Ok…..For today’s lesson we will discuss what to do if the big boys move in across the street…..

[Flabbergasted]

(This is for those who take a simple and naive approach to campaign finance. Also in defense of the Clinton campaign, though I support Obama)

For this illustration I will describe you as an otherwise profitable coffee shop who just saw Starbucks move in across the street . Oh Fuck! What are YOU going to do.?

Five Principles


1.) Stretch your accounts payable; demand your accounts receivable.

2.) How to re-market your profitable business.

3.) Give up your dreams or try to beat the odds?

4.) Creative Finances.

5.) Cut your costs and find new business opportunities.


1.) Suddenly your profitable business has lost 20% of it‘s gross. You have a few decisions to make. You still have fixed costs to pay, however and you've now went into the red. First of all you delay paying you’re accounts payable as long as possible and demand your accounts receivable in any way possible.

The catering order that you delivered today is paid today if you can help it. Your coffee bill remains on your desk until they call you angrily the second time and demand payment. The first time you explain that you’re having a little cash flow problem.

2.) You have lost half of your lunch business. The first thing you do is look at how you can beat your competitors (Price, Service, etc) Then you look at what else the neighborhood might be seeking as an alternative to what you were serving.

3.) If you have gone into the red, it might be best to give it up and sell. Someone else might have a different vision that may work better. On the other hand, you may know in your heart that after many years of service you are unwilling to just let your dreams slide. The choice is up to you.

4.) If you are in serious financial trouble it may be necessary to look at creative ways to make ends meet until you can re-market or sell. If you have a lot of faith dipping into the retirement funds may be the way to go. Yes it’s risky, but if you have a dream and faith it may be the way to go.

5.) Remember you may need to cut some luxuries. Maybe you need to do the accounting yourself or give up the expensive consultant and look for other ways to service your business.


BTW criticizing business people because they’re a few months behind is silly. This issue is as common in business as sunshine to a flower. Their providers will get paid with interest; don't worry.

[babylonsister]

1. Perception is everything. When the campaign is begging for money

on the one hand, and the income tax returns come out on the other, coupled with news of bill collectors, the perception is that something is wrong. Maybe it's not, but that's the way it goes.

[Flabbergasted]

2. I know and my perception is the Clintons are doing what is approriate....

They're personal and campaign finances are separate entities. Anyone who understands business understands the accounting complexity of their situation.

That is my perception as a business person who is facing a similar situation. I'm sympathetic for them.

[babylonsister]

3. OK, I do agree with their personal finances being separate than

their campaign finances, except when she can lend herself money from those personal finances.
And no offense, but your experience is no where near hers as she's running for prez.
Granted, this is DU and the regular schmo has no clue what's going on, so there's that, too.