Business Line of Credit vs. Term Loan: How to Choose the Right Financing in 2026
A line of credit charges interest only on what you draw; a term loan charges it on the full sum from day one. Use lines for cash gaps, loans for assets.
#working-capital
Working Capital
Manage working capital for business operations
Free Cash Flow Conversion: The Ratio That Tells You Whether Your Profit Is Actually Cash
Healthy FCF conversion runs near 80% of EBITDA; below 50% means receivables, inventory or CapEx are eating profit. Formula, benchmarks and fixes.
Safety Stock, Reorder Points, and EOQ: Three Formulas That Stop Stockouts Without Tying Up Your Cash
EOQ sets how much to order, safety stock absorbs demand spikes, and the reorder point sets when to buy — worked examples that cut stockouts without idle cash.
Senior Home Care Agency Bookkeeping: Surviving Weekly Payroll When Insurance Pays You Months Later
Home care agencies pay caregivers weekly but wait 30–90 days on Medicaid claims. Close the gap: DSO under 50, a 13-week forecast, 2–3 months' payroll reserve.
Hoarding Cash in Your C Corporation? The 20% Penalty Taxes That Punish Stockpiled Earnings
The IRS adds a 20% accumulated earnings tax on C corp cash above $250,000 without documented business needs — plus a 20% PHC tax on passive income.
Cash Flow Overtook Inflation as Small Business Owners' Top Worry in Q1 2026: What It Means for Your Runway
In Q1 2026, 31% of small business owners named cash flow their top worry, passing inflation. With a 27-day median buffer, track runway in days.
SBA Express Loans, Explained: $500,000 With a 36-Hour SBA Turnaround
SBA Express lends up to $500,000 with a 36-hour SBA response and a 50% guarantee — faster than standard 7(a), but lenders set a higher credit bar.
Supply Chain Finance: How Small Suppliers Get Paid Early When Buyers Stretch to Net-90
Supply chain finance pays suppliers in days at the buyer's credit rate: a 1.2% fee for 85 days early is about 5.2% APR. Negotiate the base term, not the fee.
Your Processor Is Holding 10% of Every Sale: Rolling Reserves, Payout Holds, and How to Book Them
A rolling reserve is your revenue held as restricted cash, not a fee: book the gross sale, debit Funds Held in Reserve, and post releases as asset transfers.
The Defensive Interval Ratio: How Many Days Could Your Business Survive With Zero Revenue?
The defensive interval ratio divides cash, marketable securities and net receivables by daily cash operating expenses to state your runway in days. Half of small businesses hold under 15 buffer days — here is how to compute and lengthen yours.
How to Negotiate Better Payment Terms With Vendors and Free Up Your Cash Flow
Vendor payment terms are negotiable working capital — top-performing companies take 46+ days to pay while bottom performers pay in 27. This guide covers what to ask for (extended net terms, milestone deposits, installment schedules), how to time and frame the ask as a win-win, the early-pay discount math (skipping 2/10 net 30 implies a 35%+ annualized cost), and how to track negotiated terms, AP aging, and DPO in your books.
FMCSA's $75,000 Freight Broker Bond Is Finally Enforceable: What the January 2026 Suspension Clock Means for Your Authority
FMCSA's broker financial-responsibility rule took full effect January 16, 2026, adding a seven-business-day cure clock, electronic shortfall notice, and a cash-liquidity standard for BMC-85 trusts. This guide covers the four rule changes and the bookkeeping controls that keep a $75,000 bond available on short notice.