The core of a strong business is not a mystery nor is it a complicated mess. It is found in the wisdom of Warren Buffett.
This is what he would say if he was buying your small business:
- I want a consumer monopoly …
- with a strong track record of earnings, …
- and a healthy return on equity, …
- with the ability to reinvest those earnings at a high rate of return, …
- with little debt on the balance sheet, …
- the ability to increase prices to inflation, …
- and healthy margins relative to other industries.
These are the same principles he used to turn an initial $105,000 investment into a $40 billion fortune and in a nutshell folks, these are the fundamentals that can be wired into a small business in order to produce superior results. It is not necessary to build the next global, multi-billion dollar, sugar water conglomerate in order to be successful, but the more you “Coke-ify” your business, the better the results.
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Building a Small Business That Warren Buffett Would Love,available atAmazon.comorBarnesandNoble.com.
The over-arching vision of Building a Small Business That Warren Buffett Would Loveis to create
One Million Jobs.
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