(''3s' in Business' webpage last updated on Jun/09/2008.)
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The 'motion' part of 'All That Is' basically works in 3s (including fractions and multiples). Global Scaling research is one source of validation. The 'stillness' part of 'All That Is' connects thru Heart (see "Magic Words" webpage). A way to organize using '3s' and connecting through Heart follows:
'3s' (Thirds):
1/3... Pod founder(s) (and down the road, their heirs).
1/3... Investors (2/3) & Advisors/Directors (1/3);
1/3... Operators (Officers (1/3), managers (1/3), employees/full_time_contractors (1/3)).
For example, distribution of the non-retained cash flow for the 'Sports Legend' Model using '3s in Business' would look like this...
- 3/9 for the sports legend founder;
- 2/9 for the investors;
- 1/9 for the advisor;
- 1/9 for the officers;
- 1/9 for the managers;
- 1/9 for the employees/full_time_contractors.
- Any of the above distribution categories can also choose to be investors.
- Officers, managers and employees also receive compensation for their time.
- Contractors receive fees for their services.
- All distribution categories are prepaid for reimburseable business expenditures.
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Best number of founders is 1,2,3,5,7,or 9.
Best number of advisors is 1 or 2 (each with a minimum of 27 years experience covering 58 business categories).
Best number of directors is 3 or 5 (minimum of 18 years business experience).
Advisor & director category shares their 1/9th of total distribution equally (1/3 times 1/3 = 1/9th). No directors are required unless becoming a public company is potentially desireable.
Currently active founders (equal votes, no votes for heirs) & officers (equal votes once on-board) elect directors (3 year terms)... appoint advisor(s) (9 year terms).
The prior paragraph means that 'down the road', the current officers and current directors are running the organization. (A founder could eventually choose to become inactive and move to a 'no vote' status.) Founders can also be operators and receive additional distribution of non-retained positive cash flow.
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The world is awash with $$$ and thus investors. Heart connected (see "mind or Heart) experienced talent is the most precious of all resources. " webpage
Investors who want 'control' are operating from mind/ego... rather than Heart. (One rotten apple will eventually destroy an entire basket of healthy apples.)
Most investors loose money most of the time... because it takes business experienced talent to recognize and attract business experienced talent. (Most investors do not have at least 18 years of business experience. Business experience is not the same as investment experience.)
Mind/ego-centric investors are generally interested in 'what is in it for them'.
An investor could also be a director if they bring to the table meaningful business background/experience in at least one third (or at least 19) of the "57 Major Business Aspects" (57/3=19).
The investors have one role... to offset cash flow deficits from operations. Once operations move to positive cash flow, the investors will receive 2/9 ths of the non-retained positive cash flow... only while leaving their money in the organization. (If investor(s) choose to withdraw part/all of their money, directors/advisors will still receive 1/9th of non-retained positive cash flow. 8/9 ths of non-retained positive cash flow will be applied to retire investor(s) contributions.) While investor money is being repaid, founders, operators and remaining investors will not receive any distributions... or reduced distributions (when the 8/9 ths more than covers withdraws). Once part/all of investor money is repaid, the investor '2/9 ths' will be reduced by the percent reduction from the cumulative 'high water mark' of invested money. This non-retained positive cash flow formerly received by the investors will now flow equally to Founders (1/2) & Operators (1/2). (No additional $$$ for Directors/Advisors).
By the way... founders, directors, advisors, & operators could also choose to be investors. An individual investor's share of the 2/9 ths (or reduced percent of the 2/9 ths because of repayment) is determined by their percent of current invested money. Each and every investor is free to leave or withdraw (based on current percent of invested money) their money (immediately following any and all periods of non-retained positive cash flow).
Down the road, if cash flow deficits appear again, rights to re-invest will first be offered to existing investors at their then current percent of invested money. Un-exercised rights will become available first to interested existing investors (again based on current percent of still invested money)... and then to former investors/heirs (based on prior individual investor 'high water mark' percent of invested money)... ... and then to new investors (equal basis for all signing Letters of Intent). The reduced investor's percent of 2/9 ths can return to a full 2/9 ths. 2/9 ths is the maximum even if a new cumulative investment 'high water mark' is reached.
If additional investment is not available, the business will be liquidated. From the liquidation proceeds... first, accounts receivable will be repaid... second, investors will be repaid (based on current percent of still invested money)... the remainder of the liquidation proceeds will be distributed to Founders (4/9 ths), Operators (4/9 ths), and Directors/Advisors (1/9th)... using the same formulations as a normal non-retained cash flow distribution after all investors have reclaimed all of their investment.
58 Major Business Aspects:
Starting and scaling to a global business requires a comprehensive/inter-related understanding of these 57 disciplines... 1) organizational architecture, 2) corporate culture, 3) forecasting, 4) pricing, 5) product planning, 6) cost accounting, 7) travel and living accounting, 8) financial planning, 9) general accounting, 10) treasury operations, 11) company ownership (percentages), 12) profit sharing (all employees and full time contractors), 13) company structure (corporation, LLC, etc.), 14) capitalization (equity, short term debt, long term debt), 15) balance sheets, 16) profit & loss statements (including performance planning & analysis), 17) quarterly/annual reporting and filing, 18) taxes, 19) international, 20) basic research, 21) applied research, 22) product development, 23) phone coverage, 24) general & administrative support (payroll for example), 25) human relations (see below for an expansion), 26) information systems support, 27) internet support, 28) marketing, 29) sales, 30) market development (including competitive analysis), 31) manufacturing, 32) customer support phone-in center, 33) customer service, 34) product service/maintenance, 35) warehousing and fulfillment/delivery logistics, 36) customer installations, 37) bonding for installation mishaps, 38) customer accounts receivable, 39) sales taxes (about 6000 separate domains in USA), 40) customer credits & claims, 41) product returns, 42) accounts payable, 43) legal, 44) intellectual property, 45) manufacturing capacity, 46) real estate & construction, 47) product engineering, 48) manufacturing engineering, 49) product testing, 50) quality practices (think ISO 9000), 51) board of directors (rules of governance), 52) self & outside Insurance, 53) Banking Relations, 54) investment banking relations, 55) investor relations, 56) government relations (other countries, federal, state, local) 57) college & university relations (world wide... especially US, former USSR, Germany, China, Japan, North Korea)... and, 58) in the case of public companies, 'Wall Street'. Not properly/deeply understood and included and inter-related with other business aspects... any one (and only one) of the above can destroy a promising global business in it's tracks.
All 57 major business aspects expand. The Human Relations Aspect (#25) expands to 18 aspects as follows: Training; Succession Planning; Employee interchangeability; Health benefits; Vacation benefits; Holidays; Sick days; On/near premise medical; Hiring; Births; Deaths; Firing; Loans; Counseling; Complaints; Legal actions; Equal rights; Retirement Accounts (like 401Ks)
When all 57 major business aspects are expanded, the number of individual business aspects exceeds 1000... and most aspects must be duplicated for every country.
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This is a spiritual and scientific website. No religious bias is intended or implied.
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