When I started my first business many years ago, I thought once I got past my startup phase—when I started to break even and even to turn a profit—I’d be finished with raising and borrowing money. Boy, was I wrong. As it turns out, I’ve needed to raise money more times than I can count for all of my businesses.
But how do you know when your business needs an influx of cash? I’m not talking about an instance where a poorly-run company is in dire straits and needs money to cover the bills. That’s an unhealthy company; while cash may forestall closing up shop, the root of the problem lies elsewhere.