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Breakeven Analysis by Jon Wentworth, Michael E. Cafferky

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APPENDIX D

Using Breakeven Thinking to Decide Whether to Start a Business

Breakeven thinking begins before you start a business. For example, starting your own golf course and pro-shop business requires that you compare what you could gain from your work in the corporate world with the prospects of owning and operating your own business. You will compare both tangible and intangible dimensions.

Of all the factors that influence your decision of whether to go into business, the financial questions can be some of the most challenging. Some financial elements are less certain, especially at the beginning. And yet, when you are about to start a business, you have to take this uncertainty and somehow make your best guess as to how it will work out. ...

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