Firm Foundation

Businesses can live hand-to-mouth in the same way as people do. Pay-check to pay-check. They can require things to run smoothly in order to keep going. Like people can live conspicuously fancy lives, but be scurrying behind the scenes to maintain the illusion. Superficially successful companies can be over-reliant on good times. Money from the customers immediately being used to pay staff and suppliers as the show must go on. A person having an Engine or Capital to sustain an income if they can’t work, is similar to a business having Capital Reserves to eat into when times are tough. There are plenty of Investing Rule Number Ones to go around. My favourite is “Never be a forced Seller. Never be a forced Buyer”. But the real first goal is survival. Survival is the force behind decisions we don’t want to make, but make anyway. Having a buffer to get you through periods when that thing you do can’t be done. Whatever your purpose is, whatever meaning you want to create, whatever you want to be… it all comes down to the strength of the foundation. It’s all about the Base.

pic: www.benmolyneux.co.uk