Eight Ways to Avoid a Cash Crunch

Just about everyone is facing a cash crunch, and that can mean a big blow to a small business's bottom line.

There are a variety of reasons why small firms face tight funds, but the frontrunner today is a precipitous drop in revenue, thanks to the ailing economy, according to Bob Greenfest, a principal at accounting firm Santos, Postal & Co. in Rockville, Md., as people tighten their spending.

"Even the most prudent businesses that have operated in a conservative manner are having a drop in sales," says Greenfest, who helps small businesses work out financial problems. ...