I can remember when I was growing up as a teenager in high school I use to be absolutely terrified of numbers.
I hated any type of math, anything that involved using any type of equations or numbers no matter what it was; I didnít want anything to do with it.
This phobia concerning numbers continued on into my early years of college until I started to realize just how important mathematics was, especially when I changed majors and started attending business school.
Numbers are imperative for any entrepreneur to understand, even if itís just the mere basics. One of the biggest issues that young entrepreneurs struggle with I believe is financial matters and itís not just young people who get into to trouble when it comes to finance but older individuals do as well.
No longer can the entrepreneur just turn all of their materials over to a C.P.A. and let them handle everything and take their word for it. You must understand financial statements, learn how to interpret and read them, and make imperative decisions once you figure out what your financial situation is.
This is the same action that will take place when you go to acquire financing from banks, venture capital firms/angel investors and any other types of traditional/contemporary funding thatís available today.
Lending institutions are usually less concerned with your fantastic idea and more interested in reviewing your numbers or the numbers that your company can project.
If understanding financial equations or reading financial statements is something that you feel you donít completely understand, try reading up on the topic just to grasp the general information and basic necessities of this area.
You donít need to be an investment banker or anything, but just being able to know what youíre looking at and knowing the ďlingoĒ when attempting to put deals together can be enough to help you grow as an entrepreneur and widen your abilities and skill sets.
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