That is a terrifying "defensive interval"!

Defensive Interval = Cash / (Operating Expenses other than Depreciation / 365 days), which is how long a distributor can operate using nothing but existing cash. I must admit that I'd never looked at this line of the Profit Report until now, but I think I've now answered what used to be one of my favorite questions I'd ask member executives: "What keeps you up at night?"

I am obsessed with A/R these days as DSO figures inch up and small business credit continues to tighten. This post was going to be about how much I enjoyed last year's Executive Development Retreat in Vail and what a bonus it would be that Kim picked such a great topic of A/R management.

After learning about "defensive intervals" and reminding myself what the average cash cycle is for a HARDI distributor, this post has changed to, "IT DOESN'T MATTER IF YOU LIKE TO SKI, THE SNOW, OR GO TO THE RED LION---YOU MAY NOT BE ABLE TO AFFORD TO MISS ABE SANCHEZ'S WORKSHOP ON CREDIT AND COLLECTIONS"!

I know Abe and I know his message. The timing of the opportunity to learn from Abe could not be better and the ROI for this trip will be huge. If you don't believe me, check out Abe's company for yourself then book your flight! Here's everything else you'll need to know.