Wealth Creation --- The Apprenticeship And Settlement Method

This is a system whereby an entrepreneur brings a person (usually a younger person) to stay with him and help him create wealth for a specified period of time (about four to seven or even ten years in some instances) after which part of the wealth he has helped to create is given to him to start his own business. The relationship here is a master / servant relationship. The master imparts to the servant knowledge of the trade, discipline and code of conduct while the servant help the master in everything he does in the business, in the home and outside the home. This method of wealth creation is a symbiotic relationship. It is beneficial to both the master and the servant.

The master benefit in that he does not have to pay for the services of the servant immediately. It is a deferred payment method which enables the master to use all the wealth created during that period to grow his business, grab opportunities and record significant achievement before the time for the settlement arrives.

To the servant, the gain is enormous too. When he came, likely he was crude, undisciplined, unskilled, inexperienced, and empty. By the time he is leaving, he is more civil, disciplined, and has gained enough experience to manage his own business. Moreover, he now has the skill and capital needed to earn a living. This method of wealth creation practiced largely by the Igbo ethnic group of south eastern Nigeria is one of the best method of circulating wealth among the population. It helps to alleviate poverty as children from poor backgrounds are given opportunity to serve the rich. Upon their settlement, these young people now have a means of livelihood and the ability to help their poor parents and their siblings as well. Some even sponsor their siblings’ education up to professional level. This system is particularly helpful if the apprentice has gotten at least the basic education before serving his master. Although this method works well with trading, it can be applied in any vocation, but the Igbos are mainly traders.

 However, there is another type of apprenticeship that is without settlement. Here, the apprentice pays for the training he receives. At the end of the apprenticeship, all he has is the skill he has acquired which he now uses to provide services and create wealth for himself. Examples of this type of apprenticeship include tailoring, hair dressing, carpentry, welding etc.