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xxxxxxx, good explanation on the usages of a breakeven analysis. It can provide a lot of valuable financial information for your business. The breakeven point is a critical juncture for both new and existing businesses. That point will have a direct effect on your strategic planning. Also, good job examining the various financial ratios presented in the book. They are all helpful in their own way and provide valuable financial data. Which ratio do you feel would be the least useful?
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I think all the steps of very important steps in a business certain one that can hurt a small business is not having enough cash flow to maintain the business, managing your business correctly like not knowing what is selling what is not selling very small business, due to the fact if you keep enough inventory was not selling them. This will eventually cause a problem if you done on the other hand keep enough inventory what is going out the door quickly. This will cause your problem, since your customers are going somewhere else instead of coming to your company and the most important thing I would say that her a small business is accounting for small business owner not have the accounting skills or not required someone to do the accounting for them. This could call problem in your business
I realize that one of the main reason for a small business to have a cash crunch a lot of them seem to spend more than they have by doing this business will always be in a cash problem. Some owners will go by expensive things rather to rent them. I think one of the most important thing for small business owner to do is research as other small business owner how they seceded and take it from there
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