Assessing and Dealing with Cash Flow Gaps
Certain businesses such as coffee shops or pizzerias are often not challenged by cash flow issues because they are receiving cash on a daily basis from customers. Other businesses such as, are not so lucky, professional services or consultants. For companies in the professional or healthcare industry gaps in revenue can often last weeks, if not months. Thankfully there are ways to keep your business healthy in-between payments.
Using a line of credit to mitigate risk
During these gaps in revenue companies should do everything they can to lower expenses. If you can not lower your expenses enough to survive as a company than a line of credit is the best option for you. Experienced small business owners know that the key to survival and consistent growth is staying on top of your expenses. A line of credit enables you to survive during slow business periods as well as grow more efficiently during more robust times. This is why a line of credit is perfect for all businesses no matter what the situation is. If your business has extended gaps in cash flow, and you’d like to discuss how a business line of credit may assist your business, give us a call today at (888) 358-8484. First Premier Funding – Where your business comes first.