“WACC is the average after-tax cost of a company’s various capital sources, including common stock, preferred stock, bonds, and any other long-term debt. In other words, WACC is the average rate a company expects to pay to finance its assets.”
Fraud is all around us, grabbing the headlines every single day. Fraud is a high-impact, low-probability risk with the potential to destroy a firm’s integrity and reputation very quickly. Many firms focus on the low-probability nature of fraud, and consequently fail to employ both resources and structure to address this risk. In our present climate, Fraud risk has been elevated and new types of fraud typology have evolved in concert with both cyber and money laundering.
I am no marketing, sales or branding expert but after a few minutes with Casey Boggs and Michele Houck of ReputationUs, I sure felt a lot smarter. I am still working on developing a tangible link between market value and book value. Typically, this difference is explained by three overarching themes.
Entrepreneurs are passionate about their products and services. Their strengths are often in those business disciplines closest to the customers and product: sales, marketing, engineering, and production. Financial management and accounting are often viewed as necessary evils. As a result, small business owners often postpone investments in strong financial management practices until the company reaches some mythical milestone in the future. And that can cost them dearly in the long run.
Just released from the private vault of CFO.University, this article on an interview with Bryan Roberts when he was CFO at Lyft.
I was invited by the NYU’s Stern School of Business for an interview with Brian Roberts, a past Chief Financial Officer of Lyft. In this interview Bryan discusses business models, valuations, autonomous vehicles, the impact of Covid, his biggest challenges and more.
