The big decision
money always flows in the direction of standard. Ok, maybe this is me talking from a professional standpoint because some small businesses that may be just a standalone kiosk can see a better profit over one who is something more bigger and time consuming.
For instance, a good business PoS outlet can make let's say 6K to 10K profit daily and when you want to look at the total business worth in terms of equipment or facilities, we are just talking of a Kiosk, a chair, PoS machine and maybe a monthly space rentals of around 3K and a rough street task let's say another 3K. The final thing to add here is his investment capital; cash at hand or in the POS machine.
Does that look much, let's say, let's assume 500K is enough to establish that business, using 400K out of it as payment capital. Maybe we should also look at an analysis of a road side akara woman. Her expenses may just be a small space, big frying pot, a gas cylinder or the local use of firewood with some containers and business is set.
Ok, we can add the oil and the needed beans for the production. What am I saying here, this thing doesn't tally much as compared to its daily generated revenue. Some of these women also hit that range of 6K to 10K (outside expenses) daily if not more.
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Coming back to a professional stance, how much was even invested in. We can talk of a business and its entire facility tallying around 3 million and not able to hit such steady capital. As an entrepreneur, we speak from experience. This is not basically about incoming, it is also about what is left as profit after every necessary substitutions are made.
It can be very surprising, total incoming can be 30K daily for instance and you are struggling to retain 3K to 4K as profit. It is most common in the hard industry, where energy is inevitable. When talking of energy, it can even be a two way (human sustenance for efficiency and machines also) and if I want to expand more it goes external to logistics.
How about the cost of the main material for production and the side items that make up the entire production? It is a calculation that can wear one out. I was just going through one of our business streets in the city and I was seeing people and transactions up and down. Without doubt cash was flowing and I personally had to reflect back to my own brand of when I will be seeing such inflow.
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Nevertheless, there was a flaw in-between; anyway it is something that may not look like it to many. The owners of the businesses and the workers have to put in the time and energy from morning till closing. If you are to ask me, I am not planning to be locked down by a business no matter the profit.
Yes, we ALL have our own decisions in life. One should not appraise me for being a good business man because I stay there from morning till evening.
To conclude Ok, my jealousy (sorry we are humans, at times it happens very unknowingly) , if I should say, went down as I began to think through these things. In short, I ended up having to pity them even with the profit they are making. Same goes with that akara business and POS outlet. I would have opened and run one POS outlet by NOW but it boils down to, will you sit there from morning till night for profit?.
I long to be an entrepreneur with a difference, a professional entrepreneur goes beyond sole proprietorship; he has to learn how to create a flywheel that operates outside his existence. My decision in business is to be part time and I have to keep cracking my brain to make sure it stands out just as it ought to be.
This is an article covered by dani-EL; a broad niche writer. I write on faith, life facts and daily living, business and economics, small scale and daily businessing, cryptocurrency and technology. And yes, I do cover articles on financial education and investment updates. And note, if I happen to be a financial adviser to you, the TOP financial advice should be ‘DYOR’ (Do Your Own Research), I can't afford to break your heart.
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