The KeyWord Kove

Copyright © 2012 Scott F Paradis

America is locked in a relentless struggle against a toxic, pervasive idea. The idea infects seemingly thoughtful, intelligent individuals ultimately setting those people and their organizations on a course to self-destruct. From boardroom to boardroom and business school to business school the contagion spreads. Influential people mistakenly buy into a caustic notion – a lie that at once undermines social trust, corrupts democratic politics, and destroys faith in free enterprise on an industrial scale. The ultimate boardroom lie: “Business exists for profit.”

Profit as intended in the statement, “Business exists for profit,” requires a fine distinction. Profit is not meant as a desire for mutual benefit or growth. It is not something altruistic or selfless. No, profit means revenue, return, income.

The mistaken belief is, that the purpose of trade is to achieve unilateral gain or selfish advantage – to make money, pure and simple. If it weren’t for a few socially imposed rules, commerce from this perspective might just as well be crime. In a cutthroat society where economic ends (profit) justify means, everyone pays a price.

Symptoms of the infection are rampant. Look no further then the shenanigans of the financial industry and the folly of Wall Street; or the seemingly endless stream of nickel and dime charges and fees proposed by Fortune 500 conglomerates to drain customers at every turn. Leadership in American industry has increasingly succumb – the leaders worship first and foremost at the altar of profit. Instead of serving, instead of adding value, they seek to fleece the consumer and line their own pockets – regardless of consequence.

A commercial enterprise springs from an idea to solve a problem, meet a need, add value. It is the effort of a private individual or group seeking to create in response to a demand or want. Profit is a byproduct of success fulfilling needs and satisfying desires. Profit comes after giving, after generating value, after producing or providing something useful.

As a business grows and prospers it establishes and nourishes trust. The organization fine tunes its offerings and becomes more proficient, efficient and effective meeting needs and fulfilling desires. Eventually, however, all thriving organizations are challenged – by competition from without or corruption from within. If the organization’s leadership focuses on the byproduct (profit) instead of the inspiring purpose (creating value) the company is doomed.

In a reality bent on expansion, growth and increasing worth – only individuals and organizations that add value survive and flourish. Fixating on accumulating profits switches on the self-destruct mode.

The misconception, that business exists for profit, is fueled by a dangerous combination of insatiable desire (a natural human condition) and unconstrained opportunity. Here is where success is the seed of its own demise. Without the moderating influence of a moral, collaborative social culture, competition and greed usurp the economic system. The result is always a cataclysmic end.

In a healthy society, business is not about accumulating and amassing. Business is a mutually beneficial, culturally enhancing activity. Business helps people live well.

The purpose of commerce, economic exchange, trade is to add value – to solve problems – to meet needs. Commerce is a social compact, founded on common trust and collective self-interest.

If a corporate board member, a business school professor or a high placed public official suggests business is primarily about profit or is meant to earn a return for investors, suspicion is in order. Your moral fiber is about to be tested. People espousing the profit motive as the chief aim of business fail to grasp the tenets of human relations, the bedrock foundation upon which free enterprise rests.

American business over the last century has achieved extraordinary results. The United States has prospered spectacularly because of a dogged determination to solve problems and satisfy desires. The United States created prosperity by working in concert with the laws of nature. If America continues to propagate the ultimate boardroom lie, and attempts to work counter to the laws of nature, the future will not be so bright.

Don’t propagate the lie. Don’t let the infection spread. Focus on the right motive – to create value – in all business dealings. Choose the right path.

Scott F. Paradis, author of “Promise and Potential: A Life of Wisdom, Courage, Strength and Will” publishes “Insights” available for free at http://www.c-achieve.com

There’s no arguing that house prices and the property market are far from favourable as we enter 2011. For this reason more people are staying put in their homes rather than looking to relocate. This is the perfect opportunity for home owners to make some valuable and worthwhile changes to their home in the hope to raise its potential asking price when the time does come to sell. Big or small, no matter what scale of improvement you opt for, home improvements can provide a significant financial return.

With larger home improvements of this sort, you cannot expect to earn back the money you spend straight away. Extensions and renovations should be treated as long term investments, as you are unlikely to get a return until the property market is more favourable in regards to price competition and demand. Furthermore you are unlikely to make a return at all if your plans are not thought out properly in terms of realistic expectations, for example if you have enough space. For this reason, home owners are encouraged to only make home improvements first to improve their quality of living and only second to obtain a profit on a sale.

