Saturday, May 21, 2011

Reasonable Expectation of Growth

Unless you buy your business at a ridiculously low price, which is usually only evident in retrospect, growth is where the money is made. Let's say you buy a business for one million dollars, borrowing 800 thou with 200 thou down. Suppose it is doing 1 million in sales for simplicity, and making 200 thou a year cash flow for simplicity. After you pay the principle and interest, you will have a livable salary, and after 10 years of payments, you will own a million dollar business assuming it isn't worn out by then, either in terms of physical capital or buzz or whatever. Nothing wrong with a million, but most people who work at a decent place for 30 years build up that with decent returns in their 401K, notwithstanding the recent losses of about a year ago. If you stay the same, that and your social security will get you by til you croak. However, if you double the size of the company, and double the profits, now you have an extra million in equity, and a pretty good salary. If you save that and invest it also, you could be in pretty good shape. So make sure there is room to grow!

Monday, May 16, 2011

Head of the IMF

Is it just me, or does any one else wonder how the head of the International Monetary Fund Dominique Strauss-Kahn can afford to fly first class, and stay in 3000 dollar a night suites that he uses to be "the great seducer" as they call him, in spite of the fact he is also married? Why again does the United States send money to the IMF?

New Pool Construction- How to Prepare for Having a Pool Put In

If you are having a pool put in, chances are you are very excited about the upcoming new pool construction. Well, maybe not so much the construction as the results. Dreams of lazy days by the pool without ever leaving your home are sure to be dancing around the heads of the whole family. You do have to get past the construction phase first, however, and that can be less than fun. Those dreams are what will get you through days of a messy back yard full of equipment and workers. While it should not take too long if the weather cooperates, there are some tips that can make the whole process easier on even the youngest of family members.
Young children that are used to running free around the back yard or wherever the new pool construction is taking place will likely have the hardest time, as they may not be able to make the connection that the current chaos will lead to future fun in the sun. Try to prepare them by explaining before everyone shows up and when they start arriving that they will not be able to play in the area where construction is taking place. Be sure to plan some outside time elsewhere during construction so young ones do not get to frustrated being cooped up. Allowing them to watch through windows or at a safe distance can be helpful and very entertaining as well.
Speaking of widows, try to pick up some simple drinks to make available to those working on your new pool construction. Though it may not be necessary, it will go a long way toward inspiring them to work as quickly and efficiently as possible, and reduce the number of trips they take to get drinks elsewhere. It will also teach your kids how to they should treat others, and it will make you feel good.
It may also help to have a plan for which restroom you want workers to use, and make arrangements for when they need to come into your home. Having a rug readily available for them to wipe muddy feet on will save your carpet. Prepare the new pool construction area as well buy putting away any outside toys and furniture for the duration of the construction. This will keep your property safe and save the construction workers the time of doing it themselves, meaning they get started on your pool faster.