Just as the weather seems to be a little confused at the moment ( it is Summer I think), it can be very confusing trying to make sense of all the reports in the media about the Eurozone.
The reality is that the problem stems from 80 years of overspending and that we will not solve these problems overnight. But more than ever it appears the Eurozone has averted a catastrophe with a milder crisis. With Italy and Greece having a changing of the guard at the highest levels it seems that a more peaceful existence might start as the austerity measures kick in. Don’t get me wrong, for the countries involved directly (and those of use somewhat indirectly) the process to stability will be painful, in the pocket.
In saying that, here is a chance for those entrepreneurs with visions to look for the opportunities and exploit them, as investors, we want a chance to go along for the ride. The problem with starting new ventures at a time such as this is that cash is required. This cash must be derived from somewhere, and where else to find it but those with funds in the bank.
So here is the warning, lets not go back to finance company days when we take people’s word for gospel and only look to the “promised” returns. Let us learn the lesson and ask for facts and figures that are real and see that the person and companies we invest in have a real and substantial stack in the venture and are not using your money to pay themselves out of their venture.
With new regulations in place I would hope that this can’t happen, but with very clever people using their talents for less than noble purposes I hope we can all look for the loopholes and recognise a good deal from a bad one.
“Look after the pennies and the pounds will look after themselves”
Although the weather is consistently inconsistent, I hope that we can all learn the lessons we needed to for a better world for the next generation, may they not have to pay for our excesses.