A recent Profit Minded post featured our conversation with Jay DesMarteau, head of small business banking at TD Bank, about how small business owners can face down financial stress with a real-world financial plan. Here, in part two of our interview, DesMarteau shares advice for accessing capital when you need it. He offers tips for setting yourself up to get through temporary periods when expenses outweigh revenues, as well as for planning for long-term growth.
Following DesMarteau's earlier advice for putting a financial plan in place will help you identify the gaps in your business cycle—whether they be week-long or month-long intervals—when you will not have enough income to cover your costs. "These are times when you don't have money coming from customers on the revenue side but your expenses are still there," DesMarteau says. "You have to pay employees, and you might have to buy inventory that takes time to convert into a product you can sell."
Of course, business owners canRead More »from Short- and long-term cash access strategies for small biz