| The Merriam-Webster Online Dictionary defines | | | | transaction legally so that the accounts receivable |
| "secret" as: | | | | financing is transparent to the ultimate customer. |
| "1 a: kept from knowledge or view : hidden b: marked | | | | The third secret- "designed to elude observation or |
| by the habit of discretion : closemouthed c: working | | | | detection" has to do with your business plan and how |
| with hidden aims or methods : undercover (a secret | | | | the way you think about the world can affect your |
| agent) d: not acknowledged : unavowed (a secret | | | | success. In 2006 Prime Time Productions produced a |
| bride) e: conducted in secret (a secret trial)2: remote | | | | film and a book called "The Secret". The film |
| from human frequentation or notice : 3: revealed only | | | | dramatically describes the "Law of Attraction" which |
| to the initiated : esoteric 4: designed to elude | | | | asserts that people's feelings and thoughts attract real |
| observation or detection (a secret panel)5: containing | | | | events in the world into their lives. Can your feelings |
| information whose unauthorized disclosure could | | | | and thoughts attract more business and success? Is |
| endanger national security". | | | | the visualization of what you want an aid for |
| As used in this article, secret means: revealed only to | | | | manifesting your business goals? Is The Secret "just a |
| the initiated; kept from knowledge or view; and | | | | new spin on the very old (and decidedly not secret" |
| designed to elude observation or detection. | | | | The Power of Positive Thinking (a book by Norman |
| The first secret- "revealed only to the initiated" relates | | | | Vincent Peal written in 1952) wedded to 'ask and you |
| to the fact that most schools, even business schools, | | | | shall receive' -as opined by Karin Klein, editorial writer |
| do not teach the subject of factoring or purchase | | | | for the Los Angeles Times? Did The Secret fail to |
| order financing; most banks do not offer these | | | | discover the real roots of powerful thinking? |
| financing facilities as products. Therefore, it is not | | | | In the book, "The Diamond Cutter", Geshe Michael |
| surprising that many businesses are unaware of the | | | | Roach examines The Budda on Managing your |
| cash potential that lays dormant in their business | | | | Business and your Life. Roach graduated from |
| invoices. | | | | Princeton University with honors, studied the ancient |
| Let's suppose you own a small to medium business | | | | wisdom of Tibet and traveled to the Tibetan Lamas at |
| and you depend on customers paying invoices within a | | | | the seat of His Holiness, the Dalai Lama. In 1983 he |
| 45-60 day period for your working capital. In essence, | | | | took the vows of a Buddhist monk. |
| you are extending credit like a bank to your customers. | | | | His teacher encouraged him to enter the world of |
| For that period of time your cash is tied up in your | | | | business. Mr. Roach choose the diamond business. He |
| invoices- your accounts receivable. This limits growth | | | | hid the fact that he was a monk and maintained a |
| and may create problems regarding meeting payroll | | | | façade of a normal American businessman on |
| and paying your suppliers. Accounts receivable | | | | the outside. The business developed from nothing to a |
| financing is the process of selling your invoices for | | | | one hundred million dollar per year business. |
| cash as soon as they are issued which allows you to | | | | The original book, "The Diamond Cutter" is the "oldest |
| make more effective use of your assets. Purchase | | | | dated book in the world that was printed rather than |
| order financing is the process of obtaining a third party | | | | being written out by hand. The British Museum holds a |
| commitment to pay your suppliers as soon as | | | | copy that is dated A.D 868." It is a written record of |
| products are received by your clients (in advance of | | | | Buddha teachings from over 2,500 years ago. In brief, |
| payment by you or your client), based on the surety of | | | | the central principles are: 1) business should be |
| an accounts receivable financing arrangement. | | | | successful and make money in a clean and honest |
| All businesses are limited in their growth and profits by | | | | way; 2) you should enjoy the money and stay in good |
| the amount of capital and cash flow available to take | | | | health; and 3) you should be able to look back ay your |
| advantage of business opportunities. The availability of | | | | business and say your years of doing business had |
| virtually unlimited cash creates a powerful paradigm for | | | | some meaning leaving some good marks in the world. I |
| potential growth. It also can expand your thinking about | | | | highly recommend "The Diamond Cutter" vs. "The |
| what business is possible and how you might go out | | | | Secret". |
| and develop new business. | | | | The bottom line: accounts receivable financing and |
| The second secret- "kept from knowledge or view" | | | | purchase order financing may be the secrets to your |
| relates to the practice of non-notification factoring. | | | | business' financial success. If you read and follow the |
| Some business people are concerned that working | | | | principles of "The Diamond Cutter" you can expand |
| with a factor, an accounts receivable financing | | | | your opportunities for exponential growth based on the |
| company, may not be viewed favorably by their | | | | 2500 year old teachings of Buddha, as explained by |
| customers. In many cases it is possible to structure a | | | | Mr. Roach. |