Sunday, May 14, 2017

15 Misconception And Mistakes People Make About Money....

15 Misconceptions And Mistakes People Make About Money

MoneyMistakes: 1.
Never borrow money with interest to start a business (except for salary loans); only borrow to grow your business. 
This is because business takes a long time to gain ground and begin making profit 
yet for most of the loans you begin paying back a month later or even earlier. 
Hence,  never borrow to start a business expecting that business to be the one to pay 
back the borrowed money plus the interest.

MoneyMistakes: 2.
Never spend money you haven't received. Don't even promise someone money based 
on a promise you have from someone else. Don't hear somebody say, 
"Ezra come to my office tomorrow at 9am and pick 2m" and you go and buy 
items on credit hoping to clear when the promised money comes.

If you want to ever save, whenever you receive money ensure you don't start spending 
before taking out the savings hoping that you'll save what remains. 
Normally what remains is zero. And things to spend on even incite their 'relatives' 
while when money to spend is not available we naturally find a way of managing.

MoneyMistakes 4
When you get an opportunity to meet a very wealthy person never ask for money. 
Ask for ideas on how to make money. They can even choose to give you money on 
their own after seeing that your ideas are great, but let getting money from them never 
be your objective.

MoneyMistakes: 5.
Keeping your seed instead of planting it. Many people stop at saving. 
It's very, very difficult to save and have all you need to maintain your lifestyle 
especially after retirement. When you save, your savings are seed; plant it. 
When you just keep it some seeds begin to die (eaten by inflation and the likes). 
That's where I recommend that you read about the different types of investment 
you can use to grow savings. I am not necessarily talking about putting the money in a 
business because you can easily lose money on a business. 
I am talking about putting it in an investment.

MoneyMistakes: 6.
Never lend someone money you are not willing to lose. 
By the time you lend money, be contented in your heart that should the person not pay,
 you will not die. You should not even lose the person as a friend. 
If you realise the person can fail to pay you and you are ok  then lend. 
If you find you would even hate the person's entire clan, please advise the person to go to 
the bank.

MoneyMistakes: 7.
Never append your signature to guarantee someone on a financial matter 
if you are not willing or able to pay the money. 
Do I have to explain that one? No. It's self explanatory.

MoneyMistakes: 8.
Avoid keeping within easy reach money you don't intend to 
use in the short term - don't for instance walk with 100k in your pocket when all 
you plan to do in a day cost 20k.

: MoneyMistakes: 9.
Avoid keeping money at inappropriate places eg in socks, under the pillow, 
in a pit, in the sitting room, in the bra, in a travel bag that you will place 
somewhere eg when in a bus..

MoneyMistakes: 10.
Spending money on an item that you can do without (at least for the time being). 
These days when I pick money from my pocket, before paying for something I ask myself: 
What would happen if I don't buy this? 
If I find I can live with the consequences of not having that thing, I smile and walk away.

MoneyMistakes: 11.
Paying an amount that's not the minimum you can get that same value for. In other words,
if you pay 70k for a shoe at Topman that you can get at 30k at Kejetia/Kanta. 
Arcade, that's a money mistake except for those who have achieved financial freedom.

MoneyMistakes: 12.
Wanting to be the saviour  of the world by helping with ethane in financial need. 
My sister, brother you are not Jesus. If you find it so hard to say No to a financial demand, 
you may think you are practising  
generosity when in actual sense you are practising  committing (financial) suicide.

MoneyMistakes: 13.
Consistently spending all you earn or more than you earn is  like having a 
drum where you have an inlet that's smaller than the outlet. It will never get full. 
And should the inlet ever reduce significantly the drum will run dry. 
If you do it the other way round and the inlet is bugger, it will get full and even overflow. 
Hence, we have to always ensure we are widening the inlet while narrowing the outlet - 
all the time.

MoneyMistakes: 14.
Thinking about short term only and forgetting about long term or think  
about the long term and forgetting about the short term. 
What of those who find they are one paycheck away from salary? 
Are they thinking about the long term needs?

MoneyMistakes: 15.
The Spirit of gambling is something you should loath and disdain with a passion. 
Risk taking is a very good thing and the reason why your ever in business in the 1st place, 
but to be disciplined in anything related to finance, avoid anything that looks 
like gambling as there's what is called clean money or dirty or filthy money; 
that is money whose means or source is unjustified. Avoid anything or friends 
that gambles as sooner or later it will affect you and affect your family. 
Quote me any where, gamblers all over the world be it rich or poor always 
have an obscured ideology of wealth and value. 
If you find out that your dealing or doing business with a gambler, 
you should possibly desist from such association as such people Dont always 
have a sane and healthy reasons why they are in business but just after the money and profit.
A lot of Igbo's insult the Yorubas that they are poor at business, but its not true, 
its just that an average 
Yoruba man to an extent and by culture understand contentment 
and also believe in the language "Calculated Risk." This is not to say that a lot of 
Yoruba's Dont patronize sport bets and pappy Ijebu, believe me, 
I know a lot of Yorubas who do as the case is usually misery makes strange bedfellows.


In Summarily, don't expose your success too quickly in life.I learnt that from playing 
"WHOT"! Once you just say "Last Card", you will see your enemies 
coming out of the woods... 
You'll just be hearing Pick 2, General Market, Hold On, etc.. 
"As if they never had such weapons."

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