Three dated cases worked with invented figures for Ross County, OH businesses, and the business funding articles that follow from them.
The week a practice software renewal lands: running balances at a Ross County, OH therapy office
A quarter-long view, thirteen weekly rows, is wide enough to show an annual bill landing. Illustration only, invented figures: a therapy office starts with $9,800 in the bank, pays a $6,150 payroll in odd weeks, $2,350 of rent on the first of each month (weeks 1, 5 and 9 when week 1 starts on the 1st) and about $610 a week of other bills. In this invented case its practice software renews for $6,480 in week 7.
| Week | Insurer and patient deposits | Money out | Balance at week's end |
|---|---|---|---|
| Week 1 | $4,650 | $9,110 | $5,340 |
| Week 2 | $5,120 | $610 | $9,850 |
| Week 3 | $4,380 | $6,760 | $7,470 |
| Week 4 | $4,970 | $610 | $11,830 |
| Week 5 | $5,240 | $9,110 | $7,960 |
| Week 6 | $4,410 | $610 | $11,760 |
| Week 7 | $4,890 | $13,240 | $3,410 |
| Week 8 | $5,060 | $610 | $7,860 |
| Week 9 | $4,520 | $9,110 | $3,270 |
| Week 10 | $5,310 | $610 | $7,970 |
| Week 11 | $4,740 | $6,760 | $5,950 |
| Week 12 | $4,980 | $610 | $10,320 |
| Week 13 | $5,150 | $6,760 | $8,710 |
The renewal lands in week 7, yet the balance in this invented forecast bottoms out in week 9, at $3,270, when rent and a payroll leave in the same week from a balance the renewal already drew down. If the office wants at least $5,000 on hand every week, the invented forecast shows it short by $1,590 in week 7 and $1,730 in week 9: a small, dated gap of the kind a line of credit draw is sized for.
House accounts against the yard's due date: lumber timing at a Ross County, OH hardware store
A hardware store that sells lumber on house accounts can owe its yard supplier before a contractor on account pays. In this invented calendar, counted in days from delivery:
- Day 0: the lumber is delivered and charged to the contractor's house account
- Day 22: the yard's statement closes with that delivery on it
- Day 28: the store's own house-account statement goes to the contractor
- Day 37: the yard's payment is due, 15 days after its statement
- Day 58: the contractor's payment is due, 30 days after the store's statement
Between day 37 and day 58 of this invented calendar, the money is out for 21 days. A delivery on day 23 would land on the yard's next statement instead, closing on day 52 and due on day 67, after the contractor's day-58 payment, and the gap would close without any funding. When the gap is about timing, money that arrives a few weeks late, a line of credit or inventory financing can bridge it. When it is about margin, funding only moves the problem forward.
Supplier due dates at a Ross County, OH quick-service restaurant, set week by week
A quick-service restaurant pays several suppliers on different clocks. Listing the suppliers one by one puts each payment in the week the bank actually sees it. Illustration only, invented terms:
| Supplier | Invented terms | When the money leaves | Forecast line |
|---|---|---|---|
| Food distributor | Paid by draft at the next delivery | Each delivery day, for the delivery before | Weekly, the prior week's order |
| Paper goods and packaging | Net 15 | Fifteen days after each invoice | Every other week |
| Beverage supplier | Net 30 | Thirty days after each invoice | Once a month, dated by invoice |
| Equipment lease | Fixed monthly payment | The date the lease names | Same date each month |
| POS and scheduling software | Monthly subscription | The billing date on the account | Same date each month |
- List every supplier from the last two months of bank statements, not from memory
- Write each one's terms and the day its payment clears
- Place each payment in its week, then add payroll, rent and loan payments
- Enter card deposits on the day the processor settles them, not the day of the sale
- Read the running balance for the weeks where it dips, and size any funding to that dip
Planning for payroll in Chillicothe, OH? Business funding articles
Payroll gaps have their own page here: the working capital page works one through line by line for a hardware store. The six articles for Chillicothe, OH owners, by title:
- Working Capital Math Before a Loan in Chillicothe, OH
- A Towable Smoker and Catering Costs in Chillicothe, OH
- Reading a Loan Calculator in Chillicothe, OH
- Garage and Tire Shop Loans in Chillicothe, OH
- Store and C-Store Funding in Chillicothe, OH
- Unpaid Jobs and Lumber Bills in Chillicothe, OH
By Sableshire Advances · Updated
