This entrepreneur managed his business out of his check book. This was a disaster for him.  He bought used forklifts and borrowed immediately using the forklift as collateral.  As long as the business kept growing, there were aways funds coming in upon borrowing on the most recent purchase.  However, the “Ponzi” scheme collapsed when the rate of purchase and borrowing slowed down.  Without monthly financial statements, this entrepreneur did not know that he had been losing money every month. The business failed – a hard lesson!

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