#BuildingWealth #FromScratch #FinancialIndependence #WealthCreation
๐ How to Build Wealth from Scratch ๐
Hey there! First of all, kudos to you for seeking out ways to create wealth from scratch. It takes courage and determination to break free from financial constraints and build a successful future.
It’s completely understandable that the lack of access to capital and assets can make it seem impossible to kickstart your journey towards financial independence. But fear not! There are steps you can take to defy the odds and start building wealth, even in challenging circumstances.
Let’s dive into some practical and actionable tips that can help you pave your way to financial success.
## Understanding the Basics of Wealth Building
Before we delve into specific strategies, it’s important to have a clear understanding of the fundamentals of wealth building. Here are some essential concepts to grasp:
1. Definition of wealth: Wealth is not just about having a large bank balance or owning valuable assets. It encompasses overall financial security, stability, and the ability to generate passive income.
2. Mindset shift: Building wealth requires a shift in mindset from short-term gratification to long-term financial planning. It’s about making prudent decisions today to secure a prosperous tomorrow.
3. Importance of financial education: Educating yourself about personal finance, investments, and money management is paramount in your wealth-building journey.
## Practical Steps to Build Wealth from Scratch
### 1. Set Clear Financial Goals
– Define your short-term and long-term financial goals, such as saving for a business venture, homeownership, or retirement.
– Quantify your goals by attaching specific amounts and timelines to them.
### 2. Develop a Budget and Stick to It
– Create a detailed budget that outlines your income, expenses, and savings targets.
– Track your spending meticulously and identify areas where you can reduce unnecessary expenses.
### 3. Increase Your Income Streams
– Explore different avenues to increase your earnings, such as starting a side hustle, freelancing, or acquiring new skills that make you more marketable.
### 4. Invest Wisely
– Educate yourself about various investment vehicles like stocks, mutual funds, real estate, and bonds.
– Start with small, manageable investments and gradually expand your portfolio as your financial situation improves.
### 5. Leverage Technology and Automation
– Utilize financial apps and tools to automate your savings, investments, and bill payments.
– Take advantage of technology to access resources for learning and staying informed about personal finance.
### 6. Build Emergency Savings
– Establish an emergency fund to cover unexpected expenses and avoid falling into debt during tough times.
### 7. Seek Mentorship and Guidance
– Surround yourself with mentors, financial advisors, or individuals who have successfully built wealth from humble beginnings.
– Learn from their experiences and seek valuable advice to navigate the complexities of wealth creation.
## Overcoming Unique Challenges as an African Entrepreneur
As an African entrepreneur, you may encounter specific challenges that are inherent to the economic landscape of your country. Here are some additional insights to consider:
– **Currency Volatility**: Develop strategies to mitigate the impact of currency fluctuations on your finances. Diversifying your investments across different currencies or asset classes can help diminish this risk.
– **Community Support**: Leverage the support of local communities and networks to foster entrepreneurship and access resources that cater to startups and small businesses in your region.
– **Microfinance Opportunities**: Investigate microfinance institutions and programs that provide funding and support to budding entrepreneurs in Africa. These avenues can offer alternative sources of capital for business initiatives.
## Stay Committed to Your Journey
Building wealth from scratch is undoubtedly a challenging endeavor, but with perseverance, strategic planning, and a continuous thirst for knowledge, you can overcome the obstacles and create a financially secure future for yourself. Remember, it’s not a sprint, but a marathon. Stay focused on your goals and adapt to the changing landscape of personal finance and entrepreneurship. You’ve already taken the first step by seeking guidance, so keep that momentum going and watch your wealth grow.
Final Words
By incorporating these actionable steps and embracing the unique opportunities and challenges that come with being an African entrepreneur, you can certainly pave the way for wealth creation, despite starting from rags. It’s a journey that requires resilience, determination, and a willingness to learn from both successes and setbacks. Keep forging ahead, stay financially savvy, and you’ll be well on your way to defying the odds and building wealth from scratch. Best of luck on your wealth-building journey!
Try to find things people are complaining about all the time or use too much time to do.
Solutions thus money are hidden there in general.
Thatโs my take.
be creative. mediate on what people need
Start with Think and Grow Rich. Itโs a classic book on this topic, and while I am somewhat of a sceptic of these kind of books, I had to admit it had valuable perspective and certainly covers the topic youโre interested in.
What is a problem unique to Zambia you could fix with a simple app? Code the app with ChatGPT.
Work for how ever long it takes, save some money, and buy some land. I am not talking about expensive land, I mean a small plot of land. Then build a house. I understand that this is not easy, but I mean build a house in a few years, bit by bit. Research “rammed earth” buildings. You can literally build a wall out of compressed earth. You build bit by bit. Then you sell the house or rent it. Rinse and repeat.
It will take you years, there are no shortcuts, but once you get the first house money, you can build two. Rinse and repeat.
Your ambition to build wealth from scratch is like turning lemons into lemonade. Remember, ‘Where there’s a will, there’s a way.’ Start small, focus on skills, and seek opportunities. The journey may be tough, but determination can be your greatest asset. Learn About stocks, commodities, and Real estate. start with small investments you will learn with your experience. Best of luck on your path to financial success!
if you can’t sell anything physical bcs u dont have any capital to start with, it means you have to sell services => you need to have the skills => go to learn the skill that you have always wanted to for a long time on Youtube (you clearly have internet), imo that’s the first steps.
