Numbers and Management: Without numbers, a business can’t grow beyond a certain point. Here’s a simple example: imagine you go to the bank to get a loan because you don’t have enough cash for your operations. To qualify for a business loan , you need financial statements like balance sheets . Banks don’t lend based on looks or abilities but decide if your current financial situation is promising for the future. It’s hard to get a loan if you don’t tell a story with numbers. If you rely solely on bank deposits , you’ll spend what you have or borrow if you run out. That keeps your business running as it is, but without verifying your creditworthiness with numbers, don’t even consider borrowing from the bank. Good debt can create leverage, but bad debt can wipe out even your past gains. - Joseph’s “just my thoughts”
Profits and Rewards : While profit and reward may seem similar at first glance, they are distinct concepts. Profit is more practical than reward and has a genetic basis . Reward, in contrast, offers comprehensive benefits and is aligned with life. For example, if a company promises to give stock options to its employees, that is a reward; however, if the stock option is officially recorded by a resolution of the shareholders’ general meeting , that is a profit. Profit reflects the realization of rewards. Our genes seek profit more than rewards . Nevertheless, rewards also help sustain life. An example illustrating the difference between profit and reward is seen in loss. Gambling and drugs may offer us emotional rewards , but they also show how we can experience diminishing returns by wasting our resources. Profits and rewards are clearly different. Many people confuse the two, which can harm relationships. - Joseph’s “just my thoughts”