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Category Archives: Business financial help

Understanding the Language of Accountants

I recently spent some time in California with a large accounting firm. We got on the topic of the financial statements. I asked them how their business clients embraced the financial statement discussions. The accounting firm of roughly 100 people and 8,000 clients shared a common frustration with me: “If we could just get our business clients ... Continue reading

Instant or Deferred Gratification?

There can be a tendency to celebrate short term business success too soon. Let’s say your business has a good month and you make a nice profit. Should you take a bonus? Should you reward yourself right away? There is a philosophy out there that says to wait – to defer to the future. This is based on the assumption that when a business does ... Continue reading

Managing Your Interest Rate Risk

It seems 'the crowd' is assuming that interest rates will remain as low as they currently are for a few more years. A year ago this was true also. And since then the rates have actually gone down! Although I can’t predict the future, there is one thing that concerns: Since banks go out and borrow the funds they loan out for fixed rate mortgages,... Continue reading

Rent Some Money to Make Some Money

Have you ever heard the saying, ‘you need a quarter to make a dollar’? What if your business has the opportunity to purchase $100,000 worth of new product that can be resold at a 35-40% mark-up? Why wouldn’t you buy it?  One reason you might not make the purchase is you don’t have an extra $100,000. Even if you have credit available, s... Continue reading

A Simple Solution to Small Business Cash Management Problems

I was talking yesterday with a client who I consider to be the best at collecting money as a small business owner. Quite a few years ago he actually went to jail trying to collect money from one customer because he tipped a desk over on him! – He doesn’t recommend that approach. The secret to easy collections is the conversation BEFORE the sal... Continue reading

How to Build a Business System for Freedom and Profit

Are there certain parts of your business that you feel have to be done by you - the business owner? Are there bottlenecks in your business because you - the business owner – aren’t able to accomplish certain tasks in a timely manner? Are these bottlenecks in the areas of your business that you – the business owner - hates to do? As ... Continue reading

How to Increase Profits Easily in Your Business

Every business has some 'low hanging fruit' to pick. There are ripe profits stuck between the leads your business generates and the actual revenue dollars you convert from these leads. A lead is created by your referrals, your marketing and advertising efforts, your location etc. It is a potential customer walking into your store, a phone call, a... Continue reading

Slow Paying Customers

When a customer is tardy in paying their account, they typically get a lot of attention from you as a business owner. You might even call them up and ask how things are going and find out if you can help them along – so they can pay their outstanding account! But when a customer pays you right away, you tend to do nothing – except cash the che... Continue reading

Improving Business Owner to Banker Communications – 3 Tips

Bankers speak one language – business owners speak a different one – when they get together without a translator, the result is usually frustration. Here are some tips I have accumulated from over 30 years of being a translator. 1) Don’t assume that logic or reason are important to the lender – The most popular argument to a banker when ... Continue reading

Helping Determine the Value of Your Business

Many of my business owning clients ask, “What is my business worth?” It seems like a simple question but the answer is usually complicated and starts out, “Well that depends…” Is the valuation for a buyer, seller, estate plan, banker or a divorce settlement? Here are some basics: You will need to determine the fair value of the asset... Continue reading