Dollars face hardship in securing financing.
Most large financial institutions do not extend meaningful loans or credit to businesses of that size without significant equity in the business and strong personal guaranties of the principals. The Accounts Receivable of small businesses are traditionally due thirty to sixty days after invoicing. These businesses, in many cases, cannot afford to wait for payment since overhead expenses such as payroll, rent and taxes must be paid on a more frequent basis. Generally, such businesses have limited availability of credit with suppliers and often require additional funds for working capital to maintain the flow of goods and services. Such short-term borrowing to facilitate growth or meet seasonal cash flow needs is usually not available from traditional sources.