PERSONAL FINANCE SWOT ANALYSIS: PART 4

Financial Opportunities

Taking advantage of opportunities to increase income earned is not only necessary for the 55% of South Africans who are not making enough money to get by, it’s a Generational Wealth building strategy2. According to Oxfam, children of parents that are top earners in South Africa have a 70% likelihood of being a top earner when they enter the labour market3.

Step 2 of the Personal Finance SWOT Analysis series focussed on financial weaknesses. The third step of your Personal Finance SWOT Analysis is to take time to research, reflect on and list your financial opportunities

What are Financial Opportunities?

Financial opportunities are the opportunities in your external environment that can potentially increase your income, reduce your expenses and achieve your financial goals. So think about your current financial situation, do some research and ask yourself:

• Are there any side hustles I can do in my spare time?
• Are there any opportunities to develop my skills further and improve my competitiveness in the job market?
• Are there any promotion opportunities at work?
• What investment options do I have (shares, bonds etc.)?
• What are the latest specials, vouchers, rewards programmes, and discounts?

Financial Opportunities – Examples

(1) Online surveys: complete paid surveys online.

(2) Online resources and ebooks: create an online resource (template) or an ebook to generate passive income on platforms like Amazon.

(3) Bulk Buying Discounts: offered by retail and wholesale outlets

(4) Free Online courses & bursaries for Black women: There are a number of free online courses that are available offered by a number of reputable institutions including Ivy League Universities. There are also bursaries and scholarships specifically set aside for South African Black women.

(5) BBBEE Transaction participation:in retail offers or smaller companies that require black female investors. According to the Sowetan (2019), the Multichoice Phuthuma Nathi BBBEE shares yielded a return on investment of 1714%4.

(6) Non-Executive Director positions:to earn directors fees.

As you do your research, you will notice that there is a wide range of Financial Opportunities. That’s why it’s important for you to focus on the opportunities that make the most sense for you.

Step 4 of the process focuses on Financial Threats, covered in the next post – Personal Finance SWOT Analysis : Part 5.