Arnon Dror is a very successful businessman in the world of international finance. Very few individuals in this field can claim to attain his level of achievement. In fact, many of them regard him to be their mentor. He has over 20 years of valuable experience in this area under his belt. This MBA graduate has the distinction of holding the office of Vice-President in many prominent companies. These include Xerox, Creo Americas, Scitex, Kodak, Creo Inc. and Presstek. The people in these organizations say he is decisive and results-oriented leader. Many of these individuals give him credit for turning around the fortunes of their establishments. They also say he is an expert in many diverse fields. These include financial planning, ERP integration, IT systems, international taxations, internal controls, corporate mergers, and cash flow management.
Arnon Dror – Why do entrepreneurs need to prepare and execute a viable financial plan?
This prominent financial expert says entrepreneurs don’t think in the same way as most ordinary people. They use their exceptional talents and abilities to operate successful businesses. These individuals are always looking to improve an existing commodity or create something new. They then sell this product in the market at a reasonable price to make their fortune. These businessmen generally lead very busy lives. Almost all of them need to maintain a perfect balance between their work and leisure. This is the reason why they need to be proficient in financial planning.
He further clarifies entrepreneurs need to understand an important fact. Operating success businesses is never smooth sailing. They are going to come across ups and downs. Many of them may experience cash crunches from time-to-time. Devising and implementing a viable financial plan can help them tide over such a situation. It ensures they have the money they need to conducts their activities without any hassle. He states the following 2 important reasons why these proprietors need to take such a step:
- Helps the businessmen to organize themselves
Entrepreneurs can never say with certainty what form of business they are likely to operate. It could be a sole-proprietorship concern, partnership firm or a company with limited liability. Whatever concern they run, these owners first need to organize themselves. They should never their business finances with their personal wealth. Otherwise, they’ll end up paying more taxes then they need have to. This requires immense discipline. Only the implementation of a proper financial plan can achieve this objective.
- Minimizes risks
People who take the initiative to start their own businesses undertake a risk. They know the future is unpredictable. There is no hard and fast rule their concerns are going to be a success. However, they strive towards this objective. Entrepreneurs are aware of this fact when they borrow money from the market. The last thing they want is to be drowning in never-ending debts. Prepare and execute a proper financial plan to ensure this doesn’t happen.
Arnon Dror says the implementation of a proper financial plan can be a life-saver for entrepreneurs. The above 2 important reasons prove this fact without any doubt. However, not all of these businessmen may be capable of preparing and executing such a strategy themselves. In such a case, they should hire reliable experts to do it for them. They’ll soon find out it is money worth spending.