Over the years I've met many business owners who are in some form of financial grief. They are totally convinced that all of their problems will be solved if they just get more money. Because of this they borrow, often at ridiculous rates, going deeper into debt. Their short term financial issues are solved, but give them a year and they are back in financial grief and they are actually in a worse position because now they owe even more.

From my experience, the extra money did little to nothing to solve any of the problems that were inherent in the business and certainly did nothing to solve the problems that caused the financial issues in the first place.

Unfortunately we often think that the problem is that we don't have enough money and that leads us to do silly things. If we actually addressed the real issues, and most of the time if we are honest with ourselves we will know what they are, we can make the business viable. Borrowing more money is rarely the answer to a businesses financial woes it just delays the inevitable.

In reality we should be detective like and figure out exactly what the issues are that caused the problems. We need to do everything we can to resolve them and we should look at borrowing money as a last resort, not a first course of action. More debt rarely solves any financial problem long term no matter how much we tell ourselves it will.