tag:blogger.com,1999:blog-5460131713224869765.post2419525980593627427..comments2024-03-18T05:10:27.463-06:00Comments on Pat Veretto's Frugal Living Blog: Surviving on creditPathttp://www.blogger.com/profile/11122457524036298067noreply@blogger.comBlogger7125tag:blogger.com,1999:blog-5460131713224869765.post-72207292177075647522009-06-06T12:25:30.764-06:002009-06-06T12:25:30.764-06:00I'm an accountant in California...the land of ...I'm an accountant in California...the land of big debt. I see A LOT of small and mid-sized businesses that finance their operations with debt. Lots of debt. We are a financially unhealthy society in every respect. What our current government is doing now with the stimulus spending and bailouts is setting a horible example for everyone. Spending more that we take in simply doesn't work andTracy https://www.blogger.com/profile/12813467591638697012noreply@blogger.comtag:blogger.com,1999:blog-5460131713224869765.post-69839786324002656052008-11-06T07:23:00.000-07:002008-11-06T07:23:00.000-07:00I too was very surprised by this! As a former sma...I too was very surprised by this! As a former small (very small) business owner, I would've never considered operating on credit and I'm sorry for those who built their business on that model. It seems a shame that so many businesses got caught up in the excess of debt and credit "scam" of the last 10 or 15 years.Lisa Zahnhttps://www.blogger.com/profile/17491596171533559615noreply@blogger.comtag:blogger.com,1999:blog-5460131713224869765.post-8689128650530971002008-10-23T08:29:00.000-06:002008-10-23T08:29:00.000-06:00"Take that away, and everything stands still."Or i..."Take that away, and everything stands still."<BR/><BR/>Or it falls flat. It seems to be true that wealth is measured in terms of how much one can borrow. Makes no sense to me either.Pathttps://www.blogger.com/profile/11122457524036298067noreply@blogger.comtag:blogger.com,1999:blog-5460131713224869765.post-21845209871543938272008-10-22T20:54:00.000-06:002008-10-22T20:54:00.000-06:00Pat, I am with you all the way on this one! I wou...Pat, I am with you all the way on this one! I would think any successful business has operating capitol, and I don't mean a loan from a bank. My son in law has his own business, and they do not depend on bank loans to operate. Seems all this economy operates on is credit. Take that away, and everything stands still. I guess your wealth depends on what you owe, not what you own (outright, Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5460131713224869765.post-39414152711381606182008-10-22T07:07:00.000-06:002008-10-22T07:07:00.000-06:00My parents had a small family business in the 60's...My parents had a small family business in the 60's and 70's and that was normal for them. They would get a contract to do a job and they would have to complete different % of the job for the larger company to pay them. When a small business works on a small profit, thier just isn't alot of wiggle room.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5460131713224869765.post-51978220090292485472008-10-21T11:43:00.000-06:002008-10-21T11:43:00.000-06:00I definitely understand your position. This could ...I definitely understand your position. This could be an argument for "trickle down," though. If your bigger accounts paid on time (e.g., within 30 days or sooner), would you never need to use credit to meet your obligations?Pathttps://www.blogger.com/profile/11122457524036298067noreply@blogger.comtag:blogger.com,1999:blog-5460131713224869765.post-43658638293669988702008-10-21T10:19:00.000-06:002008-10-21T10:19:00.000-06:00My hubby is part of a small family business. We us...My hubby is part of a small family business. We use credit primarily to ease cash flow, not make payroll.We have to pay all our accounts in 30 days (orCOD if we're behind) Our bigger contracts have been paying us on average at 60-90 days. It is depressing how easy it is to get behind the eight ball these days especially when your biggest customers have you over a barrel and know it. I won't evenAnonymousnoreply@blogger.com