Mind Your Personal Financial Destiny

Start A Business 2010.

2009-12-31T00:39:00.000-08:00

Today is the last day of the year, and I myself had made up my mind
to start my own business for 2010. Here to share with you what I had now
going to go through to start a business and an urge that had been linger with me for a very long time.

1) Define a market niche for the business - who to cater, who to serve
2) Define a strategy to start this business - what idea needed to be different from other competitors
3) Finding out the cost of business, rental, fixtures, goods and etc, and then capital needed.
4) Finding a location for the business.
5) Getting supplier to supply goods for the business.
6) Getting someone to renovate the place for the business.
7) Thinking of how to market this business, spend money or any other free media.

Above is just some starting item to do for me at the moment. I welcome anyone who had setup and already run a successful business to share some of the things to watch out, to do and factors of ensuring a successful business.

Happy New Year to my readers!

Entreprenuership => Be Your Own Boss!

2009-11-29T07:15:00.000-08:00

All working class people, will someday hit the corporate wall and majority are frustrated with the bosses, company policy and restriction to progress in career and salary. I would have heard from people, even myself, thinking of resigning from working for people and strike out on my own.

So, what does it take to be your own boss. To Be An Entrepreneur!

Guts and Daring - This characteristic is usually built in when man/lady hit the age of 20 - 30 years old. Not much commitment, and therefore should have a lot of guts to do things and strike out on our own. The problem is , when there is debt, e.g. study loan and other personal liability loan which needs to serve after graduation from university or polytechnic, it will prove a bit difficulty. Nevertheless, if there is a will, there is a way. Those who dare to strike out, could eventually find its way.

Capital - Not much money at the start. But with some accumulation during the working years could be able to save some. Another way is to borrow from family or friends, and take it as a loan from them (sometimes this method is too painful, and hurtful, as not many are willing to loan to a greenhorn to start a business). Alternatively, partnership and pooling capital from friends who believe in the business may help to raise the needed capital.

Believe - An entrepreneur got to believe in what they are doing. Without that it will die down, as entrepreneur need to drive, steer the boat and move towards his/her hungry goals to attain success.

Risk - There is always a risk in doing business, the only thing need to think of is how to minimised it. One way is through doing some homework, know the market, know the competition and must have exit plan.

Hands-on - An entrepreneur got to be hands-on to the business. Who else knows the business better than he/she do. If hand-over to another person to do it, then then chances of failure will be high.

High Motivation - An entrepreneurs need to be motivated at all times, be it success in getting business, failures, set-back, finance distress, he/she must be clear headed to pull through such situation. He/she must keep on dreaming, setting direction and correcting it to get to the destination.

Working for People or Work for yourself, Which one make the most money?

2009-11-06T06:25:00.000-08:00

拿人錢財替人消災 (ná rén qián cái tì rén xiāo zāi) is a chinese idiom to imply literally taking people money to help them to solve their woes or problems. This is being told by one of my elderly Chinese educated friend, an idiom that reflects the working class, ie, for those for work for people. As we got a job, working for people, we take the job, get the money, and then actually help them to solve their problems.
This means, solving other people problem by working for people, and in return we are compensated by money. If you work in the company as a clerical clerk, you are ask to solve your boss, paperwork, answering his call, and filing or scheduling job, and in return you are paid with an amount of money. However, most of us are compensated by a fixed amount of money, as we are paid monthly salary in exchange of our time. Annual increment is a very little, probably just a little bit higher then the current fixed deposit rate. Some work in the company, with no increment due to bad economy.

Hmm.., I kept wondering, does this apply also to work for yourself, being your own boss. You could not solve your own problem and expect to get compensated, aren't it. Therefore, I guess this also apply to working for yourself. You have to solve other people problem in order to get compensated. Just like, a shop mechanic solving other people car's problem, and then get paid for money. A private doctor, solving patient by prescribing medicine to help to treat illness. This idiom, applies both way, to those who work for people and to those who work for yourself.

However, there is a difference in getting your compensation of money. Solving other people problem, with your highly knowledgeable skill and experience will get you compensated more. If word of mouth spread, many people will come to see you to solve their problem, e.g. self-employ mechanics or traditional chinese doctors.

