Risk Tenet
Venturing into new territory brings with it adversity, frequent failures, and recovery, as you try again and again. This is the risk of building a new enterprise and striving for great heights. To get to the highs, you need to grind through the lows.
You never fail until you stop trying. We are a company of grinders.
Price Points On Risk
01.
Risk more when it is required
After months of rejections from many financial institutions, Gerry finally secured a loan from a US bank to purchase a plant in Suwanee, Georgia, only to be told shortly afterward by the same bank that his line of credit was not approved after all. Calm and assured, Gerry offered his company and his personal assets as a personal guarantee to secure the loan. He was willing to take a calculated risk.
02.
Trust in Trends
Gerry trusted the trends he modeled. Seeing a steady ramp-up in total gross profit margin year after year, he still projected losses growing for a number of years—but not indefinitely. And as he predicted, Price turned a corner with losses subsiding and with incremental gross profit being greater than incremental overhead.
03.
Understand risk assessment
As a confident risk-taker, Gerry carefully assessed risk: if the trends and data do not support the investment, it is risky business not worth venturing into.
E.H. Price: Foundation and Legacy
