June 23rd, 2008
Many start-up businesses stop at determining their beginning Equity. After putting up the initial capital for your business, you have to determine the optimum Working Capital to position your business on the road to profitability and growth.
Specially during these times of high transportation costs and constricted markets, f you do not put up enough […]
By ren -- 3 comments
June 13th, 2008
A business wimp (whether small business or large corporation) is a venture with inadequate Working Capital.
A business wimp will be forced to incur debt or inordinately prolong accounts payable so that it gets into trouble with suppliers. Not having adequate Working Capital will place the business in an unsustainable cycle of debt.
The business wimp […]
By ren -- 2 comments
May 24th, 2008
The Pareto Priniciple (also called the 80% - 20% Rule) has been applied in a variety of fields & disciplines; e.g., business management, time management, management of sales people, project management, development economics, etc. Basically, the Pareto Principle states: in any endeavor, a 20% segment can explain the status of almost anything […]
By ren -- 1 comment
May 23rd, 2008
The Pareto Priniciple (also called the 80% - 20% Rule) has been applied in a variety of fields & disciplines; e.g., business management, time management, management of sales people, project management, development economics, etc. Basically, the Pareto Principle states: in any endeavor, a 20% segment can explain the status of almost anything […]
By ren -- 0 comments
May 8th, 2008
In order to avoid undue pressure on your cash (as the increase in Sales pushes up your Cost of Goods), you have to make sure that your accounts receivable & accounts payable are synchronized. You have to make sure that the number of days in which you collect your accounts receivable (i.e., credit sales) […]
By ren -- 0 comments
May 7th, 2008
One of the most effective ways of stimulating sales is by injecting a credit program into your sales program (i.e., set up an accounts receivable). If / when your credit program / accounts receivable results in a growth in Revenues as expected, your Cost of Goods will also grow in step with your Revenues.
In most […]
By ren -- 0 comments
May 6th, 2008
One of the most effective ways of stimulating sales is by injecting a credit program into your sales program (i.e., set up an accounts receivable). If / when your credit program / accounts receivable results in a growth in Revenues as expected, your Cost of Goods will also grow in step with your Revenues. […]
By ren -- 0 comments
May 5th, 2008
One of the most effective ways of stimulating sales is by injecting a credit program into your sales program (i.e., set up an accounts receivable). However, you don’t want to have a lot of sales, but end up lacking enough cash to continue production and pay for operating expenses. Prudent thumb rules to […]
By ren -- 0 comments
May 3rd, 2008
Working Capital funds the cost of the labor & materials that go into the goods you sell or the services you render (i.e., your Cost of Goods Sold or Cost of Sales) and what you use to pay for salaries, rent, office supplies, etc (i.e., your operating expenses). In most businesses (specially where goods […]
By ren -- 0 comments
May 2nd, 2008
Working Capital funds the cost of the labor & materials that go into the goods you sell or the services you render (i.e., your Cost of Goods Sold or Cost of Sales) and what you use to pay for salaries, rent, office supplies, etc (i.e., your operating expenses). In most businesses (specially where goods […]
By ren -- 0 comments
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