Okay….that is a little dramatic…

…but ask the small business owner opening his mail from his Commercial Bank credit line that reads, “Dear Customer: thank you for your patronage. Please be advised that to better serve you we are making improvements to your current revolving credit facility. Effective immediately, the extension of credit is being limited. Please feel free to call so that we may assist in compliance with these improved regulations.”

Ummmmm….that was political correct code language for “your loan is being called so that we may limit our lending exposure to generate cash immediately to avoid a run on the bank”

Friends, we have been talking for months about cash flow planning to avoid just the types of events that transpired on Wall Street last Wednesday and today Monday, September 29, 2008. We are called to know where we are in the forest and see the trees that are before us. Now is the time to strike while the collective iron is hot and drive home our business identity in this fragile and tumultuous time. Let’s talk….

(Richard H. Veihl CPA, is an author and owner of Veihl Consulting Group, PC., a full-service accounting firm providing tax, accounting and business consulting services to small businesses. We welcome the
opportunity to discuss your planning and business considerations. )

Veihl Consulting Group, P.C.
Certified Public Accountant
1416 S. Gratiot Avenue
Mount Clemens, Michigan 48043
(586) 468-6611