LP Opportunity - Phase 1 Resort Development - 67.5% ROI, Monthly Dist.

  

$500,000 - $20,000,000

  

Bridge the Indigenous Digital Divide with Sequorum's 1 Gbps Internet. 10% annual dividends. 605% ROI

  

Funding for real estate

  

Bison, the perfect alternative

  

Big Calm Tiny Homesteads

  

Camper Van Conversion with ACP & Marine Plastic Interior/ Soap friendly recirculating shower

  

Commercial-Scale Cannabis Production Facility (Legacy Health Canada Applicant)

  

Equity Investment Opportunity in Electronic Health Record and Telehealth Platform

  

Projects under way!Last Chance! Joint Venture with principal back in THREE MONTHS and ONGOING INCOME

  

15% ROI bi-annually return on $500K – Silent Investor – Expanding International Wireless Business –

  

DreamPlay - A live streaming platform for gamers. See deck, video, and website

  

Business Partner Wanted

  

Here's an opportunity for you and I.

  

SaaS platform to integrate Canadian housing financial

  

ROI of $3.8MM on $2MM in year 4. 22% average annual return.

  

Communication Corp.

  

Eden Earthworks

  

User-Driven Growth

  

Sustainable Product with Health Benefits and High ROI (46%)

  

Integrated Facility Operations & Supply model positioned for International expansion!

  

MHP Project Development - Vancouver Island

  

Affordable Container Homes

  

Hart & Caron Property Management Researching partnership

  

The most unexpected way to avoid being caught cheating.

  

Clear Choice Building Maintaince

  

Social Media App Growth Funding

  

Innovative Existing Product

  

Need money for my invention

  

Share Sale

  

Tiny Home Builder - With orders to fulfill

  

LoveBud Essentials Online Store

  

Purple Puffers

  

Invest in Lindsay, Ontario Development Project

  

Newly Acquired business looking for short term operating loan. Up to 18% APR.

  

Medical-Clinic Rollup Equity Investment - Plans to exit via IPO or Strategic Buyer by 2027

  

Investors sought for Private Equity roll up strategies

  

Vegan Sustainable Milk

  

E-Commerce Growth

  

Growth equity

  

 

Canadian Investment Network


Recent Blogs


Pitching Help Desk


Testimonials

"I wish to thank the Dealflow Investment Network for their splendid service on listing our project summary. Our entire fund raise was achieved within 5-months from China. Long flight, but well worth it. I am happy to give a recommendation."
James E. Mack

 BLOG >> Recent

Building Redundancy [Entrepreneurship
Posted on January 29, 2019 @ 08:30:00 AM by Paul Meagher

Last friday I purchased a lawn tractor. I already have a lawn tractor so why did I buy another one? Here are some of the reasons:

  1. If one of them fails, I have a backup.
  2. On certain tasks, I can double my productivity (e.g., time to mow in the lawn/garden/vineyard/orchard).
  3. The lawn tractor is not identical to the first so offers additional versatility in performing certain tasks. The second lawn tractor has a smaller deck width (42 inches versus 52 inches) so might be better at maneuvering around lawn/garden obstacles.
  4. Last but not least, I got a good deal on it.

The point of mentioning this is to highlight the fact that there are many reasons to build redundancy into your business. That redundancy can come at a cost, not only the acquisition cost, but also the costs of maintenance and storage. Building redundancy should not be done lightly but it should definitely be a consideration when formulating a business plan that lasts beyond 1 year. Once you start experiencing breakdowns, or how long certain tasks take with one machine, or the limitations of the particular machine you purchased, the need for redundancy becomes more obvious.

Redundancy doesn't stop at just acquiring 2 machines. I buy the cheapest Stihl string trimmers I can buy because I don't want to carry around a heavy machine and these work fine for the intended purpose. When they are worked hard they run out of gas, they run out of trimmer line, and the head will wear out. If you want to keep working when these things happen it is nice to have 2 string trimmers. If you have other workers helping you, then you may have to double up on the machines for them as well, although you can also rationalize the redundacy in terms of allowing for 3 string trimmer operators with 1 backup for all the workers.

When you are engaged in a task that determines how much income you will generate, your main limitation may be that you do not have enough revenue generating machines. For example, if you have lots of berries and you want to make jam for sale, you might run into the limitation that your jam making machine can only produce J units per hour. If you had 2 jam makers, you could potentially make 2 x J units per hour. One mistake a person might make is to assume that if you keep buying jam makers your profits will keep going up accordingly. In my experience a person can only operate so many small scale jam makers at one time (2 is the current limit if you are also canning) so the longer term solution may not be to buy x more of the same units but rather to buy an industrial jam maker with a larger capacity or figure out a DIY solution.

