The following three articles that I wrote for my Forbes column will provide useful background information as you are analyzing early-stage and other companies in which to invest.
Cracking the Investment Code: The Tried-and-True Method for Achieving Investment Success
This article discusses what I like to call the “Three Rights.” The Three Rights are the Right Business, with the Right People, at the Right Price. Warren Buffett often talks about how he follows the Three Rights in his letters, annual reports, and videos. The Three Rights are important to keep in mind when analyzing any enterprise in which to invest – from the most early-stage company to a Fortune 500 company.
Using Six Essential Concepts of Investing to Build Wealth
Two of the key parts to this article are that a company should have: (1) a large market opportunity; and (2) an unfair competitive advantage. The article also discusses the concept of the “Three Rights.”
Looking at Strategic Management Through a Financial Model Lens
A financial model is appropriate for exploring strategic management, as it is the creation of shareholder value, which is the goal of working with the Value Creation Process Chart, which is also the goal of strategic management. This article discusses how enterprise value creation and strategic management are dependent on one another and how to utilize both for effectively managing organizations.