Starting your own business can be both an exciting and scary endeavor. Not only will you need passion and perseverance to weather the ups and downs, but you’ll need to be prepared well in advance of putting up that Open Sign if you want to make it in the long run. If you are thinking about starting your own business here’s what you need to know to get started. Continue reading “Starting a business? Here’s what you need to know”
You’ve been in business for years, you’ve got a solid Profit and Loss Statement, so why is your bank asking for an updated business plan before providing you with a loan? Well, to simplify it, even though you’ve known your cousin Sharon for 30+ years, you probably wouldn’t loan her thousands of dollars without asking her what she plans to use it for, how risky a venture it is, and how she plans to pay it back. It’s kind of the same theory. Even though your company isn’t a start-up, you’ve been known in the community for years, there is still a risk for the bank in lending your business the money. Continue reading “Why your bank wants to see an updated business plan before giving you a business loan”
It’s kind of like a secret club. Whether you are plotting your start up while working a full-time job, are currently a solo entrepreneur, or if you’ve owned a business for 50 years – there are commonalities. You are a master decision maker and visionary, work a lot of hours and the oddest things will keep you up at night. Continue reading “When your business needs capital”
The best piece of business advice you’ll ever get is this: “Cash flow is king.
Seasoned business owners understand the power of an abundant cash flow situation. All companies, regardless of profitability, will experience a slowdown in cash at some point.
82% of business failures are due to poor cash flow, so it’s a serious metric you should be monitoring. Companies that can forecast a cash crunch and have procedures in place to survive the storm will be in the 18%.
In our experience, here are the top reasons businesses struggle with cash flow beyond a dip in the economy: Continue reading “The 5 Biggest Mistakes Businesses Make When It Comes to Cash Flow”
Getting caught in a cash flow crunch is an all-too-common headache for even the most successful small business owners. It’s the reason why 29% of startups fail, the second most common cause behind “no market for the product,” according to research by CB Insights. Even profitable small businesses that don’t have a substantial cash cushion can meet this unfortunate fate.
There are multiple options for averting a cash crisis, but all are definitely not equal. For example, it’s tempting for owners to whip out a business credit card (or even a personal card) for a cash advance or to cover an unexpected expense. Viewed as a very short-term boost, the quick credit card solution comes with earnest plans to pay it off just as quick, in a month or two, max.