#UnleashPotential tip: Be open to growth and change and eliminate the obstacles that prevent them.
While Matt Smulski’s biggest pride and joy is his family, he also truly values the Far West Capital team, his work environment, and the opportunities the company provides. Matt shares his story, his favorite vacation spot and what he loves about Far West Capital in our latest employee spotlight.
After Chicago Mayor Rahm Emanuel sent letters to Bank of America and TD Bank asking them to reevaluate their relationships with gun manufacturers, Texas Senator Ted Cruz sent a strongly worded joint letter in response to the Chicago banks, gun manufacturers, and the mayor. Senator Cruz offered to help the banks bring business to Texas, thanked the gun manufacturers, and scolded the mayor. For the full letter, click here.
While we would be the first to admit that Phil Mickelson is a stud on the golf course, we find he is a real wussy off the course. Recently, he made a comment that he was thinking about leaving California because of the increase in state income taxes. He later retracted his statement saying it was “insensitive” to those who didn’t make as much money or those unable to find a job. We keep thinking any day he will be on Oprah apologizing with tears in his eyes. Give us a break, Phil. This is America and you are a great golfer. Period. You shouldn’t feel the need to apologize to anyone for having a unique talent that earns you big dollars. Now get the hell out of California and move to Texas!
A recent Austin American-Statesman article featured non-traditional lending options, but they didn’t mention factoring or asset-based lending. Since the economic downturn, factoring and asset-based lending have grown tremendously because businesses need a way to grow when bank loans aren’t available and equity is way too costly. Have questions? Give us a call!
Far West Capital is hiring a Business Development Officer at the El Paso office. Take a look at the job description, and if you think you’re a fit, let’s talk!
As our long-time readers know – we are all about goals, accountability and passion. We recently saw this license plate that speaks to all three. Without even knowing this person, you can bet they have a sound plan to WIN! And the car was a hybrid…geez!
We had the opportunity to discuss factoring and financing solutions with CBS MoneyWatch. Many of our clients find themselves with timing issues that hinder their growth. In this article, we explain how businesses can solve timing issues, how to better manage accounts receivables and how businesses can improve their relationships with their customers.
Please tell us you have finished or are putting together the final touches on your 2013 Budget! We would be the first to admit that creating a budget is not fun, but it could be some of the most rewarding time spent this year for your company. “How in the hell can that be possible?” you ask. Simple: focus. Plus, it makes you (or it should) look at two words that are the most powerful words for any enterprise – WHICH AND WHY? Spend some quality time looking at every aspect of your business with these two words in mind. The time invested in planning is never a waste.
Here are some excellent examples to point you in the right direction:
- Which is more important today: profit or growth?
- Which product or service is the most profitable? Don’t forget the Parieto Principle.
- Why are we in these markets?
- Which markets are the most profitable?
- Why are our margins going down?
- Why have we decided to focus on that ______?
Hopefully you can verbalize the answers. If not, make some changes and build it into your 2013 Budget.
Jamie Dimon, JPMorgan Chase chief executive, recently made a bold move by taking a shot at the asinine behavior of federal regulators. He stated the new regulations have made the financial crisis more complex with nothing to show for all the reform. “It’s five years after the crisis, OK; we still have not fixed a lot of the things you are talking about. Part of the reason [is] we are trying to do too much too fast,” Attaboy, Jamie! We respect leadership that speaks frankly.
If you’ve got arachnophobia, you might want to move to the next story. Earlier this month, a resident in a southern Brazil town saw a nightmare scene when he stepped outside to find spiders “raining” from the sky. Thousands of spiders descended from a mammoth web hanging off the power lines, and the video he took has arachnologists stunned. Enjoy this creepy video.
A few positive things (but not many) came out of the 154 page American Taxpayer Relief Act. The ACT did extend through 2013 the availability of the 50% first year bonus depreciation on new property, along with Section 179 increased expensing amounts of $500,000 on any eligible property. If you have been putting off upgrading equipment or other fixed assets, this might be a great year to visit with your tax advisor.
We love keeping up with Argentina, an awesome tourist spot we have visited four times. However, as we would say in Lubbock, they are “jicky as a run over rabbit.” The government recently instituted price controls because of runaway inflation caused by government intervention. So, they instituted more government intervention. They would do well to remember what Einstein said: “You can’t solve the problem with the same level of thinking that caused the problem.”
Luther Campbell’s life is like a movie – filled with a scandalous past, a tarnished reputation, and a new, inspirational lifestyle. 2 Live Crew, the rap group he is the former front man of, drew controversy because of its obscene lyrics and albums, which politicians tried to ban. Twenty-five years ago, Luther started a youth football program to give kids in his hometown an opportunity he didn’t have. He is now a high school football coach there who espouses good grades and no cursing. Luther’s story is one of second chances and changed priorities. The New York Times did an interesting piece about him that we recommend.
On March 30, TEDAustin is conducting the area’s first TEDxYouthAustin event for 700-900 middle school and high school students in Austin. The event promises to open the eyes of the audience to their potential and social responsibility.
At Far West Capital, we see many successful and not-so-successful businesses. Because we generally advance money to our clients based on assets (accounts receivable and inventory), we monitor these assets much closer than a traditional lender and get to see more details regarding how a business is operated. In some cases, we send a review examiner out to the company to spot-check financial records, inventory accounting and AR practices. Our own in–house examiner, Vince Mancuso, outlines a few common practices he sees during these reviews that might hinder the success of a business.
- Failure to promptly close their books each month – including bank reconciliations.
- Holding on to things long after their “shelf life” (i.e., slow-moving inventory). If it hasn’t sold in over a year, it shouldn’t be in the warehouse. While there are obviously exceptions, a general rule is the cash that was used to buy inventory could have been better deployed. Typically, this problem only gets worse if ignored.
- Not hiring correctly for the job — specifically the controller or CEO role. Don’t be afraid to surround yourself with good financial support that understands the nuances of small business cash management. Many times, the entrepreneur will try to handle too much, causing financial items to get pushed down the list.