Financial Awareness When Investing in a Business:
1) Does the business model and culture align with your core values and purpose?
2) Be familiar with finances and financial processes for the type of business you are investing.
3) Insist on total transparency…especially with the financial records and processes
4) Are there internal controls with finances? Relationship with bookkeeper/finance staff and owner?
5) Is there comingling of funds with other businesses or personal spend disguised as business?
6) Know the benchmarks/KPIs for the type of business you are investing/partnering?
