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Edited on Thu Apr-10-08 08:01 PM by Flabbergasted
(This is for those who take a simple and naive approach to campaign finance. Also in defense of the Clinton campaign, though I support Obama)
For this illustration I will describe you as an otherwise profitable coffee shop who just saw Starbucks move in across the street . Oh Fuck! What are YOU going to do.?
Five Principles
1.) Stretch your accounts payable; demand your accounts receivable.
2.) How to re-market your profitable business.
3.) Give up your dreams or try to beat the odds?
4.) Creative Finances.
5.) Cut your costs and find new business opportunities.
1.) Suddenly your profitable business has lost 20% of it‘s gross. You have a few decisions to make. You still have fixed costs to pay, however and you've now went into the red. First of all you delay paying you’re accounts payable as long as possible and demand your accounts receivable in any way possible.
The catering order that you delivered today is paid today if you can help it. Your coffee bill remains on your desk until they call you angrily the second time and demand payment. The first time you explain that you’re having a little cash flow problem.
2.) You have lost half of your lunch business. The first thing you do is look at how you can beat your competitors (Price, Service, etc) Then you look at what else the neighborhood might be seeking as an alternative to what you were serving.
3.) If you have gone into the red, it might be best to give it up and sell. Someone else might have a different vision that may work better. On the other hand, you may know in your heart that after many years of service you are unwilling to just let your dreams slide. The choice is up to you.
4.) If you are in serious financial trouble it may be necessary to look at creative ways to make ends meet until you can re-market or sell. If you have a lot of faith dipping into the retirement funds may be the way to go. Yes it’s risky, but if you have a dream and faith it may be the way to go.
5.) Remember you may need to cut some luxuries. Maybe you need to do the accounting yourself or give up the expensive consultant and look for other ways to service your business.
BTW criticizing business people because they’re a few months behind is silly. This issue is as common in business as sunshine to a flower. Their providers will get paid with interest; don't worry.
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