Flood

Finweek English Edition - - COVER -

houses and sold them into the mar­ket. We made over R4m in profit, just over R2m each.”

He un­der­stood right away that his f irst mil­lions were an op­por­tu­nity to cre­ate more wealth and they started look­ing at off­shore property. They in­vested in a property in Lon­don, close t o Wim­ble­don sta­tion and home to nearly 60 000 South Africans in need of lodg­ing. They put in £20 000 of their own money to use to build two more bed­rooms.

“In Lon­don you rent prop­er­ties by the bed­room and sud­denly we had five in­come streams. We lived in the house while we did this, which was in­con­ve­nient, but if you live in a property for one year in the UK you aren’t sus­cep­ti­ble to cap­i­tal gains tax. With the value we added to the house, we re-mort­gaged and bought an­other property, which we moved into and did the same thing again. We earned over £1 000 pas­sive in­come per property.”

The same prin­ci­ples that earned Pick­ens his f irst mil­lion later ended in him turn­ing a $4m com­pany into a $40m com­pany that listed on the Aus­tralian ex­change in less than five years. “To cre­ate money or in­come streams, you have to have knowl­edge and skills,” he says, but adds that no­body ever learnt to swim by read­ing a book. “You have to get started, man­age your risks and learn along the way. The more you can part­ner with ex­pe­ri­enced people, the more suc­cess­ful you will be. If you un­der­stand this, achiev­ing both ob­jec­tives is easy!”

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