Ask for a line of credit… even if you don’t need it.
Actually, especially if you don’t need it. You may need one at some point down the track, and it's good to line this up while times are good. If you’re under pressure, short of time and energy and the books don’t look real good, it's not a great time to be negotiating finance.
A line of credit can sit there and not cost you anything. Stockpiling other resources will though:- in rent, maintenance, the cost of the finance to fund that stock or resource that would otherwise be cash in the bank working for you and loss of stock, deterioration and shrinkage.
Do it while you're on top of things and sales are good. Have it sitting there for a rainy day when you might need it. Having a buffer you can call on if and when you need to will give you a sense of confidence on a daily basis that costs you nothing right now. And you will likely get it from a better institution at a lower rate if you act in advance. You will have time to shop around.
Having ‘cash reserves’ is one of the objectives of Level 2 of the Fix This Next methodology - The PROFIT Level.
Email your bank or broker and ask what they think and find out what’s being offered. You can delegate collecting the paperwork for the application instead of rushing around doing it all yourself. Have others do the leg work as you will be in no rush.
It’s an email or phone call that could lead you to being on top of things when times are tough.
