The only thing a business cannot do without is money. Even the worst business you have ever witnessed (rude staff, poor service, products break, overpriced) will survive if somehow they keep enough cash in the bank to keep paying overheads, or they are lucky enough that no other business has decided to compete directly and force them out. Likewise, some of the best businesses run by the nicest people go bust. Cash, and the use of it, have no friends or enemies.

So, managing the finances of your business effectively is critical.
All you need to do is make sure more money comes in each month than goes out. If this is the other way around and you are under financial stress, the first step to take is to get help with dealing with cash flow problems. The sooner you talk to your bank manager/accountant/adviser/another business owner, the better.

Access the free online training module on financial forecasts to build a cash flow, and even more importantly, go through the 10 Step Survival Plan to determine how much time you have left before you run out of cash.

Read more.