1 Add an extension to your home

The most common way of adding value to a property, they are very effective on detached homes, though that’s not to say you’ll be pouring money down the drain if you live in a terraced or semi-detached house. An extension must be designed in the same style as the rest of your house to gain the most in added value on your property, the only other alternative for it to add maximum value is if the extension adds a new major feature to a house, such as a focal point or room to the home. A little considered fact is the space the extension takes up, usually eating up garden space, so if your garden is left disproportionally small compared to the house, expect that to knock value off and make the house harder to sell.

Any extension built must have a recognisable purpose and not be built for the sake of it, or it will be counterproductive for any added value you were hoping for. One example that can be used is adding an extra bedroom to a 4 bed house when there is only one bathroom, the proportion and balance of the house if thrown off kilter. The extension must add something to the house and the personal space of who lives there, or little to none value will be added, so think long and hard about whether an extension is worth it.

2 Renovate the loft

Loft conversions are rapidly becoming just as popular as extensions in adding value and benefit to a household, being the cheaper option and making a house seem more modern. Most conversions are priced between £8k-£15k depending on the house and cause less disruption than an extension would, scaffolding being on the roof instead of side walls of a property. Not a bad deal considering the amount of space a conversion can add to a traditionally built home.

A major edge conversions have over extensions is that they don’t necessarily need planning permission, speeding up the building process; at best they can be completed in a month. Loft conversions can add a maximum of 20% onto a property price, but to get the whole 20% depends on the style and build of your property and the loft space. The roof height has to exceed 2.4 metres to be viable (2.4m is the absolute minimum height, you can get away at this height, but the taller, the better) with a steep pitched incline also being a major advantage.

3 Attach an en suite to a bedroom

Properties with a master bedroom, or at least one bedroom significantly larger than the others should consider adding an en suite bathroom into the space. Using minimal space to begin with and making a bedroom much more desirable to prospective buyers. People can be amazed how little space is needed for an en suite; a little used walk in wardrobe can offer the perfect space for a discreet en suite. An en suite should be an addition and not a replacement for the main bathroom of the house, a house with 4 or more bedrooms and one bathroom can make demand and the morning queue’s for the bathroom unbearable, having that sort of morning rush for a en suite would be hell on earth!

Properties with basements have a good head start on properties without one, most are just used as storage space or maybe a utility room. But they are a prime space to convert and expand, creating a new large space to be used by you and your family, most basements are cold and dark, so they are not considered for renovation very often. Storage space can still be kept by incorporating it into the renovation, by building racks and shelves into the room or separating a smaller section as a storage room. They tend to be much quieter as well, so can provide a perfect office space, meditation room or even a workout room/gym. As basements can be the quietest part of a property, popular uses for the new room can be office space, a study or den, maybe even a games room or gym, emphasis being on a space where you can relax and de-stress.

Building a basement can also be an option to consider, though I doubt it has to be pointed out this will be the most costly and disruptive to undertake and complete. Many owners and families choose to move out for all or some of the time it takes to build a basement it’s that disruptive (average time of completion is 3 months), as a lot of large and specialist machinery would be needed for the construction. As for cost, expect to spend a colossal £80,000 on average to get the project completed, the main reason for such expense and time are that the houses foundations would have to be moved and reinforced, so it’s a very complicated operation.

5 Eradicate internal walls

This is perhaps one of the cheapest home improvements you could undertake and you’d be surprised just what a difference knocking a wall down can do for a living space. This is a particularly useful option for homes that are small in size. Adopting an open plan lounge and dining room for example, by knocking down the adjoining wall is a quick and easy way of extending your daily living space.

Knocking through and down a wall can add much more natural light to a property, meaning giving a house a lighter and fresher feeling and atmosphere to the house. Knocking walls down works most effectively when joining a dining room and kitchen, or a kitchen and utility room, with utility rooms being much more sought after and in vogue at the moment, creating a more open and accessible utility room can be a major plus point when selling a property. Well, that’s all we have, so think about giving your house that facelift it deserves!

Adding value to a property is never going to be cheap, but it does not mean you have to spend thousands of pounds more than the improvements will add to value. Targeted changes on a budget can give you the desired improvements without breaking the bank account.

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