Question

Provide detailed and comprehensive information to support your answer. Where applicable, use examples to support your answers.

1. Why have so many successful entrepreneurs started out in sales?

2. Define debt and equity and explain the difference between them. Where does each appear on financial statements? 3. What is the purpose of financial ratio analysis?

4. How could the income statement potentially confuse a business owner?

5. Why would collecting all money owed within 30 days and paying bills in 90 days help protect a business? Is there a potential downside to this behavior? What is it and why?

Answer 1

Salespeople often become successful entrepreneurs because they learn to listen to what the customer needs and wants on a daily and personal basis. That is why great entrepreneurs such as Ray Kroc, King C. Gillette, and Mary Kay Ash started out as salespeople.

It is commonly said that Customer is the King. Satisfy your customers and your business will grow at a high rate. Sales can be called as lifeline of any business. High sales result in high profits, loyal customers, brand reputation and lage market share. A successful sales person knows the pulse of customer, he knows how to convince the customer and how to make final sales. Successful entrepreneurs start being s sales person and develop all the qualities of good salesmen like confidence, empathy, ability to listen, networking etc . As a result they use these qualities in their own business and are able to run a huge and successful business and can be called as Successful Entrepreneurs.