A private equity firm is an investment company that provides private backing and makes investments start-up or operating companies through various investment strategies. Private equity firms have attracted the best and brightest in the corporate world, including top performers from the top companies on the Fortune 500 or the FTSE 100. Top performers at accounting and law firms are sought after due to the transaction support work required to complete the deal.
How do Football clubs make money?
Foreign countries buy the rights to broadcast live games. Recently China paid out £560 million in a contract with the Premier League and Sky Sports/BT Sports agreed a record £5.1 billion venture to show live games. Clubs take 95% of domestic TV revenue so it’s a big pay out. Continue reading Football can’t ball forever
Price Earnings Ratio – PE Ratio – Price to Earnings Ratio
This calculates the market value of a stock relative to its earnings. The price earnings ratio shows what the market is willing to pay for a stock based on current earnings.
Balfour Beatty is a leading international infrastructure group. They finance develop, build and maintain vital infrastructure that we all depend on in the UK and other parts of the world. Shares in Balfour plunged 52.35p to 172.55p in September 2014 due to programme slippage, resource and skills shortages, poor operational delivery and cost inflation pressures. As soon as the 3rd quarter profits in 2014 were announced the shares plummeted massively.
Erik Moore is a recovering investment banker who is now the managing partner & founder of Base Ventures. Moore has invested in nearly 25 startups, including Tracksby, Ecomom and Socialcam. He was one of the first investors to finance Zappos, a shoes and apparel company sold to Amazon for $12 billion. Continue reading Erik Moore, a successful startup investor
We’ve all seen the movies like the Godfather and Goodfellas, but what you wouldn’t expect is one of the world’s most powerful companies to adopt a business strategy based on the principles of gangsterism. Jeff Bezos is an American entrepreneur who is the founder and chairman of Amazon.com which is the world’s biggest online retailer and is consistently increasing its market share with ruthless tactics and little remorse.
What is an IPO?
An IPO is the first time that the stock of a private company is offered to the public. IPOs are often issued by smaller, younger companies seeking capital to expand, but they can also be done by larger companies looking to become publicly traded. IPO stands for initial public offering, and is essentially a company issuing equity to potential shareholders for a price. Continue reading Best IPO’s of 2016 broken down
The Richest African in the world Aliko Dangote
The Richest black person in the world is Aliko Dangote with an estimated net worth of $ 16.7 billion as of March 2016. He is the founder of the Dangote Group which has various operations in Nigeria and several other countries. Dangote Cement is Africa’s largest cement manufacturer with over 26,000 employees in Nigeria. The company is building cement plants in Ethiopia, Zambia, South Africa and Sengal. Aliko Dangote has been planning on listing Dangote cement on the London stock exchange. There were rumours about this from 2012 and the company is currently listed on the Nigerian Stock Exchange with a market capitalisation of $ 15.8bn, making it the largest company on the Nigerian Stock market by market capitalisation.
To protect this vast fortune in a Country as unrefined as Nigeria, the Dangote affiliation has gone to extreme lengths to protect the reputation of the company, even when people shit on it, which is literally what happened in Gboko, March 2014. A young man named Terhile Jirbo relieved himself in a bush after playing snooker near one of Dangote’s factories, but the place was commonly used as a toilet. A soldier manning one of the security posts inside the factory saw what happened and ordered Jorbo to pick the mess up with his mouth or risk getting shot, Jirbo said he wanted to use his hands so the soldier shot him in his mouth. The bullet tore his mouth open and threw him to the ground, but he jumped up quick, ran away and collapsed nearby.
This was one attack out of many where soldiers in that area have been harassing residents for a while. Incensed, understandably, dozens of youth gathered at the factory protesting and insulting the soldiers for hours. At this point the protestors began to question why government soldiers were sent to protect a private company and verbalised this. It’s like having SAS guarding Marks and Spencers in Dartford. The soldiers got increasingly riled up and started shooting people, bullets were hitting people in the back and a woman was shot in the head point blank. Six men and one woman died , dozens injured and the spread of devastation through families and friends will live on forever. The Dangote cement factory agreed to pay compensation to the families of the dead victims and injured.
There are still parts of the world where the sanctity of life seems to have little value, but yet corporations and business enterprise can create huge fiscal returns. There are around 170 million people living in Nigeria, and 57 million people living there don’t have access to safe water. Over 130 million don’t have access to adequate sanitation and two hundred thousand people die from AIDs. We can see how desperation and disease must be on the fringes of the mindset of millions. Making one wrong choice can set you back lifetimes in Nigeria so people in all situations will do anything to keep themselves from becoming victims of their environment. They will protect corporations, to the extreme, even if the corporation wouldn’t want them to. The creation of a predatory environment comes from limiting resources, and inducing fear, and as a result the evolved psyche of a human changes. Irrationality can easily breed in these environments.
Nigeria is ranked 15th in world in oil production and for years has been a member of OPEC. The richest black man in the world lives in Nigeria and yet 4.4 million Nigerians are effected by starvation. I am in no way saying this is the responsibility or the fault of Dangote, because it’s not. I am merely making an observation about the huge disparity between the super rich and the dying in Nigeria, which is having cataclysmic cerebral effects on the population. Talk about crabs in the barrel. The natural resources of the Country are being utilised by the sharper minds who have processed the abundance of African commodities and turned it into multi-national businesses. The wealth is extremely concentrated and as a by-product the scraps are left for the chickens to fight for. Every now and then the wolves arise on the scene and tear the chickens apart. This can come in the form of a government soldier or as a terrorist, but the results are the same and the circle of accumulation and devastation continues. Its good to see a company that has employed so many African people and has given back so much to society strive on the global forefront. The company is still trying to grow and Nigeria definitely has a framework for business development. The next African Billionaires will have to come from sustainable technologies, something that is accessible by most people no matter how rich they are. For now, Aliko Dangote reigns supreme.
To get a good idea of what a business is actually worth you should look at a company’s balance sheet. Every 12 months a director will prepare a company’s balance sheet.
The profit and loss account is a way to look at the past performance of your company. Its different to a balance sheet which is a snapshot of the present, and the cash flow forecast which is a look into the future. All profit and loss statements have these important categories;