Cash Flow
Saturday, December 13th, 2008It’s often said that “cash is king.” And cash flow is how you get the cash. My business partner, Tom, likes to say the key to business is to “Think big and act small.” Most of us have big dreams and, once we understand we can really have what we want, we’re ready to start acting like we al-ready have it. Often, though, there is a lag between our dream and the reality. That difference generally translates to cash.
The number one reason that businesses fail is due to lack of proper capitalization. If a new business makes a mistake, can it survive the mistake? That’s why small businesses fold when big businesses survive even though they might provide inferior products and services. The big business has the cash reserves and t (more…)