Others have commented here the next steps you can take. I believe that at 19, it is also beneficial to experiment different things too.
Step 1: Acquire a monetizable skill.
Perhaps you already have one. Throughout your life have you had any hobbies or interests that you stuck with and have a lot more knowledge on than the average person? Think of how you can leverage that to sell someone a specific product or service in that industry.
Otherwise, if youโve got nothing, start learning a new skill now. Choose something youโre interested in and that has direct application to a service people need and will pay you for.
Step 2: Once you have a skill, offer your service to people for free so you can gain experience, good testimonials, and confidence in your skill. Make sure you are able to deliver great results to your free clients before moving on.
Step 3: Use everything youโve gained from step 2 to sell your service for money. Here you will need to learn a lot of things along the way. (Marketing, sales, customer service, etc.) Donโt spend too much time trying to research what to do, spend more time actually doing the things and learning from trial and error.
Step 4: Once you have a consistent funnel of bringing in new paying customers and fulfilling them yourself, hire and train other people to do the service delivery for you and scale. Your goal now is to hire people for every part of the funnel you have been doing yourself. Once this is done, you will have your business running hands free and you can scale and grow and truly build generational wealth.
I would suggest learning to program and start small. There’s plenty of free ways to learn and then to make small projects or work as a freelancer to have some capital.
If you don’t have capital, you’re going to need skills. People skills, coding skills, languages. I do not know much about Zambia, but if it is not providing you with the opportunities you need, research who is accepting work visa’s from Zambia and try to work somewhere with a stronger currency, and access to capital markets. Save and invest your money, build assets.
A business is typically built using resources and/or capabilities. Youโve mentioned that you donโt have resources (yet) so focus on capabilities. As others have pointed out, find a pain point in your community and develop the capabilities to resolve that pain point. Remember though, the market needs to be easily accessible – so you can reach the people youโre selling to, the target market needs pain enough to want to pay for the solution but they also have to have the money to pay for it. No point charging loads of money for a resume rewrite when your target is the unemployed for example.
I would highly recommend that you follow Alex Hormozi on YouTube. Go back to his $100m Offers content and youโll get a good foundation for where to start.
Good luck!
Learn what your family members do, they have connections, use those connections to figure out how their business works and eventually some opportunities will show up. 99% of rags to riches depend on who you know, and knowing people is often free. No need to buy books or courses or learn a useless high income skill.
I was still in debt at age 30 but got to $1 million in 20 years. I didn’t take any loans to get started. My parents weren’t wealthy. I got a job, invested a percentage of my salary and did many side hustles alongside my job. I was in the UK though. Even so, many Brits claim it’s impossible. So, mindset also counts.
For you, I’d suggest a similar path. Use a job/career for a solid foundation. Just invest regularly in index funds, crypto, and property. Do some side hustles and also invest that income. Have patience. It can seem slow at the start.
If you have the opportunity, move to a better country.
Try lots of different things.
Life is a journey.
Good luck.
Do you want to build real wealth, or just get rich in terms of money? These are very different things.
Easiest way to get rich in terms of money is to scam people online with online courses. Pretend you are rich, sell people courses on how to get rich, profit.
Geographical advantage is really a lottery
Marry rich.
Learn video editing! No cap, if you knack for creativity, go for it. Learn for 6 months and I will hire you!
Onlyfans my brother. Sell yourself.
Sometimes itโs hard to know where to start the process, and Iโve seen many people build wealth by doing thisโฆ
Pick a thing that nobody wants to do, that the majority of your community will or have to pay money for, and start doing it. Under promise, over deliver, and treat your customers with respect.
Closely monitor what you spend, and only go into debt if itโs going to help you make more money, or vastly improve the quality of your life.
In the short-term, I think the fastest way to make some money is by looking at how you can freelance and then selling services to those in other countries.
In the UK, the minimum wage is ยฃ10 per hour, which is roughly 345 ZMW. PPP between Zambia and UK is roughly 10:1, which means that earning ยฃ10 an hour while working in Zambia would be akin to earning ยฃ100 an hour in the UK. That’s huge.
If you can sell a skill at around that level (eg video editing, digital marketing, any other internet-based skill) then it’s possible people will outsource the work to you because you are cheaper than a UK freelancer.
Do things other people donโt want to do.
Example: Drive a Class A CDL truck, become an owner operator, learn the ins and outs, save money, and try and start your own business, hiring other drivers to drive under you (this is the really hard part).
Grandpa did this and he made a ton of money before he passed.
Learn a skill people are willing to pay for. Thatโs how I did it when I knew nothing.
Forex Trading and Crypto currency is what you have been searching for
Get in to sales
Start investing as early as possible, the compound effect will surprise you.
Learn IT and coding, get to a western country, preferably the US.
That is the cheat code I would use if i was 19yrs old and living in Africa again.
You are already on your way. It all starts with the mindset, and your curiosity and motivation have already brought you here.
Many people can get stuck in the โpoor person mindsetโ and you have to begin to think like a rich person. To get there, you will probably to learn and master several different subjects.
You can learn with classes (like MITโs open courses), by reading (self-help, finance, biographies), and by meeting others (online or in person).
This may take years, even decades, so itโs great you are starting out so young. Donโt forget to relax, play, do nothing, and maintain a healthy life.
Good luck and keep the dream alive!
make sure to learn sales, every company needs sales. With this you should earn a good income, more than most people. Thats my opinion