Short YouTube clip (Mike Andes) advising business owners to keep sufficient cash reserves—"cash is like oxygen"—and warning that running a business too skinny on cash endangers the company and dependent families. The speakers discuss using a line of credit as a financial backstop; Mike expresses resistance to taking on debt.
Cash is like oxygen. Without it, the business is going to die. Ultimately, when you build a $1.8 million business and you have a family depending on you, your employees and their families depending on you, you can't be running the business so skinny on cash.
Do you have a line of credit though, as a backstop? We do not know. Have you tried to look in to get one? Yeah, I would highly recommend it would like, I want to be like.
Don'T need debt.
Go forward at $54,000 in the bank and you're doing 1.8 million. It's just a matter of like, yes, we can cycle through it quickly, but that would be a hu. Stress relief.
