Fact : Without cash a business cannot survive.
You may be able to extend the business slightly by introducing private funds, paying creditors slower or collecting debts quicker but, start paying your staff late and, that key element in your business will lose faith in your abilities to manage a business and they will quickly start seeking alternative employment.
So what can you do ?
Firstly, build up a cash reserve. This may not be easy if yours is a growing business and that cash is needed for investment.
Secondly, have a plan. Create credit lines that you can call on in an emergency. eg. an overdraft facility (banks will be more willing to facilitate your needs when things are good than if you require it quickly), factoring arrangement and if you're a seller via paypal, paypal loans ?
Thirdly, prepare a cashflow forecast and update it regularly. this will enable you to identify the peaks and those omportamt troughs which will need managing.
If you need any help or advice then call us on 01225 315103.