Cash flow for seasonal businesses
Financial Know How
Maintaining a healthy cash flow can be a challenge for any company, but especially so for a seasonal business. If you generate most of your income over just part of the year, it’s not easy to keep cash handy through the slow season until business—and the expenses that go with it—picks up again.
Seasonal businesses have two options: carefully manage your cash flow through the whole year, or find ways to make money during the off-season.
One tip is to create month-by-month income and expense projections for the full year to help you to understand seasonal fluctuations in your cash flow. The Scotia Cash Flow for Business tool is a good place to start your planning.
If you run a seasonal business, how do you manage your cash flow?
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