Lessons Learned Entrepreneurial
Finance
Background
22 years
Companies
Variety of
positions
Personal lessons learned as a Finance person
In God we trust - all other bring
facts
A little bit of inaccuracy saves tons of
explanation
If you win the Rat race you are still a
RAT
If you feel like your thrashing, If you
feel like you’re burned out, if you feel like you want to be somewhere else
there’s one thing you can certainly depend on….your not the first to notice this
about yourself. The sales folks may be able to hide these feelings most of
us analytical types can’t
At some point you will end up on the
other side of the table
Get Operational experience. Live in
the other functions shoes for awhile. You will be amazed at the increase
in respect you receive and influence you gain.
Don’t complain about other functions with
Fiaince folks. Spend less than half of your work social time with other
finance folks.
If the BOD and CEO are shooting at each
other…they’ll both ask you for ammunition and then they’ll both shoot at you at
the same time.
Be kind and respectful to everyone, they
deserve such treatment, even those who don’t reciprocate
Get mad, let it out quickly and don’t
bother about getting even.
Business lessons learned as a
Finance Person
Cash is and always will be king.
Multiply the importance of this a hundred fold if you’re an entrepreneur. It is
the most precious resource.
Never spend the next six month’s
cash…OK...I have done this and it sucked
Gross margin is a useless ratio with your
first ten customers
ASP is a useless number until you reach
profitability or your market becomes saturated.
Ignore ROI until you have a return.
Ignore cost of capital when you don’t
have any other option
Get comfortable asking for money, help
and anything else you need
Use forces don’t fight them.