Goodrich & Associates

How to Earn a Profit and Still Go Out of Business – Earn less than your cost of capital (January 2018)

“Cost of capital” refers to the minimum return investors expect for providing capital to the company. In order to survive over the long term, and despite whatever profits you earn, your business needs to earn more than its cost of capital In today’s newsletter I explain why, and offer suggestions for managing this important measure. Read more…