Author Archives: Henryonyedika

It is no news to us, that real estate is one of the leading profitable Investment in the world. According to research, it is estimated that the whole world real estates reached a whooping sum of $325.5 trillion in 2020. You can see from this few point how profitable it can be. Let’s get into the real concept of real estates.

What is real estate?

In simple definition, real estate is the buying, selling, leasing of properties such as residential houses, land, warehouse etc.

Real estates has been part of so many billionaires wealth. It paves way for opportunities and long term financial success, depending on how keen you were to see the opportunities that lies in it. The world population is increasing as the day passes by, which basically means that so many people or family we need a residential house. Real estates has been profitable over the years and we continue to be in the long run. You can build a residential house or develop a particular area then afterwards you can sell or lease them for a higher profit, which will give you a good ROI(Return of Investment).

Those who have invested in real estates, haven’t see the need to regret their actions because of its great value. Investing in real estate is not for the faint hearted, because of the risk attached to it. Don’t get discourage because in any business you do there is risk attach to it. One unique thing about real estate, you can start small with zero capital. With the wealth of knowledge you have about the industry, you we reap the profit !!!.

HOW YOU CAN START A REAL ESTATE

1.REAL ESTATE BROKER: If you don’t have enough capital to start as a developer, you can act as a middleman (agent) between the buyer and the seller. If you are able to get a client who buy’s a house or other properties, you can get a commission from the sales. For example, if you are able to find a client who purchase a house worth $500,000 you can get a commission as close to $30,000 or above.

2. LAND FLIPPING: If you are able to purchase a land, ensure you buy as much as your financial capability can carry. Land is a very valuable asset to acquire. If you are able to buy a land at a cheaper rate, it can be sold at a higher rate after few months or years. For example, Mr A bought a land for $300,000 and after a year he sold it for $700,000, that is a huge ROI. If the area or location you bought the land start’s developing after few months, you are in for a massive profit.

3. REAL ESTATE DEVELOPER: Real estate development is capital intensive. If you have the capital to start building houses or developing a particular location, you will have a huge profit when you starting selling or renting those houses or properties for a higher price.

NOTE: Don’t place an exorbitant price tag on your properties, understand the real estate market on the property you are about to sell , so you won’t chase client away.

For business contact: henryonyedika70@gmail.com

Before we dive much into the topic, let us understand the term “holding“. The simple definition of the word “holding” means being in possession of something or a stock.

A holding company is a company, whose main purpose is to own a share in a company or have a controlling stake in a company without rendering any services or manufacture any goods. The company a holding company has controlling stake or share is called “subsidiaries“.

Holding company is a very good and profitable investment to invest in, if you are financially stable and have the right person to manage it for you. Holding company is usually a cooperation or a limited liability company (LLC). Holding company can be beneficial if you have a variety of businesses. A good example of a holding company is a conglomerates, which involves diversity in operations.

WHY YOU SHOULD INVESTMENT IN A HOLDING COMPANY

1.PROTECTION OF ASSETS: A holding company do hold valuable asset of a business or it’s subsidiaries. The business or subsidiaries then run the daily operations of the business. The asset’s held by the holding company is protected from creditors. If the business should incur any debt it won’t affect the asset’s held by a holding company.

2.REDUCE RISK: If a holding company owns any valuable asset’s , it is been disintegrated from its subsidiaries or operating company. If the operating company should face any loss it won’t affect the asset.

3.MINIMIZE TAX: A business or operating company can receive tax deduction, if a holding company has a share in the business. The tax the company or subsidiaries has to pay as a whole has been split to the holding company. Therefore the operation the holding company cover’s won’t be involve in the whole operating company tax.

4.MANAGEMENT CONTROL: If a holding company have 50% share or above In a company, it has every right to be involve in the decision making process of the company.

PROFITABILITY: Holding company is profitable from the dividend it’s receives from it’s subsidiaries or operating company. The dividend is as a result of it s share in the companies he invested it’s Money.

HOW TO FINANCE A HOLDING COMPANY

If you don’t have enough fund to set up a holding company is not a crime. One smart way I know you can do this , is by meeting people or investors and selling the idea to them. If they find it interesting and profitable to them, they might give you the require Capital to set up the company. Ensure you inform each of the investors on a particular stake they have in your company, so that you can share the profit among them when you receive your dividend from your subsidiaries. Remember you are a shareholder to other companies and they are a shareholder to you.

WHERE YOU CAN INVEST THE MONEY

You can invest the money in various sectors in the country, then share the profit among your investors from the dividend you receive from your subsidiaries or operating company. various sectors you can invest the money:

The finance sector example is a bank, Shipping and logistics company, oil and gas company, Manufacturing company, Real Estates etc.

For business contact me at henryonyedika70@gmail.com.