3 Liquidity Traps to Avoid
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3 Liquidity Traps to Avoid

You might be in a growth phase of your business. Growth always requires cash and cash is generally at a premium. Further, there are some liquidity traps to be avoided as you grow. Here’s 3 to watch out for:  1) Excess build-up of accounts receivable  It’s normal for your receivables to increase when you grow. However, if…

2 Questions You Need to Answer Before You Talk to a Bank
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2 Questions You Need to Answer Before You Talk to a Bank

Every business owner wants abundant cash flow in their business. It’s emotional and practical. Cash is like oxygen. Your business can’t function without it.  When cash is in short supply, owners become lightheaded, then despondent, then desperate. Cash represents success and lack of it, failure. It’s not a question of “if” cash is in short supply,…

What You Really Need to Know About Changes in Leverage
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What You Really Need to Know About Changes in Leverage

COVID-19 was public enemy #1 last year, wreaking havoc on businesses across the country. Business owners were faced with declining revenue, operating losses, and layoffs. Many business owners who had never been through a recession before were devastated, overwhelmed, and anxious as they dealt with cash flow issues they had never faced. They weren’t sure if…

What You Really Need to Know About Changes in Accounts Receivable

What You Really Need to Know About Changes in Accounts Receivable

80% of startup businesses fail in the first 5 years and 50% of those fail because of cash flow issues. I hate to see so many failures because of cash flow when it’s something that can be prevented or mitigated. One major cash flow killer in a business is the slowdown of collecting accounts receivable….

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