. So when the Money Market Fund idea was pitched to him and his brothers by their cousin, Jeff jumped up screaming scam!!! Jude the optimist decides to give it a try because he figured that if a lot of wealthy people were doing it, there had to be something about it, and he invested. Jaime was not even listening when the topic was being discussed despite being present.

Outcome: Jude kept on investing until he started ticking off his goals one by one. He bought a property in Lekki and started building his dream house. He also had enough to buy stocks and stash away for emergency. Jeff is still waiting for something bad to happen so he can say “I told you so” to Jude. And Jaime is indifferent about any additional income, managing the N120, 000 he has earned as salary for the past 4 years.

Career growth

When Jude decided that he needed a career change and started applying for courses, Jeff advised him to stay where he was before things get worse in his new field. Jeff reminded him that the grass wasn’t greener on the other side but to Jude, the grass was actually sparkling green for him and he was willing to take the chance to prove it or at least learn from the experience.

Outcome: Two courses aced and several attempts at submitting resumes plus interviews later, Jude is off to Dubai to manage the Customer Service Department of AlMaed Khaleem Oil and Gas Company stationed there. Jeff still works with the bank – a job which he hates and complains about always but is not willing to take steps to move. Jaime remains stagnated doing the same old job and not bothered about growth.

These three brothers replicate three personalities that are available to us all for the choosing. Which of the brothers are you currently?

 

Bottom Line:

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