Lessons From the Field #26:
Tight Ships Don't Sink
If 2020 has taught you anything as a family fiduciary, it is to plan for and adapt to unexpected challenges. As you watch today’s 55 seconds, you may want to ask yourself:
Noah built the Ark to prepare for bad weather. Then he did everything he could to keep it afloat until the lengthy storm had passed.
My Grandfather rode the real estate boom of the Roaring 20s and appeared to be very successful until the depression wiped him out when he could not meet his loan payments.
When you are in the middle of good fortune it is extremely difficult to imagine things going any other way.
Warren Buffet puts it this way, “you never know who is swimming naked until the tide goes out.” Two years before the great recession, a client told me he was concerned about the economy and began stockpiling cash…
In 2008 his business was hit as hard as any and it was painful watching him burn through his cash reserves over the next several years.
Those were dark days, but not as dark as some of his competitors who went the way of my Grandfather.
How tight is your ship?