I like to hear your view on this.
Does working for people will make you more money? or
You work for yourself will make you more money?

Does both above, use the concept (as per chinese idiom description) of solving other people problem, to be compensated by money?

China Economic Wealth Power

2009-10-18T18:32:00.000-07:00

I was in China this past few days for a business trip. Upon staying here,
it's an eye opener to me, that this region is economically prosperous, with industrial parks,
hotels, wide 6 lane roads, with an side lane for bicycle and electric motors. The city population is of 6 million, and ranked the 9th. largest GDP in China.

There is even a plan that started 2007, ~ 400 million yuan high speed railway project linking from Shanghai to Beijing ~1500km that to be commenced in operation in November 2010. You could see this along the highway from Shanghai to Suzhou.

All the while, I was thinking that China is a backward country, and has many catch-up to do. However, the trip is really an eye-opener, on seeing that the progress of this country a lot faster and economically thriving compared to our own country, with too much leader's self-interest. It is said that China government will spend 70% of their budget funding to progress the nation into developing world, whereas ours, spend only 30%. I wonder whether this is joke or fact! It is kind of sad really to see this, massive projects in China take 2-3 years to complete, whereas ours massive project, drag their feet, or even at the end of the day got abandon, reason, money not enough to go around.

I could see in years to come, give our country another 10 years, we will be far behind to catch economic growth and wealth, and we as individual citizen in our own country could not enjoy a far better economic wealth in comparison to China.

Does Money Grow on Tree?

2009-09-30T06:57:00.000-07:00

A wise old man once say to me, "Son, if you want to be wealthy and rich, you need to plant your seed now and then reap your money from the tree." That was when I was a very young boy, then.

I was fascinated with this idea. Money grow on the tree. Immediately, I set forth to work. First task, I went to my father to ask for a dollar note, and I told him that I wanted to grow money. After the tree fruits the money, I will pluck one and return back to him. He laughed at me, and but still handled me a dollar bill. Frantically, I went to an vacant empty land nearby, and start to dig hole, and then put a dollar note into it, and buried it with dirty earth. It may need some water, as I could not find water nearby, I drop my trouser and then let nature calling, flourish and water the dollar.

Day after day, I waited anxiously for my money tree to grow, and checked it out very often. It's still has not grown. One week later, from afar, I saw a greeny stuff shooting out from the ground. I was very happy and quickly told and brought my dad along to see my money tree is growing. My dad was bursting to laughter till he had stomach pain. He quieted down, and then tell me, "Son, this is a wild grass, it is not money tree." He dig out the money and put in his pocket (not knowing that I had pee on it). Then, he told, that money has to be earned, saved, and then growed. Boy, I was disappointed and angry with the so called wise old man.

As, I grow older, I started to understand it. Money, needs to be earned first. Then, you saved it for investment. Investment will assist to grow the money to multiple fold. What the old wise man implying was to start to plant the seed of investing, and then reap your money returns.

There are a lot of investment vehicles, out in the market for investment, be it Stocks, Mutual Funds, Gold, Silver, Commodity Futures, Option Trading, Forex Currency Trading and Property. However, we have to understand this investment types, and not to simply invest without knowing what you are investing. There are risk attached to each and every one of it.

With correct knowledge and proper managing portfolio, hopefully your money tree will bear fruits. However, there is one thing I wish to add on to the old man, that is, You need to take care the money tree, otherwise it will rot! i.e., Pick out the bad weeds (filter out bad investment), water it (constant investment) & nourish it (use fundamental knowledge to make sound investment decision through learning and learning from others who had made it).

After gaining experience and knowledge on making sound investment that bear good returns, "Money Does Grow on Tree!"

Toys, Is there an Alternative to Get it?

2009-09-25T21:49:00.000-07:00

It was a windy day, when I was strolling along a beach, during a recent trip in Melaka. I saw a couple was enjoying the beautiful beach with a baby (~ 2 years old) in a pram. What really caught my attention, is that she is making something out of leaves. I believed, it is the the type of leaves that we use to see when eating ketupat. I observed from far, but quite close by, and she noticed my observations. After a few minutes, Walla!, she made a windmill toy, and she showed it to the baby in the pram. The wind was strong, and the hand-made windmill was spinning very fast. The baby was delighted, giggled and smiled happily. I was curious, and I approached to ask her nicely to make one for me. Surprisingly, she obliged, and make another one for me out of ketupat leaves for me. Simple and yet environmental friendly.

