milestones or millstones?

Posted by in Investing, Opinions

When we work within our businesses on growth capital strategy we don’t advocate the popular funding principles of ‘bootstrapping’ (UK) or at the opposite end ‘get as much as you can’ (USA). Instead we advocate a milestone based strategy where the company targets a capital raise that gives it sufficient leeway to achieve a substantial, […]

running a marathon

Posted by in Investing, Opinions

The catalyst for this post was a comment from a good friend over the weekend who was talking about his (sub 3hr) marathon strategy. His comment was that when he realised “the way to run a marathon is to consider the halfway point to be 22 miles” that it really step shifted his abilities. The […]

do you eat your vegetables?

Posted by in Investing, Opinions

You’re never too small to forecast. There are a surprising number of entrepreneurs I meet who seem to view forecasting/budgeting as a chore rather than a necessity. It’s one of those regular scenarios where I seem like a dullard, old man, nagging about the need to do financial forecasting when the world of being an […]

predicting the pinch

Posted by in Investing, Opinions

You don’t need to be an accountant to be an entrepreneur, nor do you need to be an untaught but genius financial wizard. But I do believe you do need to be able to forecast your cash and you need to do it yourself. Why? Basically because without cash your life as an entrepreneur is […]

hard coded outputs…. shame on you

Posted by in Investing, Opinions

A financial model is not a business plan. Even if it is allied to a ‘vision’ document or route map. Instead it is an excel spreadsheet with a series of numbers in it that calculate a series of outcomes. 1+1=2 etc….. Not a business plan: Spreadsheet + Vision document = an idea with numbers open […]

owning a winning horse

Posted by in Investing, Opinions

It strikes me that assessing which growing businesses to invest in may be a bit like a professional horse owner determining which races to run their horses in.  Full of risk but, with domain knowledge and a good understanding of the bigger picture, you can place your investment bets more wisely, endeavouring to mitigate risk […]

playing the percentage game

I am not a fan of business plans that include statements such as “we intend to get X% of the market” and/or “with only X% of the market we…….. can be kings”.  No matter how small that market share might be (5%, 1%, 0.1%!) it really doesn’t work for me. Call it playing the percentage […]