The Billionaire Gang

There are three types of people in this world. Firstly, there are people who make things happen. Then there are people who watch things happen. Lastly, there are people who ask, what happened? Which do you want to be? -Steve Backley Click To Tweet

There are three types of people you will see this year: Those that have made New Year Resolutions they’ve already forgotten, those that will sit and wallow in self-pity, and those of us that will take charge of our lives and end 2018 in the Billionaire Gang. WATCH THIS SPACE!!

I like money and I tell myself that I’m frugal but reading the Smart Money Woman by Arese Ugwu made me realize I also have an unhealthy relationship with money. I mean what’s the joy of making money you don’t truly understand the value of or get stuck in an endless rat race because you haven’t understood how to make your money work for you. This book is an eye opener and I love that every chapter has a Smart Money Exercise, it makes the book more practical. If you haven’t read the book, “GRAB YOUR COPY NOW”

I hope this inspires you to be in the class of people who will end this year with a bang.  Let’s take a look at highlights of each chapter, shall we?

1. Broke

It was obvious from the beginning that Zuri was clearly living above her means. Baby girl was in need of “baptism of sense”. Thanks (or no thanks) to our African roots we aren’t taught the basics of finance i. e how to keep money or grow it. We pretty much learn the hard way. We think of our income as a means to pay bills only and not include savings and the purchase of assets. Hence, the rat race never ends.

Take Home:

  • The way you spend, invest, and manage ten naira is the way you’ll spend, invest, and manage 10 million.
  • Broke means the inability to sustain your current lifestyle after loosing your primary source of income
  • To be wealthy, you have to start thinking like a wealthy person: They understand the fundamental relationship between how we earn, how we spend, and where the balance is

Other Learning Points: Disposable income, Active income vs. Passive income, and what financial freedom truly means

Source: Imgur

2. Money Fears

A lot of African women have an unhealthy relationship with money myself inclusive. We worry about not having enough to meet our basic needs and sustain our lifestyles. We constantly think of more ways to work for money and not ways to make money work for us.

Some money fears could be: fear of failing in business, inability to afford your lifestyle or measure up to that of others. I see some women rolling their eyes already.The solution to this is confronting and taking control of your money fears or the “gbese” (Yoruba word for debt) you’ve gotten yourself into, then come up with a plan

Take Home:

What you deny or ignore, you delay; what you accept and face, you conquer. At the end of the day we are all afraid of something but the difference between successful people and average people is that they acknowledge their fears but don’t let fear overcome or stop them from achieving their goals


3. Where is Your Money Going?

I can tell you where mine goes mostly: Airtime. It seems like a little but the total after 30 days can buy me a few decent things. My morning gist with my family is something I can’t trade and we can gist for Africa. If you want to know where your money goes, check your bank statement for all your card transactions or download the Monefy app to track cash expenses, and buy the Smart Money Journal to document better financial decisions. 

Key Questions:

  • What percentage of your income is spent on: Rent, Utilities, Food, Transportation, Wardrobe, Others?
  • Does your income do what you want it to?

Take Home:

  • If you don’t treat the money you earn with respect, it will leave you with no respect. 
  • Put yourself on a Money Diet (Not an extreme one oo!) and have frequent money dates with yourself to track your expenses.

Source: Budgetbakers


4. Dealing with Debt

We all have different reactions to debt lurking in the dark waiting to destroy our peace. From worrying to cases of mild depression. This won’t help if you don’t take absolute control and create plans no matter how little to sort yourself out. Take a cue from boss babe Zuri.

Take Home:

  • Don’t get into bad debt acquiring items that don’t appreciate in value.
  • Always have a plan to tackle debt no matter how little or large


5. Surviving Emergencies

I never knew what an emergency fund was up until 2 years ago when a close friend asked me if I had one. The importance of having one cannot be overemphasized. We need to plan for emergencies because no one knows when the bad days will strike. Don’t wait for financial surprises, save systematically towards your emergency fund because it is the foundation of your financial journey.

Take Home:

An emergency fund isn’t there to make you money but to act as a financial cushion that protects your long-term investments from short-term unexpected expenses. “


6. Money Goals

Help you articulate what you want your income to do for you. Get clear on your money goals so you can spend and earn intentionally.

Take Home:

“The most successful people are the ones who are able to articulate what they want for their lives”


7. The Spending Plan

A budget is often associated with scarcity or reduction in spending. On the contrary, a budget tells you how to divide your resources and it reflects what you value.

Take Home:

  • Smart Money Budget: Divide your income into three parts according to your reality and what you value:Long-term Financial Goals, Short-term Financial Goals, Living Expenses 
  • You can also group your living expenses into: e.g Bills/Expenses, Savings, Emergency, and a fourth can be Turn up for those that can’t do without Owambe and asoebi.

Source: Buzzfeed


8. Power of Networking

Remember to make yourself memorable. Find an interesting way to introduce yourself and why you do what you do, not the other way round.

Take Home:

“What makes us wealthy is not how much we earn but how we can systematically use a potion of the income we earn to build assets that pay us overtime ” 

  • “A person’s ability to attract wealth is tightly linked to how well they are able to grow amd leverage their network to take advantage of opportunities”


9. Life Happens

Another interesting pointer that has been largely overlooked in African families is discussion of money and assets. Incase of sudden death, women need to have knowledge of finances and where the financial records of the family are kept.

I listened to one of Arese’s podcast where she talked about Money Personalities and I did a brief summary HERE


10. The Long Game – Investing

To be successful at investing, you need to develop an attitude of patience. Start early, invest in what you understand, and stay consistent.

Take Home:

  • The wealthiest people in the world make relatively simple investments. They typically invest in things they understand, and it boils down to what your goals are
  • “Establish investment goals and devise an investment strategy that matches your goals. Everyone has different financial obligations, earning potential, and risk profiles”.

Other Learning Points: Asset allocation, investment strategy, stock portfolio, knowledge of your asset class, etc


11. Earning More

Basically means maximizing the opportunities in every crisis. You can maximize your earning potential by focusing on finding your purpose. It is at the center of 3 aspects of your life: skill set, passion, earning potential.

Impostor Syndrome: Looking down on yourself because you feel you don’t deserve an opportunity

Take Home:

“In order to maximize your earning power and have the ability to invest, you need to pursue a career you are passionate about and create multiple streams of income”

PLEASE!!! Entrepreneurship isn’t for everyone. I shared my thoughts HERE


12. Becoming a Smart Money Woman

Who is she to me?

She is a woman of purpose and is intentional about her life. The Proverbs 31 woman.

Who is she to you?

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