On the way back to the town, I pass by a sundry shop, to buy some drinks. Next to the shop, is a video game outlet, showcasing the Sony Playstation 3, Xbox 360, Wii and others video game console. Curiosity kills the cats, I pop into the shop the check it out. The price tag is from hundreds to thousands range.

Hmm, this makes me ponder, a simple windmill toy can make a baby and the mother happy, without much cost, and yet we (ranging from kids to adults) are paying hundreds to thousands to buy the latest electronic entertainment gadgetry toys to get happy and thrilled.

I remember when I was kid, I used to play a game with a bunch of neighbour's kids, putting a " "Susu tin" can at one far side, and then throw our shoes to topple it down. The "Susu tin" can is free from a generous coffee shop owner, no cost at all, and we have lots of fun. We also make football out of old newspapers, and kicked along happily in this simple form of entertainment toys.

Dear readers,
What kind of toys do you buy for yourself or kids/brother's/sister's/close relative/own kids ?

Do you buy toys or make them or any other alternative to get it or do you have know how to get it at a much lower cost "Money Saving Tips" or at no cost at all?

Is there an alternative cheaper ways to enjoy things we want to enjoy?

Do share with us?

PS : Lantern festival is nearing, instead of buying, try to make lanterns with friends, kids & family, have Fun and Save Money!

Money Saving Tips #1:- Keep the old lantern, they can be reused and exchanged with other kids (with parents permission), no need to buy.
Money Saving Tips #2:-Don't chase after the latest Playstation, Xbox, go for the old but not so older/oldest version, which by then the price of this console should have been reduced drastically. If possible, buy second hand.

Car, it is a want or a need?

2009-09-22T05:42:00.000-07:00

One tea break, I was discussing with some fellow friends topics on owning cars.

Ashley was the type of fellow who want to chase after the trendy latest model.
He had a nice Honda Civic, and now he is thinking of changing to the latest
Toyota Camry, which he thinks is more executive stylish and suit his character.
He pays his car by the highest maximum installment as possible, to lower his monthly payment, and he is still doing that with his Civic installment.

Jenny is the type of non-fussy colleague, and she is happy with her Perodua Kancil, that she newly bought 10 years ago until now. The small little Kancil is in good hands with a contented lady. She paid off, with a 5 years car loan.

Mark is looking for a second hand Toyota Unser, as he is intending to swap his car with father's old 30 years old Nissan Sunny. He mentioned his father car is, now, in a bad shape. Currently, Mark owns a Proton Wira, which he wanted to give to his father as a birthday present. He intend to pay the Toyota Unser within 3 years to settle it as soon as possible.

Definition of wants and needs as in Wkipedia :

In economics , a want is something that is desired. It is said that people have unlimited wants, but limited resources. Each person has wants. You might want a laptop while your best friend may want a desktop computer. Thus, people cannot have everything they want and must look for the best alternatives which they can afford.

Wants are often distinguished from need. A need (such as food and shelter is something that is necessary for survival), whereas a want is simply something that a person would like to have.Some economists have rejected this distinction and maintain that all of these are simply wants, with varying levels of importance. By this viewpoint, wants and needs can be understood as examples of the overall concept of demand.
Some would say a car is a want. It is just a transport to bring you from A to B.
So, buy a cheap car will do. The best, is to buy a car that you need not an alarm system to safeguard your car. Maybe, the box-shape looking Juaraa will fit-in the bill. No need to lock the doors, nobody would steal.

Some, would say car is a need. It is a need to be inside a trendy stylish car to suit the owner. When driving it, will make you feel grand and you do travel in style, with the latest gadgetry that comes with it, of course, also to show off to friends who never had one, so that they could envy you. They will keep upgrading their car accordingly to the latest model.

Looking at the three colleagues of mine, here is one question,that I hope readers could contribute, is car a need or want? What type of car you would buy? How many years would you want or recommend to pay off the car loan?

Going to Get Married, but No House!

