Wednesday, May 13, 2020

KES 50M without breaking a sweat

You are a 40 year old Kenyan.After working hard after School you now have KES 10M in your bank account.What is your calling? Let it be. Keep on doing whatever it is that made you the KES 10M.

I can show you how to invest that 10M in a low risk vehicle so that you earn KES 67000 per month this year.The catch - forget about that KES 10M. Work as if it never existed and pay your bills. 

Keep your wife and children happy and comfortable. Most probably you do not need an extra KES 67000 per month right now.Keep plowing this interest back into that passive income stream.





Fast forward to the future you at age 60.You have escaped Corona Virus, Cholera and Coronary Artery Disease.You are as fit as a fiddle with many hours in the gym behind you and grandchildren to make you chuckle.

At 60 years your 10M has swollen to KES 47M and you are earning KES 318,000 per month as an additional passive income stream.You don't even think about it as you drive your golf cart down the fairway of a prestigious golf course.

Life is good.You only live once.Choices have consequences.Do not do it yourself.Contact a Financial Advisor to walk you down the path of Savings,Investment and Risk Management.Thank me later.

About Dr Melvin D'lima
Melvin is a Financial Advisor with Britam. He guides his clients in making prudent business, savings, investment and risk management decisions so that they can sleep well at night.

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Sunday, May 10, 2020

Education can be pain free during a pandemic


Are you happy with the Public Health System and its response to the COVID 19 pandemic. Let  us leave the Ministry of Health alone for today. They have enough on their plate. As a responsible citizen do your bit and follow their advice.

We will consider the Public Education System, which like the health system has public schools and private schools.Schools are two tiered for the private and public sector.The latter is supposed to be free but that will be a topic for another day.

George has children in a high cost private school – the school like others of its type, reduced school fees by 20 -30% even though the school is closed due to the pandemic. They rapidly deployed their teachers to provide online teaching , which is apparently more demanding. Lunches, clubs and other exotic activities are not costed any more but the teachers have to be paid and the expansive grounds have to be kept in fine fettle. By Gods grace George has managed to pay their fees.
Gladys is a teacher in Nairobi based National School. She and her fellow teachers are providing distance learning. The School is not collecting fees from the parents. Not all the children have access to internet.

Muthoni’s daughter is in Grade 1 in a Nairobi County Primary School, one of those European only schools, left behind after independence . The Kenya Institute of Curriculum Development has ostensibly arranged to have teaching done on Radio but there are no assignments. Muthoni is at sea. She has not paid fees and her child is not benefitting from the Public Educatio system

Which school would you want your child to attend? See the attached fees of one of the best high cost schools in Nairobi. Whichever school you take your child to some financial planning is required. This is the best time to think of getting an additional education policy for your child.The fault lines in the socio-economic classification of schools have been thrown wide open. You get what you pay for. Your child gets the education that you save for.



Dr Melvin D’lima is a Financial Advisor with Britam. He helps parents secure the future of their children by advising them on appropriate educational savings plans.

Saturday, May 9, 2020

How to produce and perform in a crisis and influence your teams

Mid-March 2020 the ground shook, in Kenya. There was a new bug in town. You had an abrupt welcome to the new normal. Work from home and social distancing hit you, the SME founder, between the eyes. We all retreated to the drawing board. 


Firstly, you had to accept that you had lost some measure of control. You took a step back and reflected on your new reality. You had a meeting with yourself and rehearsed what you would tell your significant other and the children. After getting that done, you went to your staff and suppliers and told them what this would mean to them. So far, so good. 

Deal with your internal customers and then deal with the external ones who pay your company. Talk to your bank, insurance company, landlord and every creditor. While you are at it talk to your debtors if only to keep communication lines open. In a crisis like this pandemic, you must keep your wits about you.

In your quiet time reflect on the status quo, reassure yourself that this too, will pass. Then get into a routine. You must become a leader of your team or teams. Do what every leader does in a crisis - lead by example. Lead yourself first. Develop a communication strategy. What will you tell yourself before you encourage others on a daily basis?

You are going to have to deal with people, like it or not. Keeping them productive and getting them to perform will require you to dress up every morning. Have remote meetings with them. Make sure they are up to speed with communications and technology. You are going to have to make some hard decisions. You will have to lose some people on your team simply because you can’t afford them. Those you retain will have to redefine their job descriptions and deliverables. You are all going to have to acquire new skill sets. Do a couple of courses online. Many are free.

Let us examine the case of a Kenyan Accountant. Pre COVID-19, CPA Njambi was looking to increase her production and grow her practice. She chose to break her normal routine, to seek help, so she could share her expertise and authority with more people in her community.

Njambi loved the idea of having more clients in her life, but as a trained Accountant, she didn’t know how to market herself as an expert and authority.

Like many successful Accountants, she understood how to create a consistent schedule and make decisions in favour of her clients — but she never had to wear the “marketing” or “sales” hat.

Like it or not, marketing and sales are pillars of a strong and healthy practice — for an Accountant providing Auditing and Accountancy services, they are even more vital. Marketing is an important part of any business. It is not the only piece in the puzzle

Njambi wanted to broaden her understanding of practice growth so that she would never have to jump from client to client again. She wanted to step into the authority space on the right foot, filling her portfolio with her ideal client.



