Associate Degree: Financial Planning
Hi everyone. My name is Damiano Shehu and I am a student at the Hubbard College of Administration. I recently finished a course on Financial Planning for my associate degree and I would like to share my wins with you guys. First of all, I really enjoyed this course because it is as applicable in business affairs as it is in everyday life. I mean everyday, whether it is business or personal matters, we deal with financial decisions. So, wouldn’t it be great to have a practical and applicable guide to base your financial decisions on? Well, that’s what this course did for me. I now have an understanding of what money really is and how money is exchanged within the society to form an economy.
Next, if you in your personal life or business want to survive and be able to expand you will have to make more money than you spend. This seems pretty simple, right? Well, let’s take a look at large corporations in the USA, especially during this economic crisis, and we see that these corporations are spending way more than what they make. What are the consequences of that? Massive bailout sums reaching 10s of billions of dollars. Now you are probably thinking if it was that easy everyone would do it? Well here is a misunderstanding in economics. Let’s say our company is in an emergency. We are spending more than we are making. Now, how do we solve this situation? You would immediately think of saving money by reducing the budget for promotion and lowering production rates, etc. By doing so we spend less money but also we MAKE less money. We have bills that are overdue, taxes to pay, employees and all of the other expenses. Next month, we end up economizing more and cutting off more promotion and production and we continue down this road until we meet a seemingly friendly banker that offers us a loan at really tremendous interest rates. Stuck in a corner with nowhere to go we are forced to agree to the loan, putting at the mercy of that banker. This happens to a tremendously large number of new businesses.
So, what do we do to effectively handle this emergency? The first step is to PROMOTE. The only way out of an emergency is income is to promote. By doing so you make your product and services known to the public and that will result in new people coming in for services or products. This increases production and income. Now that you have successfully promoted you economize and don’t waste money on unnecessary things. But you always keep promoting, the moment you stop promoting. The moment you stop promoting your income will steeply decline.
The above and many other financial theories were covered in the Financial Planning course. This is one of the best courses I have done so far and I would strongly recommend it to any business owner who wants to prosper in these dark, economic times.
By Damiano Shehu, an Albanian student from Tirane on the associate degree program at the Hubbard College of Administration (HCA), Los Angeles, CA. The HCA is a self-paced business school that offers an exceptional business administration curriculum, unique learning technology, life-changing apprenticeships and internships, assistance with job placement and a lifetime warranty for students. I am currently on the Ethics for Business Survival apprenticeship.
Tags: Associate Degree
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August 21st, 2009 at 1:31 am
great comments Damiano. looks like the course was really worth it
August 21st, 2009 at 4:10 pm
Good job Damiano~!!! ^.^
I think this is very important for a company.
But many people who is a boss or a manager didn’t know this….
This part actually can improve a company’s survival.
Let us apply this in the company…. ^.*
August 21st, 2009 at 5:37 pm
Very well said Damiano, as you mentioned in our “economical crisis” many small businesses are going out of business and their justification is the economy; However, when they did not do effective promotions in the past and they are not doing any promotions now, what they will have in their hands is less money and less public interested in their product.
Promotion is key to success, as you said, and I am glad you mentioned it. Businesses fall because they don’t have correct technology.
Another key point in Financial Planning is to spend money on things that are absolutely needed to deliver the Valuable Final Product, and this is done by proper planning and correct observation on the company.
Congratulation on completing your course let me know how you did on your Apprenticeship.
September 2nd, 2009 at 3:49 pm
You got it Damiano!
You did break down to a really interesting way to look at it. Our economy is in the middle of a CRISIS.
And the solution you have shared through what you have learned in the Financial Planning course make a lot of sense.
Well done man!
September 2nd, 2009 at 8:28 pm
I think it is a good course! As your success story, even though you know that how to control a company’s operation, it’s still vital to get your business move on correct route. I had learned some data of how to apply the data into certain condition. Cause of I haven’t work already, so there still have some keys of how to apply the data into real business, not only in normal life. So basically, every courses in HCA have their own essence, they’re valuable to learn!