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by Tichy 5091 days ago
I think (aiming for) growth is also necessary to offset risk. Naturally business will not be equally good from year to year. If you don't create surplus in the good years, you'll find yourself in trouble in the bad years.
1 comments

Growth is like... the opposite of surplus.
How so?
What fauldsh said, basically.

Imagine that you've got a bunch of VCs who have decided to give you millions and millions. Yay money. You now have a surplus, but you have not grown. To grow, you have to spend that money. That's the entire reason they gave you money. Goodbye surplus.

Because any surplus saved for the bad years is money that could have been invested in further growth.