Help find the funds needed to operate throughout the year (without taking out a loan).

Information

Money can be raised through current debt, bond issuance, and stock issuance.

May need to turn to banks and market to fund expansion.

Majority of profit comes from operations.

Selling production capacity is another source of cash.

As company grows you can pay in stock dividends, buy back stock, or retire bonds.

Interest information

Cash Positions must be positive, or a loan will be needed.

Interest on bonds issues is 1.4% higher than this year current debt rate.

Broker charges a 5% fee for issuing stocks and bonds.

Loan companys interest rate is 7% higher than current debt rate.

Example: If your current debt rate is 12.1%, then the bond rate will be 13.5%. Rate locked in for 10 years.

A/R Lag and A/P Lag may not need to be changed but change if needed.