The Executive Director of Civil Society Legislative Advocacy Center (CISLAC), Auwal Musa Rafsanjani has stated thatone of the key factors that can shape an investor’s financial direction and rate of progress is the income stream the investor is able to generate.
Rafsanjani in an exclusive interview with Daily Independent, said the income stream of an investor creates a potential, which if well-managed, should move him/her progressively towards a strong financial goals.
He said: “the income stream of an investor creates a potential, which if well-managed, should move the investor progressively towards a strong financial goals.
“The Income-generation alone, obviously, will not save the day, because many things could go wrong with the income you generate, irrespective of the size. That’s why the spending plan of the investor is also a key factor, just as much as the investment strategies. For many though, the challenge of creating income, which is a critical step, is a daunting one”.
According to him, the income planning component of an investor’s financial plan must be approached with that understanding that it is a major ingredient of the success aspired for by the investor.
“When you as an investor have been able to plug some earnings into some good investments and achieved a level of diversification, your income sources will multiply while the inflow begins to grow. But before then, you have to struggle to earn enough income to help you programme your advancement into that autopilot status”, he said.
Skills To A Strong Income Rim
Rafsanjani gave following three key steps an investor could take to boost quick return to income-earning capacity:
Get A Basic Skill
He said an investor needed a basic financial step expertise is the most important step must take to guarantee an income.
According to the CISLCA boss, the income a potential investor earns will come from the readiness of other people to pay for a product or service he/she provide.
“To achieve that, you need a skill that helps you deliver what others want but can’t provide to themselves. Choose one and specialise in it: trading, medicine, art, teaching, welding, tailoring or whatever. It’s limitless and the choice is simply for the investor, based on his/her endowments and passion”.
“The only way a potential investor can have an edge that commands economic advantage is by being at the top of his/her trade, which is what the expert edge readily guarantees for the investor”, he said
Learn To Sell
He said selling is also a skill, which the potential investor must specialise in. The investor may not be a specialist in the field, but to optimise the earnings potential in whatever field, there is the need to acquire the ability to sell.
“A doctor sells his professional expertise to patients who pay for his services. A politician sells his ideas, personality and party programmes to the electorate. Musicians, footballers and indeed, everybody in the business of earning money all sell what they have to offer”.
“Engaging the services of sales personnel and marketing experts will just be fine when the investor can afford that, but sharpening his/her personal skills will help, especially when the investor cannot pay for a marketing service.
“Complementing the basic skill of the investor with selling skills advances another major notch towards ensuring a healthy inflow of income. That’s what will readily put the needed income stream into a robust shape”, he said.
Financial Management Skills
On financial skills, Rafsanjani said there is the need for a potential investor to round off his/her success strategy for income-generation by devoting some attention to acquiring personal finance and general financial management skills.
He said: As an investor, you don’t have to be, but you need some basic knowledge that can empower you to really achieve full control, not just over how much and what income you generate, but also how you put all that to work to further expand your financial capacity. Everything you do eventually boils down to money or has financial content.
Source : Independent