Comments for RiskSmart Tips http://risksmartsolutions.com/blog Buy Your Insurance Last! Fri, 11 May 2012 14:58:57 +0000 hourly 1 http://wordpress.org/?v=3.3.2 Comment on Difference Between Business Expense and Investment by Charles T. Wilson http://risksmartsolutions.com/blog/2012/business-expense-or-investment/comment-page-1/#comment-196 Charles T. Wilson Fri, 11 May 2012 14:58:57 +0000 http://risksmartsolutions.com/blog/?p=475#comment-196 Thanks, Mike - I think those are very useful distinctions. Thanks, Mike – I think those are very useful distinctions.

]]> Comment on Difference Between Business Expense and Investment by Mike Van Horn http://risksmartsolutions.com/blog/2012/business-expense-or-investment/comment-page-1/#comment-195 Mike Van Horn Wed, 09 May 2012 18:19:33 +0000 http://risksmartsolutions.com/blog/?p=475#comment-195 Charles, I want to propose adding a category to your "investment vs expense:" I.e., "insurance." I'll define them: Expense. Money spent to produce your product or service or to keep your operation running. It keeps you going. Investment. Money spent to upgrade or expand your operation, on which you expect to get a positive rate of return. It makes you money. Insurance. Money spent to reduce a costly risk. It limits your loss. You deal with insurance--broadly defined. Backup plans, disaster prep, safety training, HR compliance, financial cushions, and of course, insurance. I see value in making this 3-way separation. We may need to bat this around some more. Charles, I want to propose adding a category to your “investment vs expense:” I.e., “insurance.” I’ll define them:
Expense. Money spent to produce your product or service or to keep your operation running. It keeps you going.
Investment. Money spent to upgrade or expand your operation, on which you expect to get a positive rate of return. It makes you money.
Insurance. Money spent to reduce a costly risk. It limits your loss.

You deal with insurance–broadly defined. Backup plans, disaster prep, safety training, HR compliance, financial cushions, and of course, insurance.

I see value in making this 3-way separation. We may need to bat this around some more.

]]> Comment on Difference Between Business Expense and Investment by Charles T. Wilson http://risksmartsolutions.com/blog/2012/business-expense-or-investment/comment-page-1/#comment-192 Charles T. Wilson Tue, 08 May 2012 20:23:55 +0000 http://risksmartsolutions.com/blog/?p=475#comment-192 Thanks for your comments and for adding examples and food for thought. Thanks for your comments and for adding examples and food for thought.

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