Definition of Finance!


Hey! What’s going on everybody? My name is BiG Al and I love my mama! Now, let me talk to you about the definition of finance. Finance is nothing different or nothing other than, flipping money! Now, what do I
mean when I say flipping money? Literally, in everything that you do or everything
that we do in finance: We take money at one rate and then we invest it in assets
so then it can generate cash flow and then based on the time horizon of our
return on investment we’re hoping that that return on investment is HIGHER than
the rate that we borrowed the money at. That’s the whole thing, the whole aspect
of finance! Mind you, I didn’t say how you operate a “business.” I’m talking about
operating their FINANCES because in business you “bootstrap.” You use your own
money which is called, equity, or and then you might borrow a little bit here there,
but in the world of finance that’s what I’m talking about. The world of finance
you take money, you borrow money, meaning if you finance something that means that
you’ve paid for something with funds from someone else that you have to pay
back. But, whenever you finance something you’re borrowing it at one money and
then you’re flipping it using whatever means that you believe or that float
your boat concerning investing. And that you know
that you can have a higher return on investment than what you borrowed at.
Keep it pushin’! Cheers!!

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