2009-09-19T06:49:00.000-07:00

I encounter one colleague who is going to get married to a guy. She has a problem. Almost all of her salary that she earned, went to feed her own family, ie. her father, her mother and brother. However, she wanted to get married and stay together with her future husband in their own house, as she do not want to stay with the parents-in-laws due to her mismatch of characters to the mother-in-laws. So, this means, they got to buy a new house, new furniture, new stuffs and items that can make the house decently to live in.
They got 2 cars to pay. One for herself and one for her husband.

Her problem is, how to buy her dream house, while she need to feed her own family & pay for the 2 cars (both her and her husband) ?

To, understand this problem further. Let me put some figures in.
Her income, $2500
Her hubby income $2800
Her car instalment : $500 per month.
Her monthly expenses : $800 per month.
Her money to family : $1200 per month (for house rental, food, utilities bill, etc)

Hubby income : $ 2800
Hubby car instalment : $1000 per month.
Hubby expenses : $1000 per month
Hubby money to family : $600 per month.

Target dream house : $200,000

Dear fellow readers, how can she find a way to buy the house she wanted? Please give some suggestions.

Multi level marketing

2009-09-16T07:44:00.000-07:00

Image credit : Peaches & Cream
Years had passed by, and working in the factory does not seem to make enough money these days factoring the inflation eating away the value of money. So, what's next? What could I do to increase my earnings? One day, while I was pondering over this question, a friend came by and approach me, asked me whether I am interested in a business opportunities. Wow, what a great coincidence, and I thought god is being kind to me, when I ask a question, there sure bound somebody will give me an answer. So, I asked, what sort of business opportunities, my friend is talking about. He did not say much, but do ask me to come by tonight to a place for business opportunities meeting. I had to meet up at downtown, for a small gathering of people, in a shop offices.

7pm, sharp, I was there, but can't find my friend anywhere. I observed around, most of the men here wear very smartly in overall black coat and pants, and so the ladies here, in red coats and dresses. Hmm...,
I was wondering, what are they doing exactly. Then, my friend came and explained to me that this is Multi Level Marketing Business Opportunities meet-out. I was kind of regret to come here, as I heard about negative vibes about this e.g. MLM will drain out a lot of your money. MLM are cheaters. MLM are get to rich scheme. I went through the whole night session and learn something about MLM company. It is not my intention to ask you to join MLM company, nor I am a promoter of MLM company, I am just quoting my observation and learning.

Observation #1 : MLM company are great motivational company. They are able to organise in such a way, to ask those people who had succeeded from the mid level or higher level, in a kind of hierarchy level, to come and give a speech of their success story and sharing, and also imparting some selling techniques to the floor. Free sales lesson & motivation you could get it here.

Observation #2 : MLM company had a educational system in place. Just follow their system and you be successful. They had a comprehensive system, like listing down your contacts, family members, friends, friends contacts. Very interesting, is that even an idiot who does not know about sales and marketing could also be successful by just doing accordingly to their system.

Observation #3 : MLM company make you rich by preaching Financial Freedom, and they do compensate you well, when you reach certain sales target and level e.g. car funding & house funding if you maintain your sales at certain level or achieve beyond it. They even give you free trips if you are qualified after hitting certain targets at certain time period. This really push you to do more, unlike working for people, you have less carrot in the workplace compared to MLM.

Observation #4 : MLM company is thriving with those who are fed up with their current jobs, or those people who are having financial problems or are in dire straits. They made very good story teller, if they are successful at the later stage, and it is really motivating to hear what they had gone through and made it to the top.

Observation #5: MLM requires you to network, the deeper the network, the better you are, the more horizontal network you had, the broader and more successful you could be in this MLM business.

Observation #6 : MLM works by having a portion of commission derived from your down lines. This is a kind of passive income derivation, after you had setup and build your people network.

So, all in all, MLM is great platform for those who like to be their own business and also very low start-up cost (the most is a few hundred dollars to sign-up and cost of their training package). As I mentioned before, I am not trying to promote MLM marketing here, as myself is not any of those successful MLM personnel. I find that some people can succeed in it and some, no matter how hard they had tried, they really can't fit in. I also learn that, it take a lot of commitment of time, passion and perseverance if really wanted to consider this MLM as a business opportunities. On the other hand, it is not a bad idea to do it part-time to try out whether it could work or not for you. After all, it is a business that you have to work on, you do it, you earn it, and who knows maybe it could generate passive income. Take it, as another way to increase income and also build passive income.

