| Show ta I 1 k s I 1 0 n banki n I 1 d mcd 1 YOUR BUSINESS CAPITAL thirty per ent nt of those thoe who fail fall bec because aue 1 hey lack business bj siness do to u ey coital no bu baines ines can succeed I 1 nas t backbone ack bone an and d thi this s back iee is the e ili invested capital of the whether it ia is a million ro prier hiir corpora corporal tion on or a cornar corner gro grocery cery must b ba is a foundation the er r es ament of tile proprietor chemin the in who sta starts arts out in busl oa on a S shoestring hoe string i fails falls no utter itter what hi ho may have in the of borrowing ael lit es here there lat boale a t me 1110 when hen he finds the of boi t owing lowing closed against then bib his reserve capital ito to play TO meet the weekly pa roll ock ap up tide over bad ti times omes e fit ft the ice lip pp with and fixtures lures in afy and this gnone be thi dived amonoy of the tile tor A just justko ha ill nuch ach f capital a concern quires is a atter of individual re ire ments fht larger the business he larger the capita if it for in n stance a man hiie to eng engage tze ill in D a mercantile line ie should have ve enough money saved by thrift to buy his fixtures and P put it t of his stock and a balance for king wo working cantal to keep in the bank ue ile should not put all his money in B futures tures so that he has none foi tot stock aal vice vi versa caa neither should ho he forget forgot that his ilis best credential with hb his banker is a good working balance the reason wh why banks are 0 so o particular that borrowers keep a balance is not that the bank wants excessive cx profits lending sa a thousand and askin asking that wit one quarter of it be bt kept on deposit but that the borrower may 3 have froc working capital capit il at his command all the time j the position that if I 1 borrowed a thousand and am asked to keep on deposit I 1 m as well uell borrow is not well taken for even eden though the bank balance is ii borrowed money and costs the inter interest cst it is a cheap price to pay for the bankers goob good will in fact a business man could coula well afford to pi pay six per cent for money and leave leae it mth with his banker for the good it would do his credit in the gr granting inting of credit business i men as well u ab bankens ban bin keis give due I 1 h ed ell to the ratio between quick assets and quick liabilities the binker likes to see two to one two no dollar of quick asset to un doll toll ir tr of fuwk debts tit aith assets aset lie lle cash bilk rt receivable vable accounts rec aible and men mert ii quick liabilities are for boi rowed mono and debts duo due for stock stolk the difference is the working the amount allio in excess of the debts this means to sav that if the quick assets were ere all turned into cash and the tile debts p paid iid alth out disturbing the other assets as real machiner mi chiner ct etc chete would be a it cash bilane left over one of the great of amencia in business life ib lb the tile stalling till io on too gitil TM two cro enters and build builders who han havy i ived a few fe burdi ell dollars dutcide t b their own bosses and b onie s shaming get a piece of land thea th P ruady sonie bod or somo some institution to agree to loan them a certain cl amount on oil the PI ty when hen con pete and la their pi ins tc 1 and figure closely Soi goeye goes wrong rong ii thi th weather 6 bad the work is delia cd ed strikes and liens not reckoned with and ind the result failure thai lack ilek capital and ind lacking it lose loje out they cannot carri their load loid clerks with a litt atte le money and colossal nerve begin business for th themselves only to find bankruptcy stare them in tho the face in a short time due to lock lack of capital A good jear sear makes tho the proprietor jubil int a and d willing illing to gamble that the next willbo will be better lie into larger quarter lives hveem more ore bu s a oar car and und hiros his servant only to find depression ion setting in unsettled busi business nebs conditions competition mis inis hain and no way of retrenching happy the man who can kloct along on the safe track satisfied to bo be ure lure rather th thin til sorra money 14 i powel and impotent is the inan niall oi 01 the busi bust kiebs th thit alecks lacks it he be as ag honest as you expect the other fillow to be get all the ability you can aci luite and all you can afford to buy but do not overlook the important fact that b backbone i necess iii in every overy business just as it is in evory body and mid without it iri sufficient tent nie deiuro iuro la is ble and frilund sure to come conic lie ile is 13 a anse ise man who ho knows his own strength and hitch up to more than hb be pan ran pull |
