Startup Funding Espresso -- Cash is King
Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. In startups, cash is king. It\u2019s the key financial metric to watch. Growth may be going straight up. Customer traction may be better than ever, but if cash runs out then it all comes crashing down. Cash management is a daily exercise.\xa0\xa0 The first step is to understand every inflow and outflow of cash.\xa0\xa0 Set up tools to alert for cash disbursements over a certain amount. Watch incoming cash from customers and follow-up when it goes off-track. Set up a daily cash management plan.\xa0 Identify the biggest cash hits during the month. This is usually payroll. Investigate how to move around other expenses to match your incoming revenue. A recurring revenue model helps as it brings in cash on a regular basis throughout the year in most companies and helps with the cash flow. With some revenue, you can go to the bank and set up a line of credit. This lets you draw down some bank debt and pay it off in the following weeks. Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let\u2019s go startup something today. ___________________________________ For more episodes from Investor Connect, please visit the site at: \xa0 Check out our other podcasts here: \xa0 For Investors check out: \xa0 For Startups check out: \xa0 For eGuides check out: \xa0 For upcoming Events, check out \xa0 For Feedback please contact Music courtesy of .