Tags |
|
|
Links |
|
|
Answer Upon - The Importance of Liquidity: Liquidity Is King -- Not Elvis!
The answer may be easier than you think, but there's a catch.The truth is that you find a telecommute job just like you find any other job- with research, persistence and a bit of job search savvy.The caveat? Ever wonder why more companies don't advertise telecommute jobs? In this competitive job market you'd think more of them would see the benefits of hiring telecommuters. Well, many of them do, they just don't advertise their telecommute positions. The sad fact is that when they do, they are inundated with responses from applicants who aren't remotely qualified for the position. There seems to be a persistent rumor circulating that the desire to w
It is possible for awhile to avoid a business recession through Federal Reserve policy of ma
If you're in concurrence with over 90% of all business owners—Ads don't work! They're expensive, a low ROI, and all they do is fuel ad agencies to churn out more ridiculous rubbish.So why do most ads fail to bring in sales?Simple. If you browse the ads in your local paper, just about all of them talk about themselves:This is our business name; This is our logo; This is what we do; This is how long we've been in business; This is our product/service; and then usually, Call us now so we can sell you something. Yeesh!This is nothing more than making announcements. Just like scanning the Yellow Pages. And the prospec
Do you have a metal chain in your house? Take a look at it. You will notice all the links are of equal size. The U.S. economy can, in a way, be represented by the links in a chain. But, the difference is that the economic links are not of equal size. In addition, some links are weaker than others.
The biggest link in our national economic chain is the consumer or more explicitly, consumption expenditures. This link now represents 70% of our Gross Domestic Product (GDP) and dwarfs all the other economic links combined. This link is also the weakest link in our chain and is the one of most concern.
To put it succinctly, the consumer is tapped-out. With the direction of interest rates trending higher, Americans can not continue spending money they do not have. Household borrowing is increasing substantially faster than incomes. In addition wages earned are bearly keeping up with inflation. This trend can not continue forever. We use to talk about a healthy savings rate in this country. Now, we have little to none. The most important link in our economic chain is extremely illiquid. This will have long-term consequences for economic growth and, hence, the ability of companies to maintain their profitability and grow their top-line.
There are some things worse than having a recession, which is, having none at all. Recessions provide the impetus for both consumers and businesses to rebuild their liquidity. It is a painful process, but it sets the stage for the next strong upward expansion. For example, in the early l990 recession the average American household pared their debt by an inflation adjusted $410. This helped set the stage for the strong expansion in the l990’s. In the 2001 recession, the average U.S. household added $1,420 to their debt levels.
It is possible for awhile to avoid a business recession through Federal Reserve policy of man
The Profit and Loss Statement, also called the Income Statement for accounting, has five important parts: 1) Incomes, 2) Other Incomes, 3) Expenses, 4) Other Expenses and 5) Net Income or loss. It conveys how the business received and spent monies during the period of the statement. The statement can cover any time period but it typically covers monthly, quarterly, or yearly periods. Each of the statement parts shows a distinct piece of the net income puzzle, starting with income.The Incomes portion of the statement, in accounting, will summarize all of the incomes received from operating the business. If it sells a product, it will be product sales. If it
Do you have a metal chain in your house? Take a look at it. You will notice all the links are of equal size. The U.S. economy can, in a way, be represented by the links in a chain. But, the difference is that the economic links are not of equal size. In addition, some links are weaker than others.
The biggest link in our national economic chain is the consumer or more explicitly, consumption expenditures. This link now represents 70% of our Gross Domestic Product (GDP) and dwarfs all the other economic links combined. This link is also the weakest link in our chain and is the one of most concern.
To put it succinctly, the consumer is tapped-out. With the direction of interest rates trending higher, Americans can not continue spending money they do not have. Household borrowing is increasing substantially faster than incomes. In addition wages earned are bearly keeping up with inflation. This trend can not continue forever. We use to talk about a healthy savings rate in this country. Now, we have little to none. The most important link in our economic chain is extremely illiquid. This will have long-term consequences for economic growth and, hence, the ability of companies to maintain their profitability and grow their top-line.
There are some things worse than having a recession, which is, having none at all. Recessions provide the impetus for both consumers and businesses to rebuild their liquidity. It is a painful process, but it sets the stage for the next strong upward expansion. For example, in the early l990 recession the average American household pared their debt by an inflation adjusted $410. This helped set the stage for the strong expansion in the l990’s. In the 2001 recession, the average U.S. household added $1,420 to their debt levels.
