How to Improve Your Finance Skills (Even If You Hate Numbers)

Harvard Business Review

If you’re not a numbers person, finance is daunting. But having a grasp of terms like EBITDA and net present value are important no matter where you sit on the org chart. Even if you don’t need to know a lot about finance to do your day-to-day job, the more conversant you are on the subject, the better off you’ll be, according to Richard Ruback, a professor at Harvard Business School and the coauthor of the HBR Guide to Buying a Small Business.

Which MBAs Make More: Consultants or Small-Business Owners?

Harvard Business Review

The value of that carried interest, of course, depends on the performance of the business, its size, amount of debt used to finance the acquisition and the eventual pricing of a subsequent sale. million EBITDA company for 4x paying $6 million and using 50% debt financing.

CAGR 14

Shape Strategy With Simple Rules, Not Complex Frameworks

Harvard Business Review

Employees frequently attribute breakdowns to incompetence or bad faith on the part of colleagues in other departments: "Those bozos in headquarters [or finance or marketing] screw everything up." To prioritize projects, for instance, the ALL team could have forecast future cash flows for every potential investment and ranked all proposals on the basis of their net present value.