For Africa to unlock its full potential, there is an urgent need to facilitate the inter-generational transfer of wealth and business ownership. The aim is to establish lasting legacies of prosperity and put an end to the cycle of poverty that has plagued the continent for too long.
These insights come from Dr. Olumide Emmanuel, Global President of the Billionaire Conclave. Dr. Emmanuel asserts that a lack of active mentoring, particularly for business owners, is a significant contributor to this problem – and Ghana is no exception.
To address this issue, Dr. Emmanuel announced the groundbreaking ‘Building Transgenerational Wealth and Organisation’ programme launch, scheduled to debut in Accra during February 2024.
“In Africa, we witness success stories wherein individuals attain wealth. However, more often than not these individuals emerge from a lineage marked by poverty. They are usually the first, or at best second, generation of prosperity within their families. Sadly, their zeal tends to diminish when that one influential figure passes away,” Dr. Emmanuel lamented.
Family-owned businesses (FOBs) have historically been a prime vehicle for transgenerational wealth. However, in Africa their growth is frequently hindered by internal conflicts, inadequate corporate governance structures, and overreliance on debt.
FOBs represent approximately 70% of Africa’s small- and medium-sized business (SME) sector, but they often turn to bank financing when their capital needs surpass personal resources. Unfortunately, SMEs in Africa face greater difficulty obtaining bank loans compared to larger enterprises, contributing to a substantial US$190billion financing gap within the traditional banking sector, as per data from the International Finance Corporation. Therefore, there is a pressing need for alternative avenues of capital acquisition; though such paths remain largely unexplored.
The goal of the ‘Building Transgenerational Wealth and Organisation’ programme – an initiative of the Billionaires Conclave – is to attract CEOs, business leaders, entrepreneurs and individuals with aspirations to establish enduring family legacies.
Dr. Emmanuel emphasised that impact and legacy millionaires and billionaires differ in their approach. They do not focus solely on amassing wealth but also address needs of the less fortunate and tackle societal challenges.
The conference aims to foster creation of transgenerational businesses and organisations which are not only sustainable but also extend beyond their founders’ lifetimes.
The CEO of Billionaires Conclave clarified that the programme’s objective is not to make participants instant millionaires or billionaires, but to equip them with the skills necessary to achieve such financial success; and to guide those who are already wealthy in preserving and passing on their wealth to the next generation.
Participants can anticipate a comprehensive masterclass covering topics like developing a transgenerational mindset; discovering the secrets to building enduring organisations; understanding why businesses fail; cultivating a wealthy mentality; grasping the essence of true wealth; and identifying its core components.
Dr. Emmanuel highlighted the urgent need for a new breed of affluent individuals in Africa to expedite the continent’s development. He stressed the importance of cultivating rich individuals who prioritise societal welfare and ethical practices, contrasting them with those who exploit resources for personal gain.
“The continent requires impact and legacy millionaires and billionaires who allocate resources to matters of significance rather than solely focusing on personal gain,” Dr. Emmanuel asserted.
The Country Representative of the Billionaires Conclave, Obaahemaa Demay, drew attention to the examples set by China and India – both of which harnessed the power of millionaires to fuel their economic development. She urged Ghana and Africa as a whole to follow suit in nurturing economic growth through cultivation of wealth and the pursuit of lasting legacies.
