Successful Investment

Patrick Bitature adressing people at the 360° Ask the Entrepreneur  Forum        

Any Business You do Should Make You 1% Profit per day –Bitature

By Angela Kateemu

Patrick Bitature started his business empire with a single company, Simba Telecom, then a retail chain dealership, in MTN air-time. ‘I was vending airtime,’ he says. From there he expanded into broadcasting, , followed by Electronics. He also has interests in insurance, banking, hotels and resorts. Today, his businesses have subsidiaries in Uganda, Kenya, Tanzania and Nigeria. He owns the following businesses either wholly or partly: Simba Telecom Uganda, Simba Telecom Kenya, Simba Telecom Tanzanaia, Simba Telecom Nigeria, Simba Electronics Limited, National Insurance Corporation, Global Trust Bank Uganda, Electromaxx Limited Uganda, the operators of Tororo Power station, a 20MW thermal power plant that uses renewable bio-diesel to generate Electricity. New Vision Group Uganda, Protea Hotel Kololo Uganda estimated at Shs 15bn, Simba Tours and Travels Uganda, Simba Distributors Ltd, Simba Properties Ltd Uganda, Simba Electronics, Simba Forex Bureau Limited, Blitz Video, Ice Cream Ltd and Dembe FM. While talking to business enthusiasts at the 360° Network Ask the Entrepreneur forum the other week, the business mogul talked about investment and how to start a business and develop into an empire. “I always like to share the little that I know with anybody who is serious about something they are doing. I went to business school, I read books but most importantly I learn from people -people like Sudhir who have built business empires.” There is a lot you can learn from his talk if you are looking at starting and running a successful business.

Raising Capital to start a business
Bitature: There are several ways of getting capital: you can inherit it, marry into it (but the mother-in-law will always spot you!), you can gamble - I wouldn’t count on that! Other people steal (I wouldn’t advise this though!) So there are only two ways to get this capital. One you have to earn it. Get a job work for it. Even if they pay you little! Secondly, you can borrow –get a loan from a bank. When you earn you have to save, what you save can help you borrow. The bank will look at how you run your account before they can give you the loan. If you are not sure and have no focus on what you want to invest in, then don’t borrow!

Why Ugandan businesses fail
Bitature: The spirit of entrepreneurship is there in Uganda but so many businesses die with in the first five years. It is a shame! It is like when you rear so many chicken but many of them die before they are productive! The reasons why businesses fail include the following:

Debts
Bitature: We don’t have a culture to honour commitments especially to loans!  You get money from the bank and you don’t want to pay it back because of school fees or your wife is sick or something happened. When you don’t clear your loan, the bank will come and repossess your property.

Lack practical skills
Bitature: We lack the practical skills because we over emphasize academic education. When you come out of the university, you know nothing about business. There are so many people in Kikubo, they are not educated, walk around in shorts but they are astute businessmen and have made lots of money.

Secrets to successful business
Bitature: All rich businessmen have discipline. You have to persevere. Every one of us has made losses at one time or another but we cut our losses and move on. You have to tenacious and hardworking. Lay a good structure: It is better to be a small fish in a big pond. Do not rush into partnerships.
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How do you manage to be successful and humble at the same time?
Bitature: Humility – when you are ambitious, you have to have somebody that pushes you to be number one. For me, the credit goes to my mother. My mother passed on, now I have my wife took. She always reminds me to keep my feet on the ground.   It helps when you have someone to bring you back down: people forget and they think they are too powerful.

Advice to young entrepreneurs
Bitature: Any business you do should make you 25%. Make sure you make 1% percent a day!