[Noisebridge-discuss] noisebridge credit line - cashflow cushion / lasercutter

Patrick Keys citizenkeys at gmail.com
Mon Jan 10 15:59:50 PST 2011


Noisebridge needs a corporate line of credit at the bank.

Here's how any business with any sense would do this:
1) Make an itemized list of all the expensive stuff you already have 
here.  Those are called fixed assets.
2) Take your average bank balance.  That's a liquid asset.
3) Use the assets as collateral for the line of credit.
4) Use the line of credit to increase assets and manage cashflow.

Go to the bank and get a credit line.  The best time to get one is when 
you don't need it.  Use the credit line for emergencies, like the risk 
of eviction.  Also use it to attract more people here by buying cool 
expensive toys, like the laser cutter.

Instead of paying for the laser cutter all at once, you buy it on a 
lease-with-buyout-option like Josh mentioned.  That lets you spend less 
cash upfront and keep that cash to manage your cashflow.  That extra 
cash pays the rent, keeps the lights on, and keeps you from having your 
back against the wall whenever the bills come in.

Seriously... go get a damn credit line already.



Patrick


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