A couple of months ago, I was working on getting a line of credit for one of my clients in
the construction industry. I went through the process with a number of banks, but due to
the industry they are in and the uncertainty of the prices in the industry, the banks were
not willing to extend a line of credit, even though the company is extremely profitable.
It's hard to go through a day without hearing the media, a friend, a business owner, or somebody complain about how the success of their business is being killed by the bad economy. While the general health of the economy obviously plays a role in all of our businesses, I think it's an easy and convenient excuse.
I am a fan of movement toward the use of the word "pivot" to describe the key business model changes a start-up implements in its quest for the most effective and scalable way to deliver its products/services to the market. I am an advocate of making sure that each of the pivots improves the cash flow and working capital cycle of the venture.
Most Popular Blog Posts of 2010
Sports teams compete against each other and they keep track of the score. They know who wins and who loses, and each player on the team has more statistics on their performance than they know what to do with. Individual sports athletes, like golfers and runners, meticulously measure their performance against themselves and others and use their numbers to find ways to improve.
Is running a business any different? Is there a way to know if you win or lose each day? Each week? Each month? Each year? The answer to all of these questions is yes, and I write about how to accomplish this in
Very few business owners are thinking about taxes in August. Even if they extended their returns, the deadlines to file corporate and personal returns are in September and October, respectively. With no urgent deadline to meet, business owners are happy to not think or worry about taxes and focus on other parts of their business.
Compliance is not very interesting or fun according to most entrepreneurs or business owners. That's why they usually put off discussing taxes until the very last moment possible. Not only does this usually cost them more in taxes, but the entire process can be one of the most compelling things they do, if they do it right.
Again, my blog-writing time has been devoted to writing for the American Express OPEN Forum website. Here is my latest article that published on their website earlier today: 40 Tips to Accelerate Cash Flow.