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Showing posts with the label financial statements

Just my thoughts #0720

In <What Is Life?>, written by Lynn Margulis and Dorion Sagan, there is an expression, “Independence is a political term, not a scientific term.” Independence is the state in which a person can live alone without help or influence from others, using their own strength and ability. The condition of being physically separated from the community is called “isolation.” Independence and isolation are different. Isolation should not be mistaken for independence. To exclude influence and secure autonomy is independence, while deliberately cutting off relationships is isolation. Independence is based on achievement; isolation is based on hurt. To grow, you must be independent, not isolated. - Joseph’s “just my thoughts”

Just my thoughts #0578

Let’s think about it this way. If you run a business and only make one transaction per day, chances are you won’t keep a record of those transactions because you can remember them. However, if there are hundreds of transactions in a year, or even in a single day, will you be able to remember all those transactions? A business makes a profit , but do you know how much you have earned or how much you’ve lost? After all, if we don’t keep the books, we can’t know the profit or loss. Those book records are called financial statements ( balance sheets ). You can do business without reading and understanding financial statements, but you’re just doing the hard-working, foolish thing without knowing the real content of the business. - Joseph’s “just my thoughts”

Just my thoughts #0174

Founded in 1991, the American craft beer company, New Belgium Brewing Company, is unique because its employees hold all the shares. Since 1996, the founding couples have distributed 10% of their shares to employees annually as incentives, and they have now completely transformed the company into an employee-owned entity. Currently, the founders hold no shares in the company. Furthermore, all employees receive financial training to enhance their management mindset. Training in financial statements, which includes everyone from minor clerks to executives, is standard practice for the company. Running a company without the ability to read financial statements is like signing a contract without understanding the terms. - Joseph’s “just my thoughts”