Regret Your Smart Decision

Based on a true account of an Entrepreneur.

We’ve decided to blog about this after getting his permission. We hope everyone can spend a little time to read this. All names will be changed to protect the innocent. Let’s name him Mr Boomz since this is the in-thing now. Mr Boomz is a friend of Paramount Assets Corporation, he is very kind to let us share his plight so others can learn from his mistake.

Mr Boomz was looking for an office for rent in Central Business District (CBD) in one of the more prestigious office buildings. He strike what he thought was a good deal with a private owner (or he thought is a private owner). He paid a three months deposit to secure the office space.

After 6 months into his contract, he was locked out one day of his office. What he didn’t know is this “owner” has defaulted rental for a few months and this “owner” is really just an anchor tenant.

Mr Boomz got a deal which he thought was a great deal where the rental price does not reflect the current market rate and that’s when his 3 months deposit went boomz, into thin air. This is definitely not the last story we will hear.

If you think you know how to calculate, I’m certain you don’t need a genius to tell you everyone has a calculator at the back of their mind. If you get a few quotation and find one extremely low. The first thing is not to get too excited. It may not be a good thing after all. Logically, price quotation shouldn’t differs too much. Just put yourself in the shoes of the seller. If you can know this service or product is worth $1000, would you sell it for $600? Maybe I would consider to sell it at $800, but anything lower, I will have to discount my service or products as well.

Unless you are very familiar with what you are dealing or else you will never know what’s going to happen until the last minute. For example, if I need to order 10 sets of chairs for $200 each. If I cut throat the supplier by $50 each, definitely this $50 has to come from somewhere. The supplier may need to replace the leather with synthetic leather or the aluminum alloy with metal. If I just ask for a further discount of $10 to $20 off my $200. Chances are the material and workmanship will remain the same.

Many entrepreneurs try to build up a brand for themselves by ensuring they have the right ingredients in place. By ensuring these measures are in place, more cost are involved. Logically all these additional cost will be passed down to consumers. We are paying extra for the experts to “take care’ our issues. The more “issues” the brand is able to take care of, the more prestigious it becomes.

Cheap and good seems to be something everyone likes to hear. In reality do such things exist? I really can’t tell for sure. Maybe there are some kind hearted entrepreneurs who build up a good brand to not sell their products or services at a premium. Will you?