Judging Company By It's Cover

Judging Company By It's Cover

Most important question in today's business times. How are we supposed to know if we can have good and strong business relationship with any particular company? Can we provide Credit Facilities?

Short and Sweet Answer!
You DON'T.

Still interested in what I have to say? Then continue reading....

Recently came across a video made by some CEO of a company explaining that by looking at the back office staff and seeing their "Busyness" you can get a good idea about the company's position and stability. If there are "n" number of back office staff running around then it means business is good and company is doing well. You can close your eyes and happily do business with them. The CEO also made sure to share the number of his back office staff, the car he drives and the 3 Digit Number Plate. Excellent plot to get suppliers to give materials on credit!

So does it mean that we can Judge a book by its cover?

Can we review a Mobile Phone by looking at the Box? If the manufacturer has made an amazing box then the Mobile Phone must be Awesome.
Sorry Guys! Hate it to break it to you. Business and World is not so simple.

In my 10 Years of running business I have seen all kinds of people closing business and running away over night. That is a very unfortunate fact.

30+ Years old company. Shut Down. Father started from scratch. Father got sick, son took over and ran it to the ground.
Big Corporations. Got too ambitious. Got involved in many projects. Projects shut down. Didn't get payment on time. Office locked. Mobile Phone OFF!
New Companies. Got too ambitious and too greedy. Took a chance, didn't work. Good Bye.

Many suppliers become a victim, because of someone else's greedy ambitions.
We once dealt with such a company. 2 Floors Offices in a big tower, lots of back office staff running around, huge warehouse with trucks loading and unloading. Who would think that within 1 Day everything would disappear as if it never existed. Doors closed, Mobile Phone Switched off, Cheques Bounced.

However, there are several ways to know about the well being of the company. Following those ways will reduce the risk, but it will not eliminate them. And definitely looking at the Hair Styling Gel, Suit and Watch is not one of them.
The ways...?? That is a discussion for another day.