Any such near MLM experiences, please do share in this blog. What's your perception of MLM? Is it doable?

An insurance date with a girl.

2009-09-13T06:35:00.000-07:00

Years ago, after several months of working in the company, I came to know a new friend from the company I worked in. All of the sudden, he eagerly want to introduce his sister to me. Wow, I thought this is the chance of getting to know some girl, and I am the lucky guy to have a date. She made an appointment with me in a nice cafe in the town at night (What a bold girl!). I was excited and dress-up well to meet this girl. So, I made a call to her, and then we eventually recognized each other in the cafe. She dressed up neatly with her office coat, and was pretty with long hairs.

However, after exchanging each other company name card, I was sadden to see that she is an insurance agent. So, you guess it, we talked about the insurance the whole night. Though a little bit sad, however I learned some stuff from her about insurance protection.

We ought to buy insurance to protect ourselves in the event of Total Permanent Disability (loss of limbs, fingers, and so on...) or Death. This is at least to repay back to your parents or love one, in case you are gone from this world.

You buy insurance as a form of forced savings, at least after some period of years, you could take back the cash value of the insurance (although it will not be a full amount, as some charges of insurance fee is deducted from the premium).

There will be a chance of investment growth as in investment linked insurance (as you could chose which type of units trust investment to invest).

Insurance is deductible item in your income tax (as in my country). Instead of paying more tax, deduct it.

The younger you are, the premium will be lower compare to those 5year or 10 years older than you.

You buy insurance to protect your car, in case of loss, how come you do not buy one to protect your own self.

Finally, after her constant persuasion, which somehow make logical sense to me, I bought a $100,000 insurance coverage from her, and put my father and mother as the beneficiary of this plan in case something happens to me.

Do you have any of these insurance experience to share? Tell me what do you know about insurance and what makes you want to buy?

Being broke at the end of the month!

2009-09-08T07:38:00.000-07:00

After years of schooling and studying in university, then come to the time, I have to find a job, that is to earn an income and then hopefully I can feed and stand in life by own self. I work with a starting pay of $1,700 working in a factory. Thereafter, I purchased my first car, spending over half of my salary contributing to the car $900. Then, came in entertainment with friends, gas and maintenance, another few hundred more gone. Buy and eat things as per my liking, more cash gone. At the end of the month, I have nothing to show for myself for I have neglected the importance of financial education and adhering to the simple principles, of saving, investing and protecting it.

Is this the kind of life that you want? Share with me, your experiences, on being broke at the end of month.

Study in University "Lesson Learnt"

2009-08-31T04:13:00.000-07:00

I recalled the days of studying in university, and it is a UK university. It was a lot of funs, joy, learning and mixing with different foreign students. Majority are from Britain, Singapore, Malaysia Hong Kong, with some from country like Pakistan, Germany, Sweden, China. Good life, and no need to worry about money. Leave the money problems to my parents. However, as I grew older, and a little bit wiser, I realised that money education is important. When I was in university, I spent money base on my liking. I never ever consider what is needs and what is nice to have? I do not know about frugality, as I have no worries of money problem (thanks to my parents). When I came back to my home country to work, I pick up the same usual spending habit I have gather in UK, with even my salary I earned from a company, hardly could survive me.
I started to do a self-reflection, and only I realised that I have to control my spending, then I will be able to save and get by. After practising this habit for some months, years, and now it is already ingrained inside me, I felt much better financially than compare previously before.

Have you any such experiences you had while you are studying? Share your experiences and lesson learnt.

