It's truly a personal decision, based on factors like your appetite for risk, your expected retirement age and your everyday cash needs.
Cash flow issues might simply prevent you from building a business- unless you find suitable suppliers and distributors who will accommodate some of your cash flow needs, and help you to avoid fronting 6 months worth of inventory before you get paid.
Balance your down payment size with the cash needs of your business.
"As a way of earning lots of money, it is not a wise move," says Wall. "You are better off investing in the money markets so that you can liquidate your cash if needed".
"And you need to look short-term, medium-term and long-term," Ms. Sullivan said, to meet predictable cash needs, like your children's college education, retirement or a daughter's wedding.
Anticipate the cash needs of your business and keep a close eye on it.
The first step in building a retirement portfolio, Mr. Zander said, is to identify your cash-flow needs and your long-term goals.
A.I.G.'s cash needs could grow even further.
He said Lucent must carefully weigh its debt-rating needs with Agere's cash needs.
"Our cash needs are always bigger than naked-eye observers might think".
