Layo was happy to get the commission from Ibrahim, but no one else was willing to “cash in” on the opportunity she was selling. Everyone on her list either had some land they were already developing or were relocating soon. As quickly as the hope of getting some money had materialised, it dissipated, and she was back to being in need.
The children would have to stay home for a while if nothing else happened. Ken was not remotely worried about the school fees for the time being.“ Please, let’s take things one step at a time. We will find a solution when September comes,” he had said. Her EasyInvest app showed she had saved ₦50,000 out of the ₦700,000 goal she had set. What is the point? Even if Mrs Durodola had paid her loan when due, she would still be halfway from her goal.
Painful as it was, Layo concluded that she would have to borrow the money to pay her children’s fees again. Who would borrow her ₦650,000 without a repayment plan? Maybe I should humble myself and ask Saheedat to tell me about those investment opportunities again? She reconsidered this. No! Saheedat was at least ten years younger than she was. Layo did not feel comfortable asking a thirty-something-year-old how to manage her finances. It was too embarrassing. Besides, Saheedat couldnever understand her predicament as a mother of three. She had no children of her own. Layo’s first two children, fifteen and ten, were walking ahead of her on their way home from an evening service.
She remained at the back with the youngest, seven years old and his mother’s favourite. They walked hand-in-hand with a church member, Sister Tosan. “Sis Layo, all you need to do is invest forty thousand naira in the products. They’ll give you ten thousand naira immediately and an extra five thousand naira for each person you bring to join the business.
That is money you can hold for whatever you want to use it for.” It sounded very much like the businesses Ken touted to anyone who cared to listen. “I don’t know about these bring-people-to-earn-money businesses, Sister Tosan.” “So where will you get money for children’s school fees?
You know I don’t have six hundred and fifty thousand naira to loan you. We mothers have to do what we can to take care of our children. I’m doing this business. I can’t deceive you.”
“Let me think about it.”
Layo got home to meet Ken walking someone out of the building. Before she stepped into their apartment, she caught a glimpse of the person handing Ken some money. Bolu had seen it, too. He had been sitting in his friend’s car outside the compound, chatting about a party the next night. From his seat, he’d noticed Ken leading someone into the upstairs apartment, smiling like the salesman he was. He had wanted to jump out of the car to confront Ken, but his friend had cautioned him: “Calm down.”
Ken was smiling, about to step into the house to calculate how much he had made that evening when he heard someone call out to him. He turned around and sighed. It was Mr Kosoko’s loafer son.
“What do you want?” Bolu laughed at the man’s audacity. “I should be askingyou o. You think I didn’t see you entering the upstairs apartment with someone. Who gave you the right to do that? This man, you’re always hiding something. My father is in the hospital and you’re already selling his properties…”“Don’t say what you don’t know. I am not selling anything.
And before you accuse me of anything else, why don’t you talk to your brother?” Bolu stepped back, surprised at his nerve. “Babatunde knows about this? How come you guys are not including me in the share, ehn? Am I not a son of the house?” Ken knew he had made a critical mistake.
Bolu would tell his brother everything and the money he was getting would be gone. Bolu smiled. “He doesn’t know you’re collecting money, does he?” Ken shook his head, cursing himself for letting his anger get the best of him. He dug his hands into his pocket and counted out some notes. “I’ll give you thirty percent.”Bolu laughed. “This is what I always like about you, Mr Ken. You’re a very sharp guy! Don’t mess me up, give me 30% of everything you get. I have eyes everywhere.” Ken was in a terrible mood when he walked into his apartment, thinking of how this loss would affect his plans.
So far, he had invited ten people to the house and charged a ₦5,000 fee for the showing. He had even invited people he knew would not be able to afford the place and increased the “showing fee” for the more affluent ones. He was counting on getting ₦50,000 and using it to pay off some of the repair costs of his car. He wanted to give Layo the excess to over one of the many bills she hounded him about. Layo was waiting for him in the living room. As soon as she brought up what she had seen, he grew furious, telling her she and her children were the source of his burdens.
Layo seemed ready for him; she lashed out, calling him an irresponsible man who only cared about nice clothes and a fine car. “I regret marrying you. You are nothing but an empty shell. Empty!” Their son came into the room while she was yelling and
Ken stomped off to the door. When he remembered his car was in the mechanic’s shop, he turned around and stomped into the guest toilet.
Reflections
Motives for Holding Cash
There are three motives for holding cash:
• Transaction motive
• Precautionary motive
• Speculative motive
Let’s dig further into each of these motives.
Transaction motive: This refers to the need to hold cash to pay for goods or services. Cash is useful for conducting day-to-day transactions. It is the money you set aside to meet your everyday needs, that is, things that will put you under pressure if you do not have them such as food, groceries, bill payments et al.
The amount to be maintained for the transaction motive depends on an individual’s cash inflow. Precautionary motive: This refers to money held for unforeseen eventualities, what you’ll refer to as emergencies or unplanned events, such as an increase in your house rent, car repairs, and a sudden loss of job.
Cash must be set aside to meet your non-routine needs. There is a saying that you don’t wait for a crisis to come up with a crisis plan. Usually, funds for precautionary motive are held in short-term securities with the objective to earn at least decent returns. Speculative motive:
This refers to money held in anticipation of investment opportunities. It is the portion of your funds that you set aside to multiply itself without your physical involvement. You can have your money yield additional returns by investing across various asset classes, Including but not limited to equities, mutual funds, treasury bills, commodities, bonds, real estate et al. As you draw up your budget, it is expedient that you allocate funds across these three categories.
