And How to Avoid Them Before They Cost You Growth Understanding the most common financing missteps can help new business owners feel empowered and proactive in protecting cash flow, building lender trust, and positioning their companies for long-term success. Understanding the most common financing missteps can help new business owners preserve cash flow, build lender confidence, and position their companies for long-term success. Underestimating How Much Capital Is Actually Needed One of the most frequent mistakes is borrowing too little. Developing a detailed cash flow forecast that includes all expenses and potential delays helps owners ensure their funding covers more than just initial costs, supporting sustained operations. A business rarely becomes cash flow positive as quickly as planned. Payroll, rent, insurance, software, inventory, and taxes continue regardless of sales volume. When capital runs out too early, owners are forced to rely on high-cost emergency funding or p...