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Keep Tabs on Cash Flow

If the money disappears, so does your business.

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This story appears in the January 2009 issue of Entrepreneur. Subscribe »

There's no getting around it. Businesses run on cash. The current economic situation makes it painfully clear: When the cash goes, the business stops.

The amazing thing is that every company has the power to both predict and avert sales-related cash-flow problems. A few numbers from your balance sheet and income statement are all you need to be warned of an impending problem.

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