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  • CCFA

#1 reason companies fail

Under-capitalization! Under-capitalization occurs when a company does not have sufficient capital to conduct normal business operations and pay creditors. This can occur when the company is not generating enough cash flow or is unable to access forms of financing such as debt or equity. If a company can't generate capital over time, it increases its chance of going bankrupt as it loses the ability to service its debts.

#getyourmoneyright #ccfa

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