31. Calamity Jane
When every penny counts it may seem strange to leave a large percentage of your working capital aside for a rainy day, but that’s what you need to do.
Be too cautious of course and the business won’t have a fighting chance of succeeding at all – tiptoe rather than crawl.
Any monies borrowed, if at all possible, must be secured on some of your assets, even if the lender is not asking for such a provision. Yes, you could declare yourself bankrupt if it all went terribly wrong, but if you truly believe in the business that you are creating, you should never get in the position of having to declare yourself bankrupt – if you are paying enough attention to essentials such as your cash flow, you’ll see the downward spiral before ...