How to prepare for the sale of the business
Are you going to sell your business in the near future? Then for you there are two news: good and bad. Let's start with the bad news. If you plan…

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The art of competition: the experience of Picasso and Matisse
The most famous rivalry in the art world shows us how competition can inspire and be productive. Pablo Picasso could not have created his masterpiece “Avignon girls” in 1907, if…

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How to be confident in the existence of a market for your business idea
Do you have a great business idea to create a completely new product or service? Moreover, you have no doubt that this is exactly what people need today? And what…

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Ways to reduce costs
Every entrepreneur or business owner is constantly striving to increase profits and reduce costs when doing business. And in a difficult economic situation it is more than reasonable to constantly…

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5 reasons for the beginning of the end of production
Production problems are more cultural than economic. It does not come from expensive delivery and rising labor costs. The problem is much wider. Is the end of production just around…

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Money is not happiness, but in the ability to correctly dispose of them

Do you want to risk and organize your own business, but you do not have enough financial resources? Oddly enough, it is even for the better. Although this does not sound very convincing, a lot of money can be a stumbling block that will not allow a budding entrepreneur to achieve the desired results. The fact is that the one who does not need to limit himself in funds, too quickly makes decisions, because he is not afraid to make mistakes that can lead to serious losses and, thus, put an end to the planned enterprise. That is why the lack of capital is one of the prerequisites for success.

But what about those who have more than enough finances? The answer is simple: it is worth to insure and create for yourself something like the illusion of lack of money. And for this you can do the following:

1. Set cash limits
Decide in advance what the maximum amount of money you are going to invest in your new business project, and under no circumstances go beyond the established limits. Dispose of your own funds as if you received funding from external sources.

2. Set time limits
It is necessary to clearly identify the terms within which you are planning to implement the planned enterprise, and draw some conclusions regarding its profitability. Moreover, one should take into account the fact that the duration of these periods varies depending on the number of forces, energy and time spent on the project.

3. Plan a budget
Budgeting should not be the prerogative of only large companies. It is an extremely important component of small business as well. After all, budgeting is necessary not only to predict the amount of possible costs to keep your business afloat, but also to keep track of cash flows.

4. Keep track of reporting
Creating and tracking financial statements will allow you to always be aware of what was spent on these or other funds, and will not allow you to go beyond the established budget. It works especially effectively when it comes to joint business. Such reporting can be entrusted to an external accountant or staff member.

5. Invest cash
The need to create the illusion of a lack of funds at the stage of creating your own business is a good prerequisite for making financial investments in other projects.

Anyway, the creation of an illusory lack of finance when working on launching a new business project increases its chances of success and makes a budding entrepreneur and his team members implement only well weighed and thoughtful decisions concerning, in particular, monetary expenses.

A couple of steps to a powerful investment plan.
When it comes to investment, many people fall into the trap: they buy a couple of stocks here, a couple there, thereby turning their investment portfolio into a vast but…

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Do you need innovation?
When it comes to production, newfangled buzzwords and a few terms have more attention than innovation. Capitalism is called the engine of innovation, and innovation has paved the way for…

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7 important steps to success
Today, many are interested in the question of how to make a successful career or succeed in business. Indeed, in the modern world of tough competition, in order to move…

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