What is not taught at school, "Personal Financial Education"

2009-08-30T06:03:00.000-07:00

Majority of us, who have the opportunity to get educated, learn about language, science and maths and other interesting subjects available and thought in school. You went to get your honours degree and some further specialisation to PhD. We celebrated out first graduation day from university, and got employed in a reputable company that pays you a decent salary to get by.You get our first car, first girlfriends/boyfriends (maybe not the first, but probably after a dozen of them, some do finally become our spouse), get our first marriage, home and children. Along, this path, there comes an issue, that is always not enough to get by. What is that? Money! Yes, money, “the paper which is back up by government” is not enough for buy you the things that you wanted, and the needs that you wanted as you live through life. Why it is happening to us? It all boils down to one important subject, that the school forgot to teach, that is Financial Education.We are not taught to how to keep, grow and protect our money, thus leaving us broke at the end of every month, thanks to powerful mega sales and attractive offers, we are always tempted to spend beyond our means.Therefore, I open up this blog to share, and also welcome sharing of others own experiences on personal financial education to live wiser, free of financial worries and happier. Learn from the experiences of others, get advise from those who had made it “Financial freedom”. So do you have any painful or bad financial decision that left you to a direstraits to be shared? Please do post it in the comment.

Disclaimer & Terms and Use

2009-08-30T03:26:00.001-07:00

"Disclaimer"

It is not a recommendation to purchase or sell any securities, businesses or investments discussed herein. The blogger of this blog are not stockbrokers, broker dealers or registered investment advisors. The blogger do not recommend any particular stocks, investments or securities of any kind. If particular stocks and investments are mentioned, they are mentioned only for illustrative and educational purposes.Although the blogger have made the best efforts to provide the most accurate and up to date information, no warranty or guarantee is given regarding the accuracy, reliability, veracity or completeness of the information provided herein. The blogger of this blog disclaim any responsibility for any liability, loss or risk, which may arise as a consequence directly or indirectly from the use and application of any of the ideas, strategies or techniques from the recommended list of books, ebooks, ezines and other digital informational media. The author of the blog shall disclaim any responsibility for any liability, claim, loss and risk that arises out of this. The information contained in this course is strictly for educational purposes. The author do not guarantee any financial results or investment returns based on the information contained herein in the blog. The author suggest that you consult with an independent licensed financial advisor or stockbrokers prior to embarking on any investment plan. The strategies outlined here may not be suitable for every individual and are not guaranteed or warranted, whether implied or expressed, to make or produce any specific results. The advice, ideas and suggestion are written as a general guide and information, and that specific professional advice and consultation may be necessary. No warranty whether implied or expressed is made with respect to the reliability, suitability accuracy, adequacy, applicability or completeness of the information contained herein, and the author of the blog specifically disclaim any responsibility or liability for any damages, lost profits, losses or risks, whether personal or otherwise, which is incurred as a consequence, whether directly or indirectly, of the use and application of any of the contents of the materials and informations herein, and also any other books, ebooks, ezines and other form of media of information mentioned in this blog. The author will also disclaim any responsibility or liability for any damages, lost profits, losses or risks, whether personal or otherwise, resulted from the use and applications of any external referred website.All links are for information purposes only and are not warranted for content, accuracy or any other implied or explicit purpose.
Terms and Use
Please read, understand and agree to be bound by these Terms of Use and Conditions before using this website.
We reserve the right, at our sole discretion, to change, modify, add, or delete any portions of these Terms of Use and Conditions at any time without further notice.
If you do not agree to abide by these or any future Terms of Use and Condition, kindly do not attempt to use or access this website.
Please understand that we do not guarantee the quality of products advertised in this website. You are solely responsible for verifying the accuracy of information, photos, messages, notes, text, information, music, video, advertisements, listings, and other content that you find in this website. We are not responsible or liable in any manner for any Content or Third Party products advertisements posted on the Site. We are not responsible for any technical malfunction or other problems that may occurs when using this website. In no event we will be liable to you or any third party for any indirect, consequential, exemplary, incidental or punitive damages.
This Site is intended solely for users who are 18 years of age or older. Access to the site by anyone under 18 years is unauthorized, unlicensed and in violation of these Terms of Use and Conditions.
This website is powered by Amazon®, Adsense™, Ebay®, Yahoo!® Answers and Youtube™. All content on the Site and available through the Service, including designs, text, graphics, pictures, video, information, music, sound and other files are the property of their respective owners. No Site Content may be modified, copied, distributed, framed, reproduced, republished, downloaded, scraped, displayed, posted, transmitted, or sold in any form or by any means without the prior written permission from the content copyright owner. All trademarks, company graphics, logos, designs, icons, product names are copyrighted by their respective owners