Open The Financial Gates With A Success Key

Presented by: Francis Kofi Somuah BA (Psychology) Grad. Dip.(Mgmt Stud.)

WEALTH IS POWER

WITH WEALTH MANY THINGS ARE POSSIBLE

PRESENTATION OUTLINE

• Definition of wealth creation

• Lessons from wealth creation

• 5 cures for an empty wallet

• Why some people fail to create wealth

• Q&A

Definition of terms• Wealth : is defined as a great quantity of store of

money, valuable, possession, property or other riches including a good name, character and information.

• It must be noted that being wealthy cannot be equated to being rich. When we talk about wealth, we are not talking about little money here and there, and being able to live until the end of the month or having some treasury bills here and there.

• That is not what we are talking of; we are talking of having an abundant store of resources or possessions in the form of money, land, mansions; like Carlos Slim’s 74 billion dollars, Aliko Dangotey’s 13.8 billion US dollars and Warren Buffet’s 50 billion dollars

MY FAVOURITE DEFINITION OF WEALTH

“How long you will continue to live after all your income ceases”.

In other words, how long the money you have amassed will sustain you after you decide to work no more. Is it one week, one month, a year or generations?

- The answer is in your hands. We must take note that wealth is created

Definition of terms contd..• Creation : To create is to cause something into existence

not through natural evolution, but from ones own thought or imagination as in invention.

• This definition is important for the concept of wealth creation. It is essential to note that wealth creation is a gradual process. Wealth is not made in a day. I guess we have all heard or come across these sayings; ‘Little drops of water make a mighty ocean’, ‘A journey of one thousand miles begin with a step’, ‘Rome was not built in a day.’

• Wealth is therefore accumulated over time. This ideology of accumulating wealth over time in order to create it leads us to the next key word - Investments

Definition of terms contd..

• Investments : Investment involves putting away money to preserve the value and at the same time earn a return (profit) on the amount invested in the future.

• Simply, investment is the outlay of money in instruments for future return (profit).

• Psychology : scientific study of the mind

What then is wealth creation

• Wealth creation entails the use of ones own thought and imagination to work in order to bring something extraordinary that produces great quantities of money.

• Therefore, wealth creation is working with your mind or thinking faculty to produce something unique that will produce great quantities of money and property.

Wealth creation through investments at work

Source Epack Annual report 2010

The story of Manhattan and the concept of wealth creation/investment

• In the early 1600s, the American Indians sold an island, now called Manhattan in New York, for various beads and trinkets worth about $16. Since Manhattan real estate is now some of the most expensive in the world, it would seem at first glance that the American Indians made a terrible deal.

• Had the American Indians, however, sold their beads and trinkets, invested their $16 and received 8% compounded annual interest, not only would they have enough money to buy back all of Manhattan, they would still have several hundred million dollars left over. That is the power of compound interest (investment) over time.

Concept of the tree and wealth creation• Wealth like a tree grows from a tiny seed. The

first money you keep is the seed from which your tree of wealth shall grow.

• And the more faithfully you nourish and water that tree with consistent savings, the sooner you may bask in contentment beneath its shade.

Concept of the tree and wealth creation (contd.)

2

31. Sow a seed (initial investment)

2. Careful nourishment and watering the

seed (additional investment or frequent top

ups)

3. Shade/Shelter (frequent and regular

returns from your investment)

1

5 cures for an empty wallet/pocket“(You can be academically rich but pocketicaly

poor)” – f.k. Somuah

1.Begin by fattening your wallet

2.Counsel with wise men

3.Control your expenditure

4.Make your gold multiply(invest)

5.Increase the ability to earn

Begin by fattening your wallet(PAY YOUR SELF FIRST)

• Decide that a part of all you earn is yours to keep (10% rule)

• Pay your self first, “your investment should be the first of your expenses”

• Your pay is the amount you invest/keep not what your employer gives you.

• Every money you keep is a slave to work for you. Every pesewa it earns is its child that can also earn for you.

• If you would become wealthy, then what you keep must earn, and its children must earn

Study and counsel with wise men• Seek the advice of men whose daily work is handling money

• “Money is one form of power but what is more powerful is financial education. Money comes and money goes, but if you have the education about how money works (financial education), you gain power over it and can begin building wealth.” – Robert Kiyosaki

• “The more you learn the more you know you don’t know” – f.k. Somuah

• I love this proverb “Just a minute across the table with a wise man can save months and wise of reading books”

• Learn to make your money work for you

CONTROL YOUR EXPENDITURE“JUST A SMALL WRECK ON A SHIP WILL MAKE IT SINK”

• Be mindful of the little expenses you make• “Because of the little expenses, a small leak will sink

a great ship.” - Benjamin Franklin

• What do you spend your money on? Assets or liabilities

• Assets – items that put more money in your pockets• Liabilities - items that take more money from your

pocket

Make your gold/money multiply(Invest)and

Increase the ability to earn more

Who can tell me why the sea never dries up?

Why some people fail to create wealth/invest

• INADEQUATE KNOWLEDGE “When you know more about the world around you, you have more control. When you burry

your head in the sand, you invite trouble. When you depend on others to manage things you do not understand, you are giving up self determination and others will take advantage of you.” (Fred Siegel)

• Procastination “Tomorrow is the greatest killer in the world”-(Robert Kiyosaki)

• FEAR of losing money False Evidence Appearing Real

• Any other..........?

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There will be A BETTER TOMORROWand A BRIGHT FUTURE

Living in a bigger house…..Take a Luxury vacation …..buy a new car……Live debt free….or better education for your children….

ALL YOUR DREAMS WILL COME TRUE!

Remember the dream you used to

have…

Some people are in the habit of saying “No” to all new opportunities. They feel they are protecting themselves, but they are also limiting the possibilities of what they can achieve. Consider this piece of advice: when a new opportunity presents itself. If it arises that cannot possibly harm you and it could possibly be helpful to you in reaching your ultimate goal, then why not just give it a try? You’ll never know if an opportunity is just what you’re looking for unless you try it.

When Hopes Meet Opportunity

You have to start by doing something, so the first step is “Act.” It is better to do something than nothing. Those who start acting get results…those who don’t act don’t get much of anything. And don’t worry about doing it perfectly, just start by doing something.

Remember “If it is to be, it is up to me.”

Congratulations on getting started now….Today will change your life forever!

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THANK YOU FOR YOUR AUDIENCE

QUESTIONS PLEASE...