What You Should Do With Extra Cash
Don’t Invest Yet! Extra Cash? Do This
In this episode of the Know Your Numbers Podcast, Chris McCormack shares a practical framework for deciding how to use extra cash without putting your business or financial future at risk.
Know Your Numbers Podcast • Episode 163
What should you do when your business suddenly has extra cash? Save it, pay down debt, invest it, or reinvest it into your business?
Learn why building 3–6 months of operating reserves, setting aside money for taxes, paying down high-interest debt, and taking advantage of tax-advantaged accounts should be priorities before pursuing outside investments.
Chris also explains when reinvesting in your business may make more sense than investing elsewhere, why Health Savings Accounts (HSAs) can offer valuable tax benefits, and how to evaluate investment opportunities based on your financial goals and potential returns.
Key strategies in this episode:
Why Business Owners Plan
Step One: Reserves
Step Two: Debt Pay Down
Step Three: Tax Advantaged
Step Four: Reinvest in Business
Outside Investments Last
Whether you're a business owner, entrepreneur, or real estate investor, this episode will help you build a more disciplined approach to managing extra cash and making financial decisions that support your long-term goals. Let's build a strategy together.
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