Listen to this post! Click play to hear George & Mary-Lynn on The BIGG Success Show Podcast (Duration 3:29)
In the hit movie, Wall Street, Gordon Gekko (played by Michael Douglas) said to his protégé, Bud Fox (Charlie Sheen):
“The key to the game is capital reserves. If you don’t have enough, you can’t piss in the tall weeds with the big dogs.”
How’s your access ability?
We hear it all the time – cash is king. But it’s not just cash that matters; it’s also access to capital.
Large companies generally have that. Small business people often don’t.
So it’s crucial to manage your cash flow wisely. Make sure you’re getting a return on every dollar that goes out your door. Because…
Even if an outlay goes to your Income Statement as an expense,
it should still deliver a return to you or it’s not worth spending the money.
In addition, build up your reserve borrowing capacity. Protect your credit rating like you would any other asset. Then you’ll be able to take advantage of opportunities when they present themselves.
Watch your debt ratios so you could always tap into some money if need be. But also be aware that …
Money is less important today
Money is less important today than ever before:
- You can start a business with less money
- It takes less money to keep a business going
- It costs less to scale up for growth
Technology is making it possible to do things that we couldn’t do in Gordon Gekko’s era. Open source software and the cloud are reducing the investments required.
However, the real power isn’t in the technology. It’s in the people behind it.
We’re not talking about the people who create it. Of course, they’re important too.
But we’re thinking about the people who use it – people like you, people like us.
The real leverage today is not with money.
It’s with people deploying technology.
People connecting. People building relationships. People collaborating.
We can do together what we can’t do alone. We can do it better and faster.
More importantly, even the little guy can compete with the big dogs, as Gordon Gekko, calls them, like never before.
The key to the game is your network.
So instead of focusing on financial leverage, think about how you can leverage your network.
It’s the key to making more money, more dependably! That’s BIGG success!
How has your network helped you?
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