Opportunity Cost Decision Making

You Need to Know This Important Concept For Better Decision Making

When you opt for Cake against Ice-cream, you have sacrificed the experience of eating ice cream. When you opt for Watching TV over outing, you have sacrificed an enjoyable outing experience. Every day and in several matters, we choose one over the other choice. The choice we sacrifice in favour of the choice we make is the opportunity lost. This is why it is called Opportunity cost. This is … Continue reading You Need to Know This Important Concept For Better Decision Making

Key to Business Success

The Key to the Financial Success of Your Business

Every company aspires to become like Apple. Customers shall queue outside the store before the store opens, pay a premium price, wait eagerly for the next model, spread word of mouth, the product is a prestige symbol, huge company net worth, and mega market cap. To become Apple one can’t, ignore what Steve Jobs believed and said in the following quote. Customer Experience (CX) is … Continue reading The Key to the Financial Success of Your Business

Capital Structure

You Need to Know How Capital Structure Affect Your Profit

“Don’t spend Capital competing with people who are spending Profits.” Moffat Machingura The source of money you invest is very important. Do you do your business with own money or borrowed money?  Well, when you started the business, whatever source the money came from was welcome. But this has an impact on your business. The capital structure simply means the sources of money a company … Continue reading You Need to Know How Capital Structure Affect Your Profit

12 Important Reasons SME Business Loan Gets Rejected

12 Important Reasons Your Business Loan Gets Rejected

I have seen the happiness on the faces of many entrepreneurs when I placed loan sanction letter in their hand.  But loan rejection is not a happy state. Availing of loan is most business’s need for growth, especially for SMEs.  There is a limit up to which promoters can invest own capital in the business. Beyond a point, they need the support of external sources … Continue reading 12 Important Reasons Your Business Loan Gets Rejected

Interest Rate

The Impact of REPO Rate on Your Pocket and Business

REPO rate reduction of 0.25% is making the Indian investors excited. Investors believe this will trigger higher off-take of loans, higher economic activities. In reality, cheap money only can’t trigger more demand or higher capacity built up. There are several other factors. However, in this post, we will know about the RBI’s interest rate management. RBI manages liquidity in the market and inflation with REPO … Continue reading The Impact of REPO Rate on Your Pocket and Business

26 Sources of Capital – All You Need to Know

26 Sources of Capital – All You Need to Know

Once upon a time Capital used to be the scarcest available source of the business. Now the talent has taken over the top slot and capital has become abundant. But as it comes with multiple choices, which source and which type of capital is relevant for the business is another challenge. All forms of money are not equal. “Money is always eager and ready to work for anyone … Continue reading 26 Sources of Capital – All You Need to Know

Fatal Ignorance

Not Knowing Financial Ratios Can be Fatal for Your Business

“The number one problem in today’s generation and the economy is the lack of financial literacy.” Alan Greenspan Alan Greenspan is not true for personal finance but he is also right for entrepreneurs. Entrepreneurs whose success is determined by financial performance many times do not understand the nitty-gritty of finance. According to a recent survey by the National Financial Educators Council Americans squandered $280 billion last year due to poor financial understanding,. … Continue reading Not Knowing Financial Ratios Can be Fatal for Your Business