When Hussain Sajwani worked for his father in his father’s watch shop, he never had any aspirations of being a businessman. He would go to school early in the morning and then work for his father until late in the evening, and he dreamed of going to university, learning a profession, and working regular hours.
However, when he began to sell candy bars to his schoolmates for a profit, he decided that being in business was in his blood, even though he was educated as an engineer at the University of Washington in the United States. He did very well in the catering business after returning to his home country in the United Arab Emirates. He formed a company that fed the United State Army during the Gulf Wars.
Then in 2002, Sajwani formed Damac, his residential real estate company. He purchased land in an undeveloped area of Dubai, promoted the new venture very aggressively and found success. The UAE had just passed a decree that allowed foreigners to settle in the UAE and that was just the opportunity that began a new surge of building and incoming buyers.
It was the smart marketing of the Damac owner that got things off the mark as he would advertise a “Bentley for every Apartment,” which brought buyers flooding to his development. He had the entire 30 story apartment project sold out withing six months, and construction had not yet even begun.
Today, Sajwani and the entire Hussain Sajwani family has the assurance that the future is secure largely because of the solid business savvy that Sajwani possesses. First of all, no land has any debt. All land purchases are paid for in cash. That way there is always a solid foundation and knowledge that security comes with the land. Secondly, cash reserves are maintained in fixed accounts or government bonds, so if the market takes a downturn; construction schedules will always be maintained.
Finally, there are separate accounts kept for each project so that none of the funds get transferred and mixed. In that way, each project is self-supporting, and one doesn’t affect another.
Visit http://www.damac.com/ to learn more.