Topic: Financial Advice for a young millionaire - page 3. (Read 1472 times)

Handling over such business venture to uncles or aunties will be the biggest mistake the boy could ever make in his life. Some of these close relatives can not trust with things like this sometimes because they will end up claiming the business as theirs even when the boy is ready to over the charge of the business. In my opinion, continue running the business is the right step to start from. He doesn't need to be interested in the business before he can pilot the affairs of his late father's business.

The business is not just a new business from the scratch, it's already established and the father would definitely have colleagues doing the same business or probably a trusted worker among the workers in the industry. Abandoning well established business is not ideal for whatsoever reasons, these people can play important role if they want to help the poor boy. By the way, why did they handover such huge amounts of money to a boy of such age leaving him in confusion?

It depends on how the boy's habits are, some people are very difficult to advise, some people can get angry with you or think you want to steal something from them, for a humble young boy who I know that I can advise I will advise him to save the money in the bank or use it to buy something that at the future he will gain a lot of profit from it, I can’t advise the boy to invest the money to anything that concerns cryptocurrency because I don’t know what will happen at the end and when he is going to need the money, since the boy is not that interested in business I will advise him to save the money at the bank or buy like foodstuff to store because no matter how it is a foodstuff like farm items price never goes down.

The reason why I will advise him to buy farm stuff and keep is that farm stuff price always increases every year and if he saves it very well he will sell the farm stuff with a lot of profit, but the first piece of advice is to tell him to open an account and save the money and make sure he didn’t let anyone get close to his what can make them people scam him because even people who are close to you are your enemy and since he is still a small boy someone can even his life and try to scam him.

quite good advice is that he must be able to manage his finances well, don't let him think that when he has a lot of money he can buy what he wants without hesitation without burden, of course expenses must be carefully considered so that undesirable things don't happen, as much money as possible What is issued must be clearly used for what. and if he inherits a business then there are two possibilities, when he accepts it he must be able to adapt fully, including managing it well and paying attention to many related aspects.
never waste what you have got, of course you have to enjoy it but of course it has to be within reasonable limits, don't let the intention be to enjoy it but do it too much, of course that's not good either. I think he needs real advice from people he thinks are important, because there are people who are given advice but don't listen and usually it's because the person giving him the advice is not someone important to him so he ignores it or he himself has a stubborn attitude.

If he has the proper self-control, then there shouldn't be any problem in receiving such amount of money. But at that age this is not very frequent. If that's the case, it would be good to divide the money and keep a part out of reach until he is older. The main problem I see in a case like the one explained by the OP is that the young millionaire may find it difficult to obtain values that are esencial (or I think they are esencial) for a fulfilling life, like patience, empathy with people who had worse luck in life, etc. You get the idea.

Well the boy needs to keep calm and act as normal, and trust no one, it is hard for him at first but in the long run i am sure he will slowly know what businesses is and how business works to multiply the money he got in a right time and in the right place. He can put his money in a bank or in any other safe place and live as normal and of he is ready he can get the money and used it for the businesses.

Eh?

That is supposed to be the father's job!

Strangers can't tell people what to do with their money or give them advice. Because they think it's weird, and won't be so open to suggestions.

You have to go out and look for the advice yourself it you want it, because when people give it to you, you might not be ready at that time to see it.

I am guessing that is what messes up most nepo babies - money, but with lack of financial education.

It's the same as the culture in my country where if we are poor it's as if we don't have any relatives, but if we are successful and rich, many people will admit that we are their best brothers. From that, the most powerful thing is money, which can enslave people. Currently, it is not surprising that many people are still young but become rich, because there are many ways that can be taken, but it does require luck to get it.

He needs to get a true adviser on how he's going to spend that money. But if he has inherited a business, he should see himself fit on any of those position while being the successor of his pops.

We all will learn the lesson on this guy's story. Like to those that have been living with Bitcoin and have got decent amount of profits, you have to enjoy it as well.

It's not that we're going to live longer or forever but you have to take some of your profits before dawn comes to our lives because we don't know when it will come.

People are only with the winners and nobody like poor persons and nobody help poor persons. I think, a person should start work in teenage because in this age if he lift the responsibility of his family,he will be successful in his life. I saw many person who earned a lot of money and they were top in society abc their lifestyle was of rich people and they enjoyed all luxuries of life and in old age they lose everything and they lose thousands of dollars in business. At that time ,their family should support them but at that time their wives took divorce from court . If you have no body will accept you if you are black person but if have money and you are super black, everyone will be attracted to you. That is reality of life.

To be honest, maturity does not come with the age but with the responsibility. I remember when my father died, I was 19 years old and fortunately I had a job where I was getting about $100 per month back then. The only mistake I made was, that I trusted some closest people who are my relatives but later I saw their true faces when I was about to start construction to build my own home.

So, my advice is, never to trust anyone. Not even your relatives. Do whatever you want, you will learn from your mistakes. Try to be a hard-working man and never think that you will earn like your father without working hard.

If someone has inherited a business from their parents, of course they will be able to manage it easily if they are ready to manage the business their parents inherited and if they are not ready to manage a business, I think they can learn about the business so they can manage it well. be kind and don't waste what his parents have inherited from him because it would be very detrimental if they squandered what his parents have inherited from him, for now it will be very difficult to choose people who we can entrust to be able to run a business and it will indeed be better well, we manage as best we can and continue to study well what we can do to make the business continue to grow.

