Financial Leadership

1. FINANCIAL LEADERSHIP

2. BEGINNING YOUR JOURNEY
TO FINANCIAL LEADERSHIP
TO BEGIN YOUR JOURNEY TO FINANCIAL PROSPERITY, YOU
NEED TO BE FAMILIAR WITH THESE TWO KEY WORDS AS
EXPLAINED BELOW:

3. Money - Consciousness:
I have discovered that many of us have limiting
attitude and beliefs about money.
Some of these are culturally widespread – for
example

4. ‘money doesn’t grow on
trees’ meaning ‘money is
scarce and difficult to get’,

5. ‘money is the root of all evils’
meaning ‘being rich equals evil’,

6. ‘money is dirty’
meaning ‘rich
people are
crooks’,

7. ‘you must have money to make money’ meaning
‘without having money, you can not be rich’.

8.  Correcting your attitude and beliefs about money is
one of the most important secret to wealth creation.
By money consciousness, I mean how you think,
believe and feel about money.
 There are two consciousness about money I have
observed over the years,

9. Prosperity Consciousness Scarcity Consciousness

10.  People with a prosperity consciousness know that
there is a limitless supply and all they need to do is
receive their share, while people that were infected
with scarcity consciousness virus always feel needy,
deprived and inadequate.

11. What Is Money?
 Money is defined in a lay-man language
as a means of exchange, a measure of
value, and a store of value.
 Money is used to power exchange
between people, similar to what is
experienced in human relationships.

12. WHY IS MONEY VERY IMPORTANT?
 Please turn to the next person beside you and ask if s/he needs
money. What did he say? I am sure his answer is YES!
 Do you have a brother or sister in USA? Ask him/her if s/he needs
money. No doubt, the answer will be YES!
 Ask every body around you, the answers will be ……YES! YES!! YES!!!
Everybody needs money, including myself.
 Even the people in the banking hall, where this money is kept are still
looking for money.

13.  Have you ever wondered why so many people spend so much time
worrying about money?
 Why do millions of people get up every morning and go to work for
8 or 12 hours a day?
 Money is a means of exchange, a measure of value, a store of value.
 Money is energy of exchange between people.
 The simple answer to the question “why is money so important?” is
because human wants are insatiable.

14. THE CONCEPTS OF
WEALTH CREATION

15.  Wealth can simply be described as your ability to sustain
“a lifestyle”, to spend money on whatever you choose
without depleting your cash flow.
 This can only be achieved if, through careful planning, you
are able to subsume all your expenses within your income
and live comfortably without working for the rest of your
mortal life.

16.  Please, try and measure your definition of wealth in time.
Take for instance, if you loose your job today, how many
days can you survive based on your assets?
 This should be a food for thought for you if you are
employed, what are you investing your income on?
 You must have assets generating income to cover all your
monthly expenses, that is how you can be independently
wealthy.

17. What are Assets and Liabilities?
Liabilities are money
consuming properties.
Things that take money
out of your pocket i.e.
personal belongings
(Clothes etc), cars etc

18.  Assets are income
generating properties.
Things that put money
into your pocket i.e.
skills, special abilities,
businesses etc

19. what is your Net-worth?
 Net-worth is calculated by subtracting your liabilities from your
assets. You may be a high income earner yet be a low net-worth
individual. This means that your outflow (expenses) is greater
than your inflow (income).
 On the other hand, you could be a low income earner and have
a high net-worth. This means that not only do you live within
your means, you succeeded to create surplus at all times.
 This is the best way to create wealth; you use money to create
more money.

20. THE PROVEN LAWS OF
MONEY
THERE ARE FOUR FUNDAMENTAL LAWS THAT GOVERN THE CREATION AND
SUSTENANCE OF WEALTH SINCE HUMAN HISTORY

21. The Earning Law:
 This law states that you make money by working,
to receive money in return for work done. All
human wealth is created by the human mind.
Wealth creation starts with a thought which then
comes into manifestation. Your desirability and
ability to generate money or increase your income
is dependent on this law.

22. There are two basic ways to earn money:
 Linear Income: this occurs when you sell your
time for money as obtained in paid employment.
You get a fixed number of money for every
period of time you sell. Linear income means you
work once, you get paid once. Whoever pays
you owns your time and direct what you do and
how you do it.

23.  Residual Income: when you own your own business
or have money work for you through investing in a
venture or financial instrument. You work once and
get paid a thousands time, you can also get paid
part of the work of others. You need to grow a
“money tree” so that the fruit from there will feed
you in all season!

24. The Saving Law:
 This is the law of creating deliberate surplus by consistently putting
away a portion of your money. Paying yourself first is a cardinal
principle of wealth creation that insists that you set aside at least
9% of your earning as payment to yourself. This deduction is not
meant to be spent but set aside to work for you.
 Another way to do this is to apply the method of “delay
gratification” against “instant gratification”. Many people when they
experience increase in their profit, they instantly increase their
personal consumption at the expense of the business. They grow
in stomach while the business suffers in debts.

25. The Spending Law:
 This is the law of exchange (value) between two or
more people, the process of outflow. This is the law
that governs all human interactions, money being
an aspect of it. You use money to purchase “value”
that makes meaning to you.
 There are three helpful techniques that support this
law:

26. Getting out of debt
 Getting out of debt because only what you own,
without debt, is truly yours. Avoid getting into debt
by borrowing. I will not say much on this, it is
simple English. Debt can disorganize your financial
plan…..avoid it.

27. Tracking your expenses
 Tracking your expenses - you must know how and where
your money goes. Keep financial record, either at home or
at your business.
 When you keep records of your spending, it will help you
to monitor your spending and know when you are been
extravagant.

28. Budgeting
 Budgeting – always plan your spending in advance. Has it
ever happened to you that you begin to wonder where and
how you spent some money after the whole money is gone?
 I have experienced this in the past, and then I realized that
money can only be spent on whatever it met on your
spending list. If it met nothing, you will end up spending it on
nothing.

29. The Investing Law:
 This multiplies the surplus created through savings i.e.
converting passive value into active value which leads
to wealth. Put your money where it works for you.
 Note that for every naira that comes your way, there is
a seed in it. Plant it. If it is N1000, take a seed of N90
and invest it. Or save it till it becomes a mighty ocean,
ready to be invested.

30. In Conclusion:
• Stop Wishing – Start Doing:
Don’t wish anymore! Get on the ball
and start reaping the rewards!

31.  “When I chased after money, I never had
enough. When I got my life on purpose and
focused on giving of myself and everything
that arrived into my life, then I was
prosperous.” – Wayne Dyer

32. THANK YOU