Lendio Comments on Money Management Tips for Small Business Owners

SOUTH JORDAN, Utah, Dec. 17, 2012 /PRNewswire/ -- The economic downturn experienced in recent years has made managing business expenses even more challenging than usual. Noting that a number of small business owners list money management among their top stressors, The Press of Atlantic City published an article to document proven keys to success. The management team at Lendio, a company built to help small business owners obtain financing, agree close attention should be given to keeping track of cash flow.

Owners of small businesses rely on stores of cash, no matter how small, to get them through payment and receivable cycles.  The article notes business owners face a regular temptation to stock up on inventory. While business must stock inventory to sell or to use in the provision of services, in and of itself the supplies do not pay the rent or utilities.

"A lack of cash flow can strangle the ability of many small business owners to be successful," said Brock Blake, CEO of Lendio. "Along with financing growth, we see a lot of borrowers looking for creative ways to fund working capital. Access to affordable financing is critical to small business success."

The article suggests business owners can improve cash flow by making purchases only when necessary. It also stresses the importance of closely monitoring receivables. Customers should not be allowed to consistently fall behind on their payments.

In addition, the article suggests business owners should refrain from paying a number of large bills at the same time each month. By spreading these payments out, the business is likely to have the cash it needs to handle small unexpected expenses that tend to arise.

In addition to monitoring cash flow, the article suggests business owners keep their business plans up to date. Paying regular attention to balance sheets, income statements and other financial forecasts that spell out where assets stand in relation to liabilities are critical to ongoing success. By reviewing this data on a regular basis, business owners are better able to identify and correct areas of weakness.

ABOUT:

Lendio utilizes a web-based proprietary matching technology designed to help small business owners comparison shop among the best loans in the marketplace. The company was founded with the goal to simplify the business loan process by matching the unique needs of business with the lenders eager to provide financing. Small business owners benefit from a network of thousands of products from banks, credit unions and other sources. The people at Lendio believe small businesses are at the heart of American culture, and they strive to continue this entrepreneurial spirit by easing the financing process.

SOURCE Lendio