When it comes to buying, selling or investing in a business the important question becomes ’How much is the business worth?’ As an investment banker and investor I have looked at over a thousand businesses over the last 20 years. Those businesses were sometimes represented by a realtor, sometimes represented by a lawyer, sometimes represented by an accountant,…
Category Archives: Business
Are You Afraid to Commit? … Numbers Show Many are Being Held Back from Success Because of Their Fear
In today’s world it seems all too easy to live a life of non-commitment. As evidence, recent statistics show that 51% of Canadian adults are ‘single’. However, commitment isn’t restricted to personal relationships. Commitment is defined as ‘An agreement or pledge to do something in the future’. So, based on the above statistic, is commitment…
Increasing Share Price Through Shareholder Diversification
In the stock market there are various ways to determine the value of a stock. However, ultimately it isn’t the analysts or stock brokers that determine the price of a stock, though they can have significant influence. It is what the investors are willing to pay to acquire that stock and what sellers are willing…
How To Manipulate Cost-Benefit Analysis
Cost-benefit analysis is an approach to making decisions that examines the costs of an initiative compared to its benefits. In most cases, the goal is to generate more total benefits than the total costs. TB (Total Benefits) > TC (Total Costs) However, in situations whereby services have to be provided by obligation, such as the…
Abercrombie & Fitch Co. Offers Money Not To Wear Their Brand
In a news release posted yesterday, Abercrombie & Fitch Co. stated that having Sorrentino seen in its clothing could cause “significant damage’ to the company’s image. The company goes on to say that a connection to The Situation goes against the “aspirational nature” of its brand and may be “distressing” to customers. It appears that Abercrombie’s intent is to…
TD Bank Takes Gamble with Paying $4,778 Plus Debt Per Credit Card Account
Recently I wrote an article about how to calculate the value of a business. Toronto-Dominion Bank deal is an example of the irrelevance of valuation techniques used by most industry professionals. In the end it is what a buyer is willing to pay for a business that determines the company’s value. Image via Wikipedia The Toronto-Dominion…
Debt and the Future of the American Dream
With the recent lifting of the United States debt ceiling its debt as a percentage of Gross Domestic Product (GDP) has reached 100 per cent. This was necessary in order for the U.S. federal government not to default on its debt. The last time the U.S. federal debt reached this level was just after World…
Debt and The Future
Debt is very simply a commitment to pay back money (or other resources) that have been borrowed. The act of borrowing is inherent in human beings and it is evident, such as when a child wants to play with a ball and asks to borrow one from a friend. The friend lends the ball with…
False Advertising And The Law
Many Canadians aren’t aware that it is actually illegal to make false claims in your advertising. Sure, one may know that it is not ethical, but very few are aware that it is illegal. This isn’t surprising given that the laws aren’t being enforced by the government. Since they’re not being enforced it is as though…
Maximizing Success Conference in Phoenix, Arizona.
I’m in sunny and warm Phoenix, Arizona for the Maximizing Success Conference (March 23rd – 27th) organized by Debbie Allen and Patricia Drain. Given the long flight I decided to come in a day early and rest up for the conference. Since Phoenix ins’t known for its sophisticated public transit system and I have several…