Does those child not have other close relatives such as uncles or aunts? Usually those who are born as sole heirs have uncles or aunts who always stick to their parents' business and that often happens, I'm confused about what advice to give to that child, if he has good close relatives then he can continue the business he inherited his father but if he has evil relatives, he would be better off selling the business and going to college.

To first not go by what anyone here says.  Now I could properly guide one, and so can some others, but most can't, and really there's no way for you to know if I'm legit, or if anyone is , for that matter.  I guess I could provide my CRD #, which for an American is your virtual code, that identifies you as a financial advisor.  If someone is trying to work with you and your finances and can't product this, you know they aren't legit.   

But my advice is to work with a season advisor who is open minded.  Don't go to a bank for one (Chase, Wells Fargo, Bank of America), don't go to a company like Northwestern Mutual who thinks it's okay to sell everyone Whole Life Insurance, nor a company like Fisher Investments who encourages people to "We hate Annuities and you should to", ie sell them before out of surrender, as well as produces a brochure chalk full of bullshit and won't address it (a buddy and myself wrote them a letter as members of a large broker dealer firm, and they refused to address it.  We pointed out the lies, misconception and hypocrisy.  AMAZING that the SEC allows it.  Well, pathetic, not amazing).  Best firm to hire someone to help would be an independent one..Raymond James, Edward Jones type.

Never go to free meal financial meet ups ( just had a client tell me about being invited to one, she told me she "ended up feeling back for the guy, and bought an annuity from him for about 30k.  Nothing wrong with that, technically, until she told me it was the Allianz 222 which is a bonus annuity and famous for being utilized as a scam by advisor.  No such things as bonuses in finance, at all !!! 

Be careful out there everyone.

If indeed the business is already running well it is also very impossible to stop so it is better that we have to continue it, right what you say, whether or not it depends on us, but if it can't it doesn't matter because indeed to accept new things we have to adapt first to be able to accept and run it, unless indeed from a long time already understand it because it often helps our parents' business processes. Because when the business is already running, in my opinion, the children only have to enjoy the results, with work that might not be as bitter as their parents when they pioneered and established the business.

That's right, surrounding associations can certainly influence us, especially if we can't manage finances properly. Managing finances is not easy because there will be many temptations that can affect us such as socializing around, with a young age it is not easy to stay away from socializing around. And it is also rare for young people to succeed at a young age by starting their own business, even by continuing their parents' business, sometimes it still falls apart because of the influence of the surrounding social environment that attracts them to enjoy youth just for fun.

Becoming a young millionaire is actually a lot and comes with a great responsibility, and being a millionaire and young, you need a very high level of commitment to be able to manage that money because all your target will to want to make more money, decline matters a lot because you have to have a better way of controlling money especially in spending, and making money in millions is a very good start, you will set goals on how to make more millions. You hardly see millionaires with friends they always want to be alone but and if it may be that they have friends it will be old friends then business partners, and you are earning we should learn to take the habit of saving seriously.  And also thinking adding up ideas, and from talking to be you can have good ideas and you can start up a business from does ideas.

Money management and business knowledge are essential, especially if you didn't start rich. Mastery, not survival, is the twist. You lead that business, learn everything, then follow your passion. It's practical and strategic. It's more than financial literacy when teaching youngsters. This is about developing leaders who think, empathize, and innovate. Not just inherit, they elevate. The legacy we should pursue. Individuals flourish with riches. More than money, make it about impact

I would advise him not to rush to spend money. In such a situation, the most important thing is to learn financial literacy, and it is not taught in schools.
And unfortunately this is the case, although this is probably the most important subject that would teach young people to understand that money can make money.
So, in the case of a young man who has inherited a lot of money, it is best to choose a prestigious university and hire sensible teachers. All this is necessary because an ordinary 18-year-old teenager will not be able to properly manage such a lot of money, and he can spend it all on nonsense things.

Want or not business from the family must continue to be run and about it can or not necessarily there is still time to study while still young.
It is true that we can give advice to anyone without waiting to be so or become a billionaire but with open thinking and different situations make us more free to see from a broader view so that it can provide input that may be good and can be accepted.

Management of financial is not an easy thing especially when still young with the many influences from young people who choose to stay in a comfort zone make it difficult for someone to get up and try to be able to manage business or finance so that it can remain stable.
And I think this is going or but a necessity that must be carried out consciously and responsibly.

On point! in order to have more knowledge and expand or spread the business and money left to him by his father, it would really help if he focused more on learning how to handle his own finances but right now, getting his own financial planner is the trend, especially if the child's forte is not managing business or finances, it's hard to insist because it might just make it worse if ever, so it's much better if we ask the person directly if he is willing to the suggestions that other people give him because at the end of the day, it's his own decision to follow.

Agree with you. I'm also not the son of a millionaire, but if you are in the position described by the OP, of course the best advice is to continue learning how to manage your finances well and use your money for productive things, not for waste. . The last one is of course business, study the business left by your father so that it can be continued and developed, even though we don't like it, we have to force this so that over time we can master it and can entrust the business to other people and we can continue the business that we like.

From OP's story we can conclude that it is important to educate our children about finances and educate children about the basics of entrepreneurship so that they can learn empathy, leadership and be independent in making money. So that when we are no longer around, our children can easily continue our business and continue to develop the inheritance we left behind. At least when his parents were gone he didn't just spend the inheritance he left behind but was able to develop it so that it continued to grow.