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Finance Library

Business Finance is one of the areas where CEOs and other business leaders do not have a clear understanding of some basic concepts … but we are committed to help you turbocharge your business with practical tips and techniques to improve free cash flow, the lifeblood of business.

Please check out the Featured Articles from our Business Finance Library to get you started. I hope you will also enjoy the e-book, Vanquish the Four Horsemen and Save Your Business.

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What do Magicians, Grifters and Financial Legerdemain Have in Common?

It's the money

Magicians are pretty amazing, aren’t they?

They do stuff right in front of our eyes

… we’re on the edge of our seats …

expecting the unexpected …

and even then we have no idea how they just did what they did.

Somehow, he gets you to look one way while he’s doing something else right in front of you … and you completely miss it.

Watch Apollo Robbins, the best pickpocket it in the world, and you’ll see exactly what I mean.

Financial Legerdemain: A Magician’s Trick by any other name

I’ve always loved the term, “legerdemain”. The shorthand definition is “sleight of hand”, kind of “now you see it, now you don’t”. Like Apollo.

But when it’s applied to financial metrics, with an unstated intention of distracting you from focusing on the right thing, it’s a particularly destructive force.

It’s the worst if you turn it on yourself … and end up deceiving yourself about what performance metrics really count. Read the entire article to avoid a fool’s errand ….

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Quotation: Is Pricing a Powerful Tool, a Slippery Slope or a Crap Shoot?

Over the years, I’ve written often about pricing … an enigma wrapped in a conundrum for most businesses.

It comes up in many contexts, from evaluating revenue performance, using pricing as a powerful offensive weapon and evaluating the slippery slope of price discounting.

If you’re the buyer, this quote by John Ruskin neatly summarizes the pricing challenge:

It is unwise to pay too much, but it is worse to pay too little. When you pay too much you lose a little money – that is all.

When you pay too little, you sometimes lose everything, because the thing you bought was incapable of doing the thing it was bought to do.

The common law of business balance prohibits paying a little and getting a lot – it can’t be done.

If you deal with the lowest bidder, it is wise to add something for the risk you run, and if you do that, you will have enough money to pay for something better.

Question: What’s the biggest pricing challenge you face in your business?

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Leadership | How Are You Paving the Road to Superior Performance?

In Can Radically Different Cultures Produce Equally Great Results?, I posed the question: If measured by financial performance, can dramatically different organizations be equally successful? In this short series about culture development, we’ll take a look at how sound business principles and cultural patterns often collide within an organization’s walls. How can opposing cultures both succeed? In many…

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Leadership | Flying blind? Assume Crash Position!

Do You Need to Start Your Own Bonfire?

Barely 500 years ago, Girolamo Savonarola was an outspoken and strident critic of the current order, angrily vilifying the worldly possessions that tempted people to become sinners.

He was ultimately excommunicated from the Catholic church, condemned for heresy, stripped of his priestly garments, hanged, and his body burned in the town square in Florence, Italy, a stark and ignominious ending to a life committed to vows of poverty, chastity and obedience.

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Lewis & Clark didn’t load the canoe with Mojitos!

What Does It Take to be a Great Leader? Every Tuesday, we’re sharing valuable and practical leadership tips and tools to help you BE a better leader so you can BECOME a better leader. Remember … you won’t BECOME a better leader until you start BEING a better leader … implementing NOW the changes necessary…

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Why are the biggest challenges the hardest to kill?

What Does It Take to be a Great Leader? Every Tuesday, we’re sharing valuable and practical leadership tips and tools to help you BE a better leader so you can BECOME a better leader. Remember … you won’t BECOME a better leader until you start BEING a better leader … implementing NOW the changes necessary…

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#100 – Building a Business: What have we learned in 4 years?

What Does It Take to be a Great Leader? Every Tuesday, we’re sharing valuable and practical leadership tips and tools to help you BE a better leader so you can BECOME a better leader. Remember … you won’t BECOME a better leader until you start BEING a better leader … implementing NOW the changes necessary…

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Business Finance | Pick a card … any card ….

New metrics to Define Financial Performance? In the tumult surrounding the 3D maelstrom (Debt Ceiling, Downgrading and Deficit) of several weeks ago, you may have missed another chilling corporate finance update on the relentless pursuit of performance metrics that extol the sunshine while you’re in the heart of darkness. Yes, there may be some economic value for…

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Business Finance | Valuation | What kind of investor do I need?

The Big River series

A Weekly Business Finance series for Non-Finance Executives! “Financial Adrenaline” is a term we love around here because it reflects our commitment to help you turbocharge your business with practical tips and techniques to improve free cash flow, the lifeblood of business. As a further extension of our Financial Adrenaline program, we’re going to share a…

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