It is possible for awhile to avoid a business recession through Federal Reserve policy of ma
Soda vending machines come in all shapes and sizes but the most common style are the stand-alone full sized machines.Soda vending machines have lots of capacity. Even my old one that I paid too much for had a capacity of over 500 cans with 7 total selections. That's a lot of soda which also means that it could be possible that you don't have to visit a location too often if you are looking to vending as a part-time business.The large capacity of these machines coupled with reasonable product costs and retail price can produce a decent business with healthy margins. I was paying an average of $.40 for a can of soda (tax and deposit included) and retailing
To put it succinctly, the consumer is tapped-out. With the direction of interest rates trending higher, Americans can not continue spending money they do not have. Household borrowing is increasing substantially faster than incomes. In addition wages earned are bearly keeping up with inflation. This trend can not continue forever. We use to talk about a healthy savings rate in this country. Now, we have little to none. The most important link in our economic chain is extremely illiquid. This will have long-term consequences for economic growth and, hence, the ability of companies to maintain their profitability and grow their top-line.
There are some things worse than having a recession, which is, having none at all. Recessions provide the impetus for both consumers and businesses to rebuild their liquidity. It is a painful process, but it sets the stage for the next strong upward expansion. For example, in the early l990 recession the average American household pared their debt by an inflation adjusted $410. This helped set the stage for the strong expansion in the l990’s. In the 2001 recession, the average U.S. household added $1,420 to their debt levels.
It is possible for awhile to avoid a business recession through Federal Reserve policy of ma
You’ve heard the statistics. Some 90% of all new businesses will fail within fewer than five years.Considering most new businesses are small enterprises, this creates quite a hardship on the entrepreneurs who have their hopes, and perhaps their overall finances decimated as their ventures fail.Here are five steps to determining if your small business idea is a sound one that can last:(1) Develop a sensible economic model.For example, I teach a course at UCLA Extension, “Building Your Consulting & Coaching Business.” We spend quite a bit of time discussing economics, and especially what an adviser must charge clients to reach certain net inc
There are some things worse than having a recession, which is, having none at all. Recessions provide the impetus for both consumers and businesses to rebuild their liquidity. It is a painful process, but it sets the stage for the next strong upward expansion. For example, in the early l990 recession the average American household pared their debt by an inflation adjusted $410. This helped set the stage for the strong expansion in the l990’s. In the 2001 recession, the average U.S. household added $1,420 to their debt levels.
It is possible for awhile to avoid a business recession through Federal Reserve policy of ma
So, we're heading for tough times! Why? Because if we are told something often enough (by opposition politicians, bankers, debt collection agencies, economists, your next door neighbor, taxi drivers, stock market analysts and journalists) we are going to believe it - it becomes a self fulfilling prophesy.Well, whatever the economic outlook - real or imagined - over the next year, perhaps it is time to assess how you are currently gaining business, what you will need to do to keep it and continue growing even when all around you are crying 'tough times' and are discounting madly, dropping services, slashing costs and 'downsizing' (one of my personally most hated
It is possible for awhile to avoid a business recession through Federal Reserve policy of manipulating interest rates. But, the price to be paid is high. The economy can flounder along in a tepid sluggish manner and can easily stumble into a more serious recession. You are sort of operating in an economic Twilight Zone between growth and stagnation.
Another consideration is the unusual political alliance in Washington. Democrats and Republicans in Congress disagree on many political matters, but there is one fundamental economic point they do agree on. They both like to spend increasing amounts of money on programs that can’t be sustained. Eventually tax rates will go up no matter who is in the White House.
This is unfortunate because large cuts in marginal tax rates is the one thing that can produce both sustained and substantial increases in economic growth. In the l920’s then Secretary of the Treasury Mellon went through an exhaustive study to determine what top incremental tax rate would maximize income to government yet, also, provide meaningful incentives for individuals to take business risks. The answer was a top rate of 25%. This is far lower than the current top rate of 35%.
The question, then, is how do you grow your business in an environment that will be highly competitive and turbulent. The most logical answer is to increase prices of the goods and services your company offers. Logical-- yes, but it is not realistic. If anything, with the economic environment described above, the market will be dictating downward pressure on prices--not upside. This leaves one other alternative: going after market share.
We have had the mistaken belief in this country that the business future belongs to the big and the mighty. This is nonsense. The future belongs to the swift. The swift are those men and women whose businesses have liquidity (low debt levels) and are generating sufficient levels of free cash flow to take advantage of opportunities tha
HTTP = HTML link (for blogs, profiles,phorums):
<a href="http://www.hubyou.info/article/44944/hubyou-The-Importance-of-Liquidity-Liquidity-Is-King--Not-Elvis.html">The Importance of Liquidity: Liquidity Is King -- Not Elvis!</a>
BB link (for phorums):
[url=http://www.hubyou.info/article/44944/hubyou-The-Importance-of-Liquidity-Liquidity-Is-King--Not-Elvis.html]The Importance of Liquidity: Liquidity Is King -- Not Elvis![/url]
Related Articles:
Budget Marketing: Maximizing Your Exposure
Customers Know Why They Buy - Do You?
Bookmark it:
|