Got some free 500k? Think beyond wines and spirits!
By Awal Mohammed | May 1st 2021
If you give half a million to a Kenyan youth, you can bet that they will rush to start a wines and spirit shop outside their hood, the other will be quick to start importing shoes on wholesale and selling them on retail online while the other will bury their fortune on importing clothes from Turkey and China.
While the aforementioned businesses are quite profitable, they have saturated the market.
Experts attribute this to the fact that human beings find comfort in doing what has already worked for others hoping it will post the same results.
The fear of starting something new which doesn’t have a peer in the market is what makes many individuals stick to the known even though the new territory would have posted far much better results.
According to Patrick Wameyo a personal finance consultant, there is nothing in starting a business that everyone is doing as long as you have studied the opportunity.
“There is no wrong business that you can start, a business is wrong if it doesn’t have a growth opportunity, it will leave you with dead capital,” said Wameyo.
The biggest impediment among the young people, Wameyo says, is the need to jump the line fast and bang instant success.
In business just like anything else, going through the learning curve is important in making of a good enterprenuer; it grounds the business person in the craft and helps in making prudent decisions.
In the investment market, age plays a critical role for an investor. What stage someone is in life will determine the type of investment they will make.
A 2019 wealth report by Knight Frank showed that Kenya’s super-rich put 25 per cent of their money in listed public companies. The stock market was estimated to have minted over 9,000 dollar millionaires in 2019
Most of their stocks seem to be in companies dealing in financial services, agriculture, technology, energy and manufacturing.
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