Businessman: Financial management skills vital in business

FINANCIAL management skills and training is vital in establishing a successful business.
That is the testament by successful businessman David Tsitoa, 51, from Tabut village, Selau constituency, North Bougainville, Autonomous Region of Bougainville.
Tsitoa is the owner of Jodash Trans and Hire Service operating in Buka, North Bougainville.
The company currently has 22 vehicles – 12 are Toyota landcruisers put on hire.
Tsitoa also rents out properties in Buka.
He said the biggest challenge aspiring businessmen and women faced was managing their finances.
Tsitoa said individuals should know the mechanics of managing their personal and business funds.
“The main challenge is to set your goals and priorities,” he said.
“Financial management is key to any successful business. If anyone can master this, then they will flourish.
“It’s all about discipline.”
Tsitoa started off his business venture in 2000, soon after Bougainville came out of the decade-long crisis during what is now commonly known as the restoration period.
“I started off with a tractor,” he said.
“I collected three tractors from the plantations, used all the parts to build one tractor.
“After the crisis, people went back to farming the land, producing cocoa and copra.
“The tractor was used to transport these cash crops to the main road.”
Tsitoa used the proceeds from the tractor business to invest in the now defunct Commodity Development Assets (CDA).
A micro finance company based in Buka.
CDA used the funds to invest in the stock market and paid annual dividends.
Tsitoa rolled over the dividends for six years.
In 2006, with guaranteed investment, Tsitoa got a K45,000 loan from CDA and bought a Daihatsu truck worth K75,000.
He bought another two trucks in 2008 and 2009 with the help from CDA.
The three trucks serviced three different routes in North Bougainville – Tinputs, Selau and West Coast road to Kokopau, Buka.
In 2010, the father of two, ventured into the hire car business.
He was able to buy outright an open back land cruiser from Ela Motors.