The purpose of this blog is to highlight the importance of building redundancy into your business planning. In this age where we are supposed to be consuming less, promoting the acquisition of more is often not good advice. I am not suggesting that we double up on everything we use in our businesses, but to be judicious and decide which parts of your business would benefit from redundancy and how much. Also, in this age where we are supposed to be as operationally lean as possible it is worth pointing out that there are costs to being too operationally lean if you are ignoring the need for some necessary redundancy.

Permalink 

 Archive 
 

Archive


 July 2021 [1]
 June 2021 [1]
 May 2021 [2]
 April 2021 [3]
 March 2021 [3]
 February 2021 [1]
 January 2021 [1]
 December 2020 [1]
 November 2020 [1]
 June 2020 [3]
 May 2020 [1]
 April 2020 [2]
 March 2020 [1]
 February 2020 [1]
 January 2020 [1]
 December 2019 [1]
 November 2019 [2]
 October 2019 [2]
 September 2019 [1]
 July 2019 [1]
 June 2019 [2]
 May 2019 [3]
 April 2019 [5]
 March 2019 [4]
 February 2019 [3]
 January 2019 [3]
 December 2018 [4]
 November 2018 [2]
 September 2018 [2]
 August 2018 [1]
 July 2018 [1]
 June 2018 [1]
 May 2018 [5]
 April 2018 [4]
 March 2018 [2]
 February 2018 [4]
 January 2018 [4]
 December 2017 [2]
 November 2017 [6]
 October 2017 [6]
 September 2017 [6]
 August 2017 [2]
 July 2017 [2]
 June 2017 [5]
 May 2017 [7]
 April 2017 [6]
 March 2017 [8]
 February 2017 [7]
 January 2017 [9]
 December 2016 [7]
 November 2016 [7]
 October 2016 [5]
 September 2016 [5]
 August 2016 [4]
 July 2016 [6]
 June 2016 [5]
 May 2016 [10]
 April 2016 [12]
 March 2016 [10]
 February 2016 [11]
 January 2016 [12]
 December 2015 [6]
 November 2015 [8]
 October 2015 [12]
 September 2015 [10]
 August 2015 [14]
 July 2015 [9]
 June 2015 [9]
 May 2015 [10]
 April 2015 [9]
 March 2015 [9]
 February 2015 [8]
 January 2015 [5]
 December 2014 [11]
 November 2014 [10]
 October 2014 [10]
 September 2014 [8]
 August 2014 [7]
 July 2014 [6]
 June 2014 [7]
 May 2014 [6]
 April 2014 [3]
 March 2014 [8]
 February 2014 [6]
 January 2014 [5]
 December 2013 [5]
 November 2013 [3]
 October 2013 [4]
 September 2013 [11]
 August 2013 [4]
 July 2013 [8]
 June 2013 [10]
 May 2013 [14]
 April 2013 [12]
 March 2013 [11]
 February 2013 [19]
 January 2013 [20]
 December 2012 [5]
 November 2012 [1]
 October 2012 [3]
 September 2012 [1]
 August 2012 [1]
 July 2012 [1]
 June 2012 [2]


Categories


 Agriculture [74]
 Bayesian Inference [14]
 Books [15]
 Business Models [24]
 Causal Inference [2]
 Creativity [7]
 Decision Making [17]
 Decision Trees [8]
 Definitions [1]
 Design [37]
 Eco-Green [4]
 Economics [12]
 Education [10]
 Energy [0]
 Entrepreneurship [68]
 Events [2]
 Farming [20]
 Finance [25]
 Future [15]
 Growth [19]
 Investing [25]
 Lean Startup [10]
 Leisure [5]
 Lens Model [9]
 Making [1]
 Management [9]
 Motivation [3]
 Nature [22]
 Patents & Trademarks [1]
 Permaculture [36]
 Psychology [2]
 Real Estate [3]
 Robots [1]
 Selling [12]
 Site News [17]
 Startups [12]
 Statistics [3]
 Systems Thinking [3]
 Trends [9]
 Useful Links [3]
 Valuation [1]
 Venture Capital [5]
 Video [2]
 Writing [2]