No matter how busy you are when business is booming, if you have a seasonal business, it’s crucial that you plan for and budget for the off-season. Understanding the ebb and flow of business includes having a plan for keeping good cash flow, reducing expenses and exploring new business opportunities to boost business during the troughs.
Every business needs positive working capital. That’s especially true when it’s possible that a recession could be on the horizon—but it’s also true even when times are booming. Working capital opens doors. It creates potential and possibilities. Here are some of the core reasons why businesses need to have working capital on hand.
You want to reach the next stage of your business. But how? Sometimes, the old adage is true: You have to spend money to make money. Working capital makes it possible for companies to start scaling.
Sometimes the most effective manner of planning works backwards. Applying for a small business loan falls into this category. If you know all the reasons a financial lender might say no to your loan application, you can address those areas before applying so that you get the yes you need.
About 67 percent of small businesses fail within their first decade of existence, states the Small Business Administration. A huge part of the problem stems from ineffective planning that leads to ineffective use of the business’ working capital.
Any loan that can be used for growth is a good loan. Equipment loans fall into this category. You can leverage equipment loans to improve your revenue, increase customer satisfaction, and scale upwards. Here are some major ways equipment loans could improve your business starting today.
Could your company benefit from a business equipment loan? Equipment loans make it possible to expand your business, fine-tune your operations, reduce your bottom line, and ultimately grow revenue through an upfront investment.
Many farms are finding it difficult to make ends meet. Not only is the recession potentially coming, but there are many economic uncertainties regarding foreign trade. Some farmers, like those who grow soybeans, have been left adrift by these changes. That doesn’t mean that farms aren’t going to survive, but it does mean they need […]
Working capital; it’s what makes or breaks a business. Most businesses that fail do so because they don’t have enough cash at hand. They might have great clients, fantastic assets, and everything else going for them, but they need actual cash to continue operating. Here’s what you need to know about building your working capital.
Avoiding errors when you calculate working capital helps you understand the true picture of your short-term obligations. Let’s take a closer look at how to calculate your working capital properly and the consequences of getting it wrong.