On Dec. 7, J.C. Penney, a leading department store chain, announced that it is acquiring a 16.6 percent stake in Martha Stewart Living Omnimedia (MSLO) in exchange for $38.5 million in cash, or $3.50 per share. J.C. Penney will receive one board seat as part of the deal, and MSLO will [...]
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Small-business owners work very hard for their money. When a business becomes successful, it’s either sold for a large profit or it produces significant amounts of cash that can be taken out of the business instead of reinvested. In either case, the owners must decide what to do with the money.
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MF Global, a leading derivatives broker with over $40 billion in assets, filed for bankruptcy on October 31. Headed by former Goldman Sachs CEO/Senator/Governor Jon Corzine, the company made risky investment decisions, which failed and wiped out the company’s capital.
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This year has been very volatile when it comes to money. Stocks, bonds, currencies and commodities have seen significant price increases, decreases or both. It seems as though every week a new crisis—real or imagined—is making news around the world.
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Despite all of the economic challenges facing our country at the moment, mergers and acquisitions activity (“M&A”) is showing signs of improvement. During the second quarter of the year—the most recent period for which statistics are available—over 2,000 M&A transactions were successfully completed.
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The 10-K is one of the most important financial filings required by the SEC. All companies with publicly-traded securities must file one within 90 days of the close of their fiscal year. If you need to conduct in-depth research into a competitor, potential client or strategic partner, the 10-K is a [...]
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When it comes time to pitch your company to investors, most business owners play it safe. They have their traditional PowerPoint presentation that includes the Mission, Vision, Product description, management team experience, sales strategy, financial projections and competitive advantages. That’s fine, but it isn’t enough to convince investors to write [...]
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Cutting budgets and slashing spending has become all the rage lately. State governments, the federal government, even foreign governments have come to the realization that you can’t keep spending money you don’t have forever. Deficit spending requires a number of willing partners. Trading partners, foreign central banks, and institutional investors [...]
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Access to capital is the thorn in the side of most growing businesses. “If only I had more money I could…” is a phrase that starts so many conversations with business owners that it could be considered the “entrepreneur’s mantra.” This is not whining on the part of business owners; [...]
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Warren Buffett is the most successful investor in the world because he knows that great companies make great investments. Identifying great companies requires an understanding of accounting and the ability to read and interpret the basic financial statements: the income statement, balance sheet and cash flow statement. Analyzing, tracking and [...]
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