Thursday, September 27, 2007

HOW TO BECOME A BILLIONAIRE aka very very rich anywhere in the world

The Forbes 400 list just came out. For those who don’t bother this is the list of the 400 richest people in America. (Forbes also does a Global list).The big news is that US$ 1 billion is ‘too small’ to get you on the list.

On your quest to US$1 Billion the how to’s are:

Look for opportunities in Economic or Social upheavals

The Russian oligarchs-Abramovich, Deripaska, Berezovsky and their ilk come to mind. One day in the nineties the Russian communist system imploded. The system became free market and the Government privatized hundreds of industries, sectors and workers who had never heard of Wallstreet were given share in their factories.

The clever Russians made money in 2 ways:

1. Buying the Share Certificates for peanuts from the workers. Similar to how some sly characters bought Mumias Sugar shares from poor semi-literate farmers in Western Kenya for Sh 1.50 a share when the market price was Sh 7.00.

2. The cleverer ones just bought State resources from the Russian Government for a song. Just like someone wanted to buy Kenya-Re for KSH800 million 7 years ago. Don’t forget 40% of Kenya-Re was sold recently for Ksh 2.2 Billion.

Closer home the liberalization of the Economy in the early nineties provided opportunities for Kenyans to become super wealthy.

Take a risk

There is no way you will become a billionaire without taking a risk. When SAFARICOM and KENCELL(now CELTEL/ZAIN?) came to Kenya they had a hectic time looking for major dealers for airtime. Many people were skeptical, they doubted that Kenyans could buy phones at Sh 10,000 and Airtime at Sh 500(there was no Bamba 50 or Sh 250 card).

At present all the main dealer slots are filed up and you can't join the club.

Richard Rainwater took a risk in buying into the Oil sector when Oil was US$15 a barrel during the Dot-Com boom but who’s laughing now. Everyone thought he was nuts, Business Week even did a cover calling him a Dinosaur.

Grow a thick skin

On your way to the top you will face many challenges . A thick skin helps overcome all the hurdles.


pesa tu said...


Ssembonge said...

I'll settle for $1 million. No need to sweat it out for the other $999 million.

pesa tu said...

In that case discipline,patience,thrift and hard work r what u need

mwasjd said...

The sweat route is too ngumu, I still think one can lie and wait for the opportunity, like those of picking good stocks in a depressed mart or buying companies being disposed for a song because you can see into the future...

pesa tu said...

@mwasjd:Thats the Billionaire thinking.