Friday, 10 March 2017
Eight qualities of Saturday born
Tuesday, 15 November 2011
Why Small Business Needs a Logo?
Muthu Ashraff
Cosmic Adviser
Mobile : +94 777 265677
E-mail : cosmicgems@gmail.com
Web : http://www.cosmicgemslanka.com
Blog : http://cosmicgemslanka.com/blog/
Thursday, 10 November 2011
How to Allocate Your Business Profit?
You are delighted to see that your business has made substantial profit at the end of the financial year. At this moment you face a problem. How to allocate business profit into competing wants? I am listing below the theory of three parts allocation:
In history and human thought kings, philosophers, prophets and enlightened tradesmen were using the number 3 as the number for trade and wealth. Even Hindu cosmologists considered the planet Jupiter as wealth giver and assigned it with number 3. Following their steps I am sketching for your benefit a three part business profit allocation method:
Allocate one-third of Profit within a Business
Business must grow from year to year. As each year passes you see the level of operations is rising. This entails additional capital requirements from you. There are two types of capital requirements. One is for purchase of new fixed assets or re-furbishing of the existing ones. This is called as capital expenditure. The other is additional investments in inventory and receivables which is popularly known as working capital. Both capital expenditure and working capital are combined together to enhance the capacity of the business to produce goods and/or services in an effective way.
Allocate one-third of Profit outside the Business
An age old adage obliges you not to keep all your eggs in one basket. It is true that your business is growing and needs more cash to grow faster. But it does not mean that you should put all your money in a single enterprise. Any novice knows that, it is better to bet on more than one horse in a race. In modern day risk analysis the fundamental theory is to spread the risk. So be wise. Park your one – third of profit in a different area. Maybe you can place it in bank, share market, gold or other investments. In some cases you may open a subsidiary to your main business and invest it there.
Allocate one-third of Business Profit to You
In the rush you have forgotten about you, your family and the society out there. As an owner of the business you need compensation. This we call as drawings in the case of sole proprietor and partnership and dividends in the case of limited liability companies. You have to live and run a household and attend to the upkeep of your family. More than that, you have to contribute some part of your income as charity to the society at large. Therefore, it is duty cast upon you to allocate one-third of business profit to you as owner.
Cosmic Balance
If you follow this scheme of allocation, you are in cosmic balance. There is a triangle formed: one is your business, other is your savings/investment and next is your own self. By following this three part allocation of business profit you will be able to get your cosmics working for you in perfect harmony. As you know cosmics are aspects residing in you and influence you and your business throughout.
Muthu Ashraff
Cosmic Adviser
Mobile : +94 777 265677
E-mail : cosmicgems@gmail.com
Web : http://www.cosmicgemslanka.com
Blog : http://cosmicgemslanka.com/blog/
Monday, 31 October 2011
What are your Business Assets?
Many of you are engaged in some form of business and employ quite some assets in generating revenue. Basically, you use solid assets and soft assets. There is another category of assets which you use but do not understand how these are functioning. These assets are known as “Cosmic Assets”. Let me explain solid assets, soft assets and cosmic assets:
Solid Assets
These are hard assets employed in a business and have several features such as tangibility, physical dimension, durability and reality. Land & buildings, plant & machinery, tools & equipment, inventory, vehicles, furniture & fittings are key assets under this category. Most of these have re-sale value. However, these assets are fairly illiquid in the sense that there is no ready or over the counter market.
Soft Assets
Softs assets are divided into four groups:
1. Financial Assets: In contrast to solid assets, financial assets do not convey any sense of durability or reality. Though there is tangibility of sort, soft assets can vary in terms of physical appearance. Currency or stock/bond certificate has physical appearance whereas balance in a bank has a notional appearance. As regards to liquidity, money and bank balances are very liquid while share/bond certificates could range between liquid to illiquid due to market conditions. Financial assets have realisable value
2. Intangible Assets: As soft assets intangibles do not have a ready price tag. Other than that these assets do have physical characteristics in the form of drawings, models etc. Intangibles of a business include: Technology, Patents, Brands, Logos, Names, Designs, and Copyrights. All these are now protected as Intellectual Property Rights (IPR). In order to make Intangibles soft assets you have to ascribe monetary value. This is done in two ways:
I. When a business is a going concern intangibles could be valued and shown in the financial statements of a business as an off-balance sheet item
II. When a business is sold it is gone concern and intangibles are valued and collectively called as goodwill
3. Human Pool: People employed in a business is an important soft asset. There is no doubt that they generate the cash-flow for the business
4. Customer Relationship: A business exists in an environment where people inside the business interacts with customers outside a business to generate sales and realise revenue. Hence, customer relationship is an important soft asset
Cosmic Assets
Cosmic assets are interwoven in a business. You neither recognise these cosmic assets nor understand how to harness their cosmic energy. The lucky business gets it right when the cosmic assets start functioning on their own. That is why 90% of businesses are not successful. If you understand and evaluate cosmics you can employ the cosmic assets to your own advantages.
