8.31.2013

Small Business Failures in America - Cash Flow Issues

We are seeing an increase in the length of time required large companies to pay their bills on our team. Fortune 500 which tend to pay their vendors more slowly, which would hurt small businesses strapped in America. The same small businesses that implement 2/3 of the population and perform services in providing the needs of my company run corporations.At, The Car Wash Guys, we retail and fleet customers. Pay cash, that tends to offset the problems with late payments from the expanded fleet accounts. It appears that corporations keep their money to remain productive until the next quarter, but it will hurt them in the long-term efforts to small businesses that provide real-time and part will not be able to meet the demands of real time and therefore lead to cost overruns for the manufacturing sector. 

Thus reduce productivity and cause problems in their efforts to excellence. Who is hurt the worst? The possibility of non-high-tech unable to timely perform their industry, and their shareholders in assessing the stock decline, which was not hit their income guestimatation or quotas. Also hurt retail outlets which are essential items in the store in time to meet consumer demand. The biggest cut in the long run we are all in America due to the increasing failure of small businesses to operate in string.Some shoes of a small business should be weeded out weak by factors such as abnormal free market is slow to pay and others that work just press the ROI and repay the loans was hurt. Pain because the interest rate risk adverse banks stopped lending to small businesses. Pain SBA guaranteed loans and programs that affect us all. Is serious and likely to cause unnecessary laying off people who make up the largest percentage of people working Americans. Small businesses make up 2/3 of all American workers. It think this problem will get worse as the CFO for a way to save cash as possible, by stringing out their accounts. 

Telephone companies, power companies and other bills paid on time by a small business, while the company's famous thesis slow to pay the difficult economic times. It seems young people who will get its shorts, as life and acceptable provided, but also in us the effects of our customer base is decreasing.What about labor and layoffs? As a small business is not able to implement the lion part of the mass, there will be less money to spend on items sold by major corporations.How this happens and how small businesses lose? Payment slow means slow bill payments and bad credit score. 

Also 60 day cash flow in the bank will be used to float. Buoyancy Some small businesses can get, but some small businesses are broken down and become ineffective and can not survive 60 days and not be part of the nearly 28 million small businesses in the country them to pay their bills, buy products and services workers.This and feed their families is the most serious problem facing the U.S. economy and is still moving in the wrong direction in the first quarter of 2001. This is not good. Car Wash does history new car sales market, so some companies we should be fine. As well as small businesses will tell you that they have to constantly adjust their methods of operation against the forces, which may be a threat.

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