By Rumbidzai Chiriseri
The Buy Zimbabwe founder and Minex Chairman Munyaradzi Hwengwere has urged youths not to forget the sole purpose of the money they are making in their businesses.
Speaking during the Covid-19 Business lessons yesterday, Hwengwere said, ”We are still in the new normal and from last week you have a better sense of your market. Guess where business fail, when money gets into your pocket, how do you keep that money?”
He gave an example of his friends who diverted investment funds to personal use instead of building their company as per business plan.
”A few years back, my friends ran into a beautiful business opportunity. They were one of the first companies in Zimbabwe to get proper value and the market responded very well to their idea. They got the money from the banks. With that money, they forgot one thing. That money was meant for an investment.
”Every week like most young people they used the money to buy brand new cars. Every Friday there was a band, they had the best of times. Sure enough, the money that was directed to building houses was now converted to having a good time. That company went bankrupt. Their business collapsed, even though they were in the business of building houses none of them had a single house,” he said.
He noted that business is not a sprint but a marathon adding that one can make money today but can loose it tomorrow. He said money and the way one keeps it is very important.
”If we’re talking about money we’re dealing with two things. Cash flow, how much money are you generating and is that cash flow sufficient to oil the business on your day to day business. Profit is the difference between the expense and what remains. So, making money makes sense, but keeping it is the essence of any sustainable business,” said Hwengwere.