Let me list below few forms in which cosmic assets are seen:
1. Steven bought a furniture business; first thing he did was to get rid of the wooden table the previous owner was using. Within few months the business crashed. Steven still does not know that the table brought the business
2. Business name of a jeweller has the letter “m” in a prominent manner; his business is thriving even during recession
3. The name and emblem of North Atlantic Treaty Organization (NATO) has cosmic power that last for several decades
4. Old and tested Cuticura soap and talcum powder are sold since 1865 relatively unchanged.
Muthu Ashraff
Cosmic Adviser
Mobile : +94 777 265677
E-mail : cosmicgems@gmail.com
Web : http://www.cosmicgemslanka.com
Blog : http://cosmicgemslanka.com/blog/
Friday, 28 October 2011
How Business wields power?
If you are in a business you are already familiar with few instruments of power you are wielding to get ahead in your activities. This blog post serves as a primer on the types of power a business has and how such power is manifested.
There are five types of power: hard power, soft power, smart power, stealth power and cosmic power. Each type of power is explained below along with the modes through which such power is wielded.
Hard Power
Generally this type of power is exercised by a strong business entity or a business that perceives it to be a strong one over others in a particular industry. Hard power ranges between political to economic spectrums. The following are instruments used for making hard power felt across the board:
1. Price-cutting: Blanket instrument targeting several businesses in one go
2. Pressure Tactic: Selective instrument targeting a single weakling in a group
3. Follow Me: Patronising other businesses to toe the line
4. Threats: Real hard-ball penetrating into the nerves of competitors and instilling fear of failure
5. Sanctions: Hitting the bull-eye of a specific business where it hurts
Soft Power
This type of power is demoed by a business that is not necessarily strong but has certain advantages over its competitors. Soft power uses instruments within political to social spectrum. The following are methods used for making soft power felt across the board:
1. Business Policy: Use of social engineering and political gamesmanship to achieve business goals
2. Networking: Building contacts and alliances in civil society members such as government think tanks, Non-Governmental organizations, consumer societies and vested interests to achieve one-upmanship
3. Image building: Progressively building the image of “holier than thou” and “in moral high plain “ to achieve business goals
4. Media cover: Getting the media to defend the business in the first place ; hogging media and using trial by media to its own advantages
Smart Power
When you combine hard and soft power effectively you get smart power. Hence this type of power uses instruments ranging from political to economic to social spectrum. Smart power can be exercised by a strong business as well as a week one provided that the instruments used are selected to suit the situation in hand. Hence, smart power is limited by the situation rather than the instruments per se. In addition to instruments listed under hard power and soft power above, businesses use information or more precisely misinformation in exercising smart power.
Stealth Power
Business opts for stealth power when it is faced with a situation where hard power, soft power or smart power cannot be used effectively. Although stealth power uses instruments ranging in political, economic and social spectrum it does so via surprise and under cover of darkness. Here are some of the noted instruments of stealth power:
1. Bribery: Sop the Cerberus is time-tested method of getting through business objectives
2. Corruption: Putting opposing parties under obligation
3. Espionage: It is the Mossad motto: By way of Deception
4. Black-mailing: While arm twisting is hard power the same thing done in stealth is black mailing
5. Stage Setting: Getting competitors to walk into a trap and lose profits is a key stage setting method
Cosmic Power
Even though businesses have immense source of cosmic power they hardly use any of it. Cosmic power arises from internal strengths: Here are few examples of cosmic power:
1. Brands : Think of Microsoft
2. Presentation: Form of Coco-Cola bottle during the World War II
3. Logos: Swastika of Nazi Germany
4. Mottos: Apt statement impressing all: “In God we Trust” says the greenback
5. Mission & Vision statements: Careful wording makes a business noteworthy
6. Lifestyle: It is the name of the new successful business game in cosmics
7. Charisma: Business charisma is nothing personal nor is linked to the founders only. Waldorf Astoria hotel group has this in plenty.
Muthu Ashraff
Cosmic Adviser
Mobile : +94 777 265677
E-mail : cosmicgems@gmail.com
Web : http://www.cosmicgemslanka.com
Blog : http://cosmicgemslanka.com/blog/
