ManagingCash,TheEssential FuelOfYourBusiness

smart to have a line of – just in

Striking the right balance

There’s a bal nc having too much and not enough your business is holding much you could bemissing onopportunities to invest it pote tially generat d itiona earnings

Conv r el w t an inadequate you may have to interest, or sell tentially generate l additional earnings Conversely, with an h inadequate supply, you may have to borrow and pay interest, or sell off assets.

Don’t confuse profit withcashflow

You can’t accurately measureyourcashflowby simplystudyingyourprofit and loss statement. Many factors must be assessed, including accounts receivable and payable, capital expenditures,

Don t confuse withcashflow can’t yourcashflowby yourprofit loss statement. must be assessed, in luding a counts and capital expenditures, inventory and taxes. Your financial advisor can help you assess your cash flow in conjunction with your accountant. inventory and taxes. Your financial can help you assess your cash flow in conjunction with your accountant.

How can a business put itscashtowork?

How can business put itscashtowork?

CDs offer higher yields than savings accounts, but youmayhavetotieupyour savings until they reach maturity Money market mutual funds typically have a lower earning potential, but may offer easyaccesstoyoursavings – so you can make quick adjustments when rates change.

CDs offer higher yields than savings accounts, but youmayhavetotieupyour savings until they reach maturity Money market mutual funds typically have a lower earning potential, but may offer easyaccess yoursavings – so you can make quick adjustments when rates change.

You might want to also consider a securities based line of credit. You can use the borrowing power of one or more personal or business brokerage b a accounts to establish a loan.Approval is typically doneinjustdays,andthere are no upfront, mainte-

You want to also consider a securities based line of credit. You can use the borrowing power of one or more sine s broker ge to establish a loan.Approval is typically injustdays, there are no mainte-

2) nance or closing costs nance or closing costs

There are flexible repaymentoptions,aswell.

There are flexible repaymentoptions,aswell.

Nextsteps

Nextsteps

* Account for cash on hand and conduct a cash flowforecast.

* Account for cash on hand conduct a cash flow

*Workwithustostrike abalancebetweencashand credit to leverage the advantagesofboth.

*Workwithustostrike abalancebetweencashand credit to leverage the advantagesofboth.

*Ask us how to access liquidity to help you and yourbusiness.

If you would like to know more about how can assist with cash management, please contact our office At Pendle Hill Advisors we do not aim to sell you something, we something, focus on the details that make your money work as hardasyoudo.

* us how to access liquidity help you and your you would like to know more about how can assist cash management, please contact our office Hill Advisors we do aim to sell we focus on the details that make your work as hard do.

Kent Pendleton, AAMS® Financial Advisor, RJFS Pendle Hill Advisors