How to Cash More from Your Business (Even If the Banks Say No)
As someone who talks about cashflow for a living, I’ve got to be honest cashflow in business is the oxygen that keeps everything alive. Whether you’re running a startup, buying a franchise, or scaling a side hustle, the one resource you cannot afford to mismanage is your cash.
So the question is: How do you create strong, sustainable cashflow from your business especially when traditional funding sources are tightening up?
To answer that, I brought on Leo Kanell, founder of Seven Figures Funding and host of the Seven Figures Club Podcast. Leo’s helped thousands of entrepreneurs get the capital they need to start and grow their businesses. But he didn’t start there his journey, like mine, includes getting completely humbled by the 2008 recession and rebuilding from the ground up.
In this conversation, we covered what most business owners get wrong about funding, credit, and cashflow and how to do it right.
Why Cashflow Matters More Than Ever
Let’s get one thing straight: Revenue does not equal freedom.
Plenty of businesses are bringing in money but are still stuck in survival mode. Why? Because they haven’t built cashflow. They’re not managing expenses wisely. They’re not leveraging credit strategically. And they’re not using money as a tool—they’re trapped by it.
Cashflow = choice.
Choice to reinvest, to hire, to expand, or to walk away from bad deals. It’s what gives you the freedom to operate from a position of strength, not desperation.
The Truth About Business Funding
Leo shared something that floored a lot of our listeners:
Even businesses doing tens of millions in revenue still need strong personal credit to get financing.
That means if you’ve ignored your personal credit score, you’ve just cut off a major growth lever for your business. The good news? You can fix it and Leo’s company offers a soft-pull, no-impact credit pre-approval to show you what you actually qualify for.
We also talked about the rise of credit card stacking yes, it’s a real strategy and why it can be smarter than waiting around for a bank line of credit that may never come. Used right, these cards offer 0% interest for 12–15 months and can give your business the runway it needs to take off.
Good Debt vs. Bad Debt: Know the Difference
Here’s where a lot of entrepreneurs get stuck:
They treat all debt like it’s the same.
Bad debt is debt that funds liabilities. That includes vacations, consumer splurges, or overleveraging in lifestyle.
Good debt, on the other hand, is capital that goes into assets that generate income. If you’re putting debt into a business with proof of concept meaning it’s already working and making money that’s strategic.
Leo calls this ROL: Return on Loan.
If the return on what you borrow exceeds the cost, you win. If you borrow $25,000 and your business generates an additional $50,000 because of it, you just created leverage.
Why Banks Are Quietly Pulling Back
Banks are getting more conservative with lending but they’re not shouting it from the rooftops. I’ve personally had conversations with major banks (like PNC) who’ve admitted they’re now requiring borrowers to cancel all existing business lines of credit before applying for a new one.
They’re trying to reduce risk, which means entrepreneurs like you and me need to get smarter and more proactive. The cash is still out there you just need to know how to access it without killing your credit or wasting months in paperwork limbo.
So, What Should You Do?
Whether you’re starting a business, scaling one, or even looking to buy an existing operation, here’s your roadmap:
1. Fix and Optimize Your Credit
This isn’t optional. You need to know your credit utilization ratio, pay down high balances, and avoid negative bank days.
2. Build Business Credit That Doesn’t Report Personally
Use business credit cards that offer 0% interest and report to your business profile not your personal credit.
3. Understand Your Numbers
Cashflow isn’t a feeling it’s a metric. You should know your average monthly balance, your burn rate, and your runway.
4. Only Use Debt with a Plan
If you’re going to take on financing, do it with a proven path to ROI. No gambling. No guessing. No Hail Marys.
Final Thoughts: Stewardship Over Fear
Look, I get it. Debt can feel scary. But the truth is, not using leverage wisely can be even scarier because it limits your potential. If you’re a wise steward of money, if you’ve done your homework, and if you’ve got something that works, don’t let fear stop you from building what you were called to create.
This is how we create the ripple effect by equipping entrepreneurs with the knowledge, tools, and mindset to thrive.
If you’re curious about your funding options, check out Leo’s company at SevenFigures.com and get a free pre-approval with no credit hit.