The Definitive Business Plan: The fast-track to intelligent business planning for executives and entrepreneurs, Second Edition

Chapter 10. Funding the business

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• Balancing your cheque book

• Balance sheets and cash flow mechanics

• Balance sheet headings

• Producing the paper

• Watching cash flow

• Using a surplus

• Getting it funded

• Debt or equity?

• What’s the deal?

• Putting a price on success

• Does it all hold together?

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	“A bank is a place that will lend you money if you can prove that you don’t need it.”
	--Bob Hope

You have been very patient. You have worked methodically through the forecasting exercise. You have arrived at a forecast of your net profit (or loss). This is an important number, but in many cases cash flow is even more critical. You do not want to go into liquidation for lack of cash in the bank when you are showing a profit on paper. All that remains now is ...