Bank: the Worst Place to Keep Your Capital

Capital that the business is choosing to put in the worst place that ever was created for capital to reside. Which bank.

Account that lending institution is using that money while it's being warehoused there. Because as soon as they transferred the money and put in that account, it wasn't the business's money anymore, it's the bank's money with an iou. Payments are being generated every day. Just like an insurance company. Premium payments are received every day. Some are small, but every day there's a premium coming in. Their balancing act of cash can be adjusted on a frequent basis. The best part is they even know the premium schedule. They know the day they're taking the payments out of people's accounts. They they know the anniversary date of policy. So they can reasonably assume and project on a pretty nice looking spreadsheet, I'm sure exactly how much cash is available and coming in on a repetitious basis on a month by month basis.