Somewhere along the way, it is important to find out the simple calculation that lets you know what a healthy business is. Your business may be profitable, but if you are pulling all of your cash out of the business for the wrong reasons Cigarettes Online USA, you will find your cash cow is out of milk when a downturn happens. The deepest downstroke in operating cash flows for most businesses is equal to two months of operating expenses.
In turn, I recommend setting the "core capital target" at two months of operating expenses in cash Cigarettes Online Free Shipping, in addition to owing nothing on the line of credit and setting aside any tax amount currently due. You may want to set the target higher, but you would never set it lower.
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