Tech wreck, page-221

When I finished my education 30 years ago and was employed my boss a very senior accountant gave me a lot of opportunities to prepare financial models on business projection and I took weeks after a lot of research and when I presented, it just took him five minutes and the report in the bin, he would just check his conviction and go ahead with the decision.

Models do not generate profit it just shows an excellent presentation of the assumptions. In a highly scaling business DCF is not really suitable as would be for an asset finance or project finance.

If you have a good understanding of the movement of funds under different scenarios I find thumb rules serves the same like a complicated models.

All these analyst have template models industry wide and fresh uni grads fill the figures and present the most probable outcome but I have learnt that every element in the model have a certain level of emotion in it which is gained by a lot of experience.

My dad started taking me and engaging me with his business at the age of eight and I have realised that what he taught me is invaluable which I could never find in any books at the Uni.