Business Investing for Business Growth

“Cash is king” is a simple phrase, but one with numerous applications in the life of a successful business. When a company does not develop the right amount of cash reserves to stay in business or prepare for the future, the CEO must implement changes to ensure its viability and future. Too many companies do not operate with a larger vision or the necessary cash to surpass the next payroll.  

In 2020, real wage growth amounted to 1.1 percent, according to The PayScale Index.PayScale found median wages, when adjusted for inflation, actually declined 8.8% since 2006. When these financial indicators are applied to business, it means that business growth and revenue are on the decline and harder to come by in recent years than a decade ago.  

With actual dollars more challenging to come by, business owners should deeply consider what percentage their business should have as liquid cash and in investment opportunities to use today’s dollars for future growth. Good business stewardship means that CEOs will consider all avenues to use current sales and profits to ensure the best return on investment. Far too many small businesses never consider taking a portion of their revenue and investing those funds for future profitability. Read more…..


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