Re:Get ready for mass business failures : Texas Startup Blog
by amuse on Wednesday October 08, 2008 @04:08PM
(#327021)
Of course it is easy to build cash reserves if you are an established company, but an early stage services company would be hard pressed to work without short term credit.
A world without short term credit looks a lot like the third world. I prefer living here (at least I used to).
That may be true for existing business but that is a pretty harsh sentiment to apply to a business just starting out. It's pretty hard to save when you are just starting to grow revenues or when you are even earlier in your business cycle.