Build a residual cash flow
To sustain any operation larger than yourself, you’ll need money. Credit is critical to your scaling journey. It’s not as easy to get money as you might think. By the time you need something, it’s critical that you have it – but when you’re building your business, what you need is not as easily accessible. That’s the startup irony.
Digital tools cost money. Consulting does too. So do the salaries of employees that you’re going to hire. That’s why you need access to a stable, healthy cash flow that will sustain your expansion plan. Otherwise, you’re just building a ticking bomb that will waste a lot of your and other people’s time when it inevitably explodes.
The time to get or build credit is before you need it. You never want to start borrowing when things are going wrong. You want to do this while business is going well so that credit is available to you when you need. Strike while the iron’s hot.
There are a number of options for securing funding, including conventional term loans, short-term loans, business lines of credit and business credit cards. More recently, there’s been an uptick in the use of things like crowdfunding to help secure funding. However you do it, the key thing is to work on this before it becomes a problem; you have to think ahead.
Read more at https://ceoworld.biz/2020/10/29/three-tips-to-scale-your-business-as-a-startup-entrepreneur/
