Financial Engineering Top 20 + 5 Ways to Cut Cost without Cutting Pay or Chopping Heads

Financial Engineering Top 20 + 5 Ways to Cut Cost without Cutting Pay or Chopping Heads: (detailed video at here)

1. Issue Shares instead of Borrow

(If borrow, get an interest-free loan from shareholders and directors, convert the loan to preference shares. Issue derivatives)

2. Rent premise/asset with an option to buy (ask for lower rental plus lower price)

3. Re-look at your Balance Sheet – are they really assets? (Assets must have cash inflow and will increase in value)

4. Move operations or HQ to places with lower or zero taxes eg the Cayman Islands

5. Profit Sharing instead of Bonus for staff

6. Use OPM other than creditors

7. Hedge your purchase cost

8. Use online more

9. Split your company into many to take advantage of zero or lower tax

10. Change accounting policy to be more in-line with industry (e.g. lengthen depreciation years, capitalize IP, amortize R & D)

11. Sale and lease-back premise/asset (rental is tax-deductible, lease payments are not – Tax Shield)

12. Value-Added Concept for all work

13. Challenge everyone to cut cost by 10% or cut their pay by 20%

14. Do Cash business (take advance from customers, pay suppliers on credit, buy on back-to-back LC)

15. Ask for discounts from suppliers for earlier payments, and stretch others to pay for it

16. Incorporate inventory obsolescence into the cost of sales, and charge them against salespeople commission

17. Increase Inventory Turn

18. Package more services into your product and use creative services to earn more

19. Look into your existing assets: are thy relly assets or liabilities? For assets, re-finance to cut interest cost

20. Profit-share with your suppliers, customers and even the government

21. 80/20 Rule for everything: focus on the 20% of work that produces 80% of the profit

22. Financial analysis to ensure your company is efficient financially

23. Keep more scores

24. Use zero-based budgeting

25. Regular new ideas from everyone

For the complete 2-hours video course on Financial Intelligence, visit www.udemy.com/financial-intelligence

The Secret Under the Mattress: Why would a 79-year Man Bet So Big on 4D?

It was 2007 when we discovered his secret. While moving my father’s mattress, we found them: heaps and heaps of Singapore Pools 4D tickets. They were stacked in layers, a paper trail of lost hopes. What shocked us most wasn’t just the volume, but the stakes. He wasn’t betting a few dollars for fun. He was punting hundreds of dollars per draw—nearly ten times a month. At the time, my siblings and I were furious. Our father was a 79-year-old retiree. We wondered, with a mix of anger and confusion, why a man at his stage of life would need to win such "big money." What was he going to do with the money? We saw it as a reckless habit, a sign of poor judgment in his final years. Some of us would say, "If I were to give him money to buy 4D, why don't I use the money and buy 4D myself? At least I have better discipline". It has taken me two decades, and the experience of raising my own three grown-up children, to finally see the truth that was hidden under that matt...

Head Bleeding when the Chair Falls

The Weight of Silence: What Were We Really Arguing About? My earliest memories are punctuated by the sound of shouting. In 1970, when I was barely 6 years old, I stood as a small witness to the fierce quarrels between my father and my late eldest brother Kah Yang (he passed away in 1971 at the age of 17). As I grew up, these contradictions became the soundtrack of our lives, usually centered around our family's shoe shop and clothing stalls in Chinatown. In the court of family opinion, the verdict was almost always the same: my father was "wrong." He was judged as a man who didn't fulfill his role, who wasn't "burdening" enough for the family’s success. But as I look back from the vantage point of 2026, I have to ask: Was that actually true? Let me finally put to rest what my father did right: the truths that were buried under decades of criticism: Unseen Labor: He worked grueling, long hours. I remember him hauling boxes of goods and equipment to set u...

Business and Money Tips

Search This Blog