What is it called when you spend more than you have or earn? The single words I’d use to describe your behaviour of spending more than you make, have or earn might be profligate, which means you’re being recklessly extravagant or wasteful in the use of resources. Other single words to describe this behaviour might include reckless or foolhardy. But to use two words as a description, this is simple and can be described as Over-Spending.
Symptoms of Overtrading This article is about the symptoms of overtrading, which is most often seen as a business startup problem. However, overtrading can affect mature businesses too. Before I go into the symptoms of overtrading, it is worthwhile looking at the definition of overtrading first. Overtrading business definition… Overtrading occurs when a company expands its operations […]
Solvency Ratio Formula This article is about the ‘solvency ratio formula‘ and is written by Russell Bowyer. This subject is one that I’ve had experience within my own company and in helping other entrepreneurs in business. The following headings are discussed in this article: What is the Definition of the Solvency Ratio Formula? Solvency Problems […]
Does your business require a cash flow forecast or are you planning to set up a new business or are you planning to raise some cash from investors or the bank? Our Cash Flow Forecasting System is easy to use and takes the hassle out of preparing the essential cash flow forecast document for your […]
In one of my businesses we have just set up a new employee bonus to the management team and this has been well received. The title of this post was to emphasise a ‘Bias’ towards a bonus rather than fixed salary to your staffs – I would recommend this as a recession beating tool. I was not […]
There are many ways of improving Cash Flow for a business and we have given you a few ideas to do just that. To help you see how these ideas can help your business it would be worth while doing some cash flow projections. The Cash Forecaster can be used as a management tool to […]