Then came the pandemic. She had to shut down the office for a while but bills had to be paid. She developed her own surface dis-infection and distancing protocols and opened shop. It was time to revise her entire business model and service delivery channels.

Njambi has joined a program that we run at Passion Profit designed to create her Best Year Yet in 4 key areas of her life namely Talent, Profit literacy, Family and Legacy building. We are excited to be working with Njambi and she is already making great strides in her action plan in these areas. We hope to ensure that Njambi has an impact on all the people that she serves at work and at home.


Thursday, May 7, 2020

A Dentist who wants her impact to go viral


Mid-March the ground shook. We retreated to the drawing board. What do we have in terms of people, processes and procedures? How have our patients reacted to the same changes and market forces that have affected us as dental solution providers?What are we going to do differently


Pre pandemic, Dr Njambi was looking to increase her production and grow her practice.
She chose to break her normal routine, to seek help, so she could share her expertise and authority with more people in her community.

Dr Njambi loved the idea of having more patients in her life, but as a trained dentist, she didn’t know how to market herself as an expert and authority.

Like many successful dentists, she understood how to create a fairly consistent schedule and make chairside decisions — but she never had to wear the “marketing” or “sales” hat.

Like it or not, marketing and sales are pillars of a strong and healthy practice - for a dentist selling complete and comprehensive care, they are even more vital. Marketing is an important part of the dental business. It is not the only piece in the puzzle

Dr Njambi wanted to broaden her understanding of practice growth so that she would never have to jump from patient to patient again. She wanted to step into the authority space on the right foot, filling her schedule with her ideal patient.

Then came a small virus called SARS-CoV 2.Dr Njambi had to shut down the clinic for a while but bills had to be paid.

She developed her own surface dis-infection and personal protective protocols and opened shop. It was time to revise her entire business model and service delivery channels



Dr Njambi is joining a program that we run at Passion Profit designed to create her Best Year Yet in 4 key areas of her life namely Leadership, Profit literacy, Family and Legacy building

We look forward to working with Dr Njambi in using design thinking to craft the life that will bring out the best in her.

Friday, May 1, 2020

Three men planning a legacy and the new normal



Mwenda turns thirty years today. Well-schooled and travelled, he is the consummate planner. Married with one child and another on the way, he is well on his way to achieving his goal of having a KES 10M or USD 100K investment portfolio by the time he is forty. He looks at me straight in the eye, without batting an eyelid and says “I want to have KES 10M at the end of the next 10 years, I want to be Financially stable. To be stable and have KES 10M, I must do the smart thing. I need to change my Business model, my savings and investment actions and manage risks. This has never been more important than now, with the COVID 19 disruption in our lives, at individual and state level”. We each reach out for our coffee cups and slices of Black Forest cake. We are on a Video call. The new normal. Mwenda, like me, is a prudent spender. He can be generous though, within his strict personal budget. He teaches personal finance. I am learning at his feet. He doesn’t need me to guide him in any way. It may well be the other way round. From the mouths of babes and all that.

Kamau is a well-paid Banker. He is in his thirties. He works in investments. Kamau only gave me an appointment because I am older than him and a friend of his Father. He eyes me with that “know it all look”. In the background, his children are kicking up a ruckus. We ignore the brouhaha. He knows interest rates like the back of his hand but he listens respectfully. At the end of my pitch he declares “When I retire, at 60 I want to have 60 Million.” I nod in agreement and ask “What will you be when you have 60 Million?” He replies, a tad quickly “I will be fulfilled and will be consolidating my savings, investment and legacy.” I tell myself “This guy seems to be winner.” I then ask “What have you done and what are you doing to ensure that the 60M becomes a reality?” He becomes cagey. Appearances must be maintained. “I have a life Insurance policy”, he replies without talking about the premium or sum        assured. I let the omission ride. He switches the conversation to interest rates and how his very bank has moved into Insurance products. I manage to convince him to consider a Wealth management fund of KES 1M for starters. As he signs off he says “Call me Friday week.” Kamau is not picking up my calls. Naturally Kenyans do not answer emails. I have not given up. I will keep in touch with him. I am determined to help him craft a legacy.

Shiundu is a Consultant Doctor in his early sixties. He is sharp as nails. He is at home. His Bose music system plays classical music quietly in the background, as he toys with his pen. I have in the past, successfully convinced him to invest  KES 2M in a Money Market Fund. Now that we are in pandemic panic mode he wants to invest in USD since he predicts that the KES is going downhill in value. I say “Dr Shiundu, things are so dynamic in international money markets that I would be cautious about investing in USD. Note that China has started piloting a digital currency, the e-RMB in 4 major Chinese cities. This means that the Yuan will not be pegged to the USD. Guess what happens to the USD after this. Let us put our faith in our very own KES and watch as things unfold. Shiundu put on his intelligent Doctor face but was skeptical “I will wait and see.” He thought about the 50M KES that he had invested in real estate and wished he could liquidate it immediately. Relatives were already trying to shake him down for emergency funds to buy food in his village in Western Kenya. Dr Shiundu needs another video call from me I thought as I bid him farewell. I  said “That is it for today, Dr Shiundu, we shall meet again, soon, to discuss what you want to be, what you want to have and what you have to do. This pandemic will go away but your legacy will live on. Let us craft it together.”