What do Magicians, Grifters and Financial Legerdemain Have in Common?
Magicians are pretty amazing, aren’t they? They do stuff right in front of our eyes … we’re on the edge of our seats … expecting the unexpected … and even…
Featured Posts in the category of Finance
Business Finance | Are You Ready for an Injection of Financial Adrenaline?
If you’ve ever exercised by lifting weights, you know that the amount of the weight on the bar is only one variable that needs to be considered for a particular exercise
If you’re doing a bench press, you can add more weight because your chest and shoulder muscles help your arms to lift the weight
But if you put 50% of that total weight on each of two dumbbells, you can’t lift either one
You’ve probably also learned that you can’t use the same weight for curls as you do for bench presses
How much weight can you really lift?
[pullquote]“Make everything as simple as possible, but not simpler
” ~ Albert Einstein[/pullquote]
Likewise, if you’re going to do only one repetition, you can handle more weight than if you’re going to lift it ten times
If you are lying flat, (more…)
Business Finance | Have you met the Scavenger’s Daughter?
Impressing your bank less important than being able to hit targets
The Scavenger’s Daughter? Might be the name of a lost Dickens novel … or an indulgent misnomer for a the infamous rack that not only stretched but crushed its victims during the reign of King Henry VIII.
Thumbscrews, pilliwinks, breaks and the tormento de toca were other methods used to punish those that broke their “covenant” with the King.
Fortunately, those punishments are relegated to history’s ash heap … at least I’m pretty sure that banks aren’t using any of these default provisions.
Compliance with financial covenants
Compliance with financial covenants, however, has never been more important. Today, banks have an arsenal of covenant choices that are used as an early warning system to alert participants to potential problems that may jeopardize their financial well-being.
It’s important to recall that covenants are based upon (more…)