Captain Fredrick Malu is a pilot at Kenya Airways, the CEO at the Kenya Airline Pilots Investment Ltd, a Top 40 Under 40 recipient, an entrepreneur and director at various companies.
Biggest money mistake: Some time back, I started a business distributing products for EABL. But instead of running it myself, I handed it over to people I hoped could run it effectively. I had so much confidence in them that I didn’t follow up on its day to day operations. My employees mismanaged the business and in the end, run it down. I lost the contract and was left paying the loans I had taken from the bank to run it. The collapse cost me some Sh. 2.7 million. I also lost about Sh. 1 million in a failed clinic business that was supposed to be a sure guarantee. My final loss came when I lost another Sh. 1 million while investing in a concert only to discover that my partner was a conman. All this has taught me that in business, the only person you should trust is yourself. I have also learned that you must separate friendship from business if you want to achieve any kind of success.
Biggest regret: Despite the mistakes I have made, I count my failure to invest in property from an early age as my most grievous. You are never too young to own land or houses. I remember being sold a house back in 2007 for Sh. 3 million in Lavington, Nairobi. I was afraid of such a huge financial responsibility back then and so I turned it down. The same house was re-offered to me in 2013 at a cost of Sh. 15.5 million.
Key to success: Save from an early age. I have been able to amass a good fortune through savings and investments. I also pride myself with a strict work ethic. I rarely get a day when I can sit and relax, but I constantly remind myself that I’ll have all the time when I retire. Do not buy it if you cannot afford it. Work as hard as you can. Don’t be a man or woman of shortcuts and shady pipe dreams. Instead, diligently build yourself and never compete with anyone other than the person in your mirror. Also surround yourself with positive people. Your friends can either build you or become your stumbling block.
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Saving method: I save monthly from my salary in an education fund with a local insurance company. This means that I cannot access these savings at will. I also save through the pilots’ Sacco which pays handsome dividends. Finally, I invest in securities listed on the Nairobi Securities Exchange (NSE).
Biggest milestone: I have had numerous key moments in my career, but the epitome of my milestones was being a recipient of the Top 40 Under 40 awards in 2016. This taught me that the sky cannot be the limit if I push my limits. There’s so much room and so much that I can fit in.
If I could go back in time: I would avoid risking my money on businesses that I cannot personally oversee, and instead invest in solid projects such as land and houses.
Entrepreneurship or Employment: You’ll never get as rich as a business owner by simply working for them. Nonetheless, raising capital for a future business while under employment is much easier than starting from the scratch. Always remember that a bird in hand is worth two in the bush. Before you quit your job, start a business, grow it, and only take the jump once the side hustle’s proceeds are adequate to keep you on your feet.
This story on Captain Fredrick Malu was first published in the Saturday Magazine edition. Saturday Magazine is a product of Nation Media Group. More info email: [email protected]
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Wow i didnt know my father was so noble! I’m his son. Levi Fredrick Malu. Following my father Capt.Fredrick Malu’s steps, I’m constantly trying to carry out the name of the malu family!