Here is a good article from Entrepreneur.com that offers more insight into my recent posting on cash flow management.
Specifically, it highlights the importance of keeping the cash in your business to support the infrastructure you will need to manage growth successfully. It is too tempting to start giving yourself raises as soon as your business is profitable. As my Dad always said, "Pigs get fat, hogs get slaughtered". I always advise that entrepreneurs keep their salaries minimal for a long time; just plan to live off a reasonable market salary. Let the success of your business go back into the business to build more success. This will help address the cash flow needs discussed in the previous posting on this topic. The goal should be to build long-term sustainable wealth in your business, not fall to the temptation to suck out every little bit of cash you can in the short-run.
