Sir, here is the link to my Special Report - Entreleadership. Thanks sir. - Bong Canlas
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Showing posts with label Jose Canlas. Show all posts
Showing posts with label Jose Canlas. Show all posts
Sunday, April 6, 2014
Sunday, March 9, 2014
Factora Paper - by Jose Tiburcio Canlas - AGSB Cark
Sir, here is my factor paper. thanks. - bong canlas
Factor Paper
By: Jose Tiburcio S. Canlas
There have been two instances in the past when I was given the opportunity to establish and operate businesses of my own. First, I was enticed to put up a CPA Review School. Second, I decided to practice my profession through the establishment of my own accounting firm. Both businesses were short – lived and did not succeed.
After a short stint at Punongbayan and Araullo, an accounting firm and then a member of Ernst & Young International, I was invited to teach in various CPA review schools. I have observed that the review schools where I was affiliated were earning good money and I was one of the reasons why reviewees enrolled in these review schools. A few years after, the thought of establishing my own review school started bothering me. I had an established name in the academe, enough capital to start a business venture, and I believed then it was easier for me to entice students to enrol in my own review school. So, in the first semester of 1995, I officially opened my own review school. The first semester was good but because of operational problems, I decided to shut down operations at the end of the second year.
For the years that followed, I got employed in private corporations, handling accounting and audit work, and moving up from supervisory to managerial positions. Along the way, I have met various business owners who later would become my inspiration and motivation in putting up my own accounting firm. So, in the first quarter of 2001, I officially started my accounting firm. The firm instantly grew with the coming of more clients usually due to referrals from existing clients. The growth was very fast and I was not able to catch up with the increase in the volume of work. Consequently, the quality of my professional services declined and in the second quarter of 2006, I stopped the operations of my firm.
Looking back, I can say that the qualities of an entrepreneur that I possessed and which led to the establishment of the above – described businesses were:
Dream
I have heard stories of successful owners of colleges who started as operators of review schools. They have also ventured into other businesses that made them even more successful. I have dreamed of becoming just like them. So, I had to get out from my comfort zone. I decided I should not be a CPA reviewer only but an owner of review school. I decided I should not be an accounting or audit manager only but the owner of an accounting firm.
Decisiveness
When I decided to put up an accounting firm, I knew I was leaving a quite comfortable work. If I stayed, I did not have to worry on funds to pay for my daily expenses, rentals for an office, salaries of staff and not to mention company – paid telephone lines and gasoline. So, it really took a will power to leave one's stable job and venture into a business that was still uncertain to succeed. The difficulties of starting all over again, organizing and providing capital for the business did not stop me from establishing the accounting firm which I planned for.
On the other hand, the qualities of an entrepreneur which I lacked and which led to the closure of the said businesses were:
Attention to Details
Attention to details is very important especially in managing the operating expenses of a business. In the case of my review school, the biggest operating expense was that for the space rentals. A continuing two – year lease contract was not appropriate for a starting review school. Full capacity occurred only during the first semester because of the greater number of students graduating in May. There would normally be less number of enrolees in the second semester. Instead of a continuing two – year lease contract, I should have opted for a lease agreement that was renewable on a per semester basis.
Fast
I was not fast enough in providing the demands of the business. In the case of my accounting firm, a few months after I started, the number of clients materially increased resulting to the lack of employees who were competent to perform the services demanded. I just found myself the only person capable of doing the services demanded, while my salaried employees were just waiting for me to accomplish the work needed. I was spreading myself too think that the quality of services started to dwindle. There were delays in the preparation of tax reportorial requirements. Dissatisfied clients then started to disengage and opted to transfer to other accounting firms.
Dedication
The time I devoted to the business was adversely affected by my personal relationships and commitments. I should have realized by then that to take the business off the ground, it needed the full commitment and close supervision of the owner. As I got distracted with a lot of things, I was not able to contain the fire burning within me when I started the business.
Right Motivation
In establishing the review school, I had the wrong motivation which was earning more money. What I had in mind then when I was still a CPA reviewer in other review schools was that I was the one bringing students to them, and thus, the one bringing in money for them. It was the wrong belief of enriching other people instead of enriching myself. So, I decided to put up my own. It could have turned right if the intention was to provide an exceptional preparation for the reviewees to help them pass the CPA board exams.
Looking forward, I still dream of putting up and operating my own accounting firm, this time, as a more disciplined entrepreneur, taking into consideration the good qualities of an entrepreneur which I have not applied in my previous businesses and armed with management skills I learned from my MBA subjects and the best practices shared by my colleagues. 4
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