Learn about preparing your business' bank account for winter.

With the balmy temperatures of summer finally upon us, what I’m about to say may sound insane.

We need to plan for December.

Chances are your bank account is flush this time of year. But the time will come when the money will start to dwindle and the glow of having those extra dollars will become a memory.

That’s why I want you to get a line of credit, right now.

Remember, you want to borrow money when you don’t need it. Banks are notorious for turning down small businesses during their time of need.

A line of credit is simple to get. If you have two years in business and sales above $100,000, they will give at least give you something— even $25,000.

Your bank will likely ask for two years of personal and business tax returns as well as updated P and L and balance statements. Depending on your credit, the rate should be prime plus one basis point. Try to avoid high-risk and rate lenders, or use them as a last resort.

Remember, people don’t plan to fail; they fail to plan. So hedge your bet and get the peace of mind a line of credit can provide.

In the meantime, happy selling!