The well renowned actor, Abel Mutua, recently revealed on his YouTube channel how the Phil-It Productions Company lost millions. This is a company that he co-founded with Phillip Karanja. According to Abel’s statements, the company underwent losses after getting a contract to produce two shows; Hullabaloo and Sue and Johnny. This was after they had undergone financial hardships after resigning from the Househelps of Kawangware Show. Even after getting financial breakthroughs with the contract, the bad decisions led to losses.
“We made a decision to ensure that our employees were given generous salaries. At the time, we did not have an accountant and we thought the money was in excess,” Abel Mutua narrated.
The enthusiastic story tell narrates how he was all smiles while heading to the bank. He termed himself a millionaire after signing the contract with Mnet.
“We were over the moon. We knew that we had officially made it, we were millionaires…I had never come into contact with such an amount of money.” he said.
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Adding to that Abel Mutua said. “Initially, we had wanted to pay everyone and use the remainder to pay ourselves but this was not to be, we suffered a major loss.”
Learning From Past Mistakes
The father of one said that the company ended up with a deficit of 5 million accompanied with unfinished projects for the contract. He admitted that they had a big challenge in balancing between the two shows and managing their finances, bearing in mind that they had no accountant.
Abel Mutua winded up his YouTube episode by shedding light to his fans as he stated how their friends and family helped them through the tough situations and the lessons learnt from past mistakes. This episode served as an inspiration to young entrepreneurs undergoing various challenges as they stabilize their businesses.