Since peaking in 2005, U.S. oil imports have fallen according to Outlook for Energy from ExxonMobil. This could be a sign that US dependence on foreign oil could dwindle by 2040. By then, ExxonMobil expects most of the oil to come from U.S. natural gas production, Canada and Mexico.
Key points from ExxonMobil's 2012 Outlook for Energy:
Even if your business had the same amount or more work this year despite the tough economy, it may have struggled to get paid. Nothing else matters when you don't have enough cash flow. It doesn't matter that you have more customers than ever. It doesn't matter that you have bigger projects or contracts. What does matter is having cash when you need it.
The following 10 articles tell you almost everything you need to know to ensure you reach and maintain cash flow Zen.
How much does it cost to find new customers? How much revenue, on average, will your business see when it retains a customer for another month? Six months? Every month you retain a customer is pure profit as you have already paid off acquisition costs.
Let's do the math.
A company needs cash to stay in business. A company needs cash to grow. A company needs cash to compete. A company can look good on paper, and yet not have enough cash to make it through the next month. Hence, the importance of balancing cash flow.
By Mead Gruver, Associated Press
CHEYENNE, Wyo. – CHEYENNE, Wyo. (AP) — The U.S. Environmental Protection Agency announced Thursday for the first time that fracking — a controversial method of improving the productivity of oil and gas wells — may be to blame for causing groundwater pollution.
A new study says shale gas is one of the top drivers for job creation, lowered natural gas and electricity costs, economic growth and increased tax revenue at the federal, state and local levels. In the next four years, shale gas production will add 870,000 jobs and contribute $118 billion to the economy according to "The Economic and Employment Contributions of Shale Gas in the United States" from IHS Global Insight.
College students who choose a cheaper school over an expensive private one will start life after college with little or no debt and less stress. Companies need to do the same. Businesses with excess are like college graduates with big student loans. Regardless of the results you saw in 2011, you can start the New Year with as few burdens as possible.
A few years ago, property value in Karnes County was $500 million. Since then, it has jumped to $1.3 billion, a side effect of Eagle Ford shale in South Texas, which spills across 24 countries. Along with property tax, cities and towns around Eagle Ford saw large increases in sales tax, hotel revenue and government revenue. Just in 2008, there were only 28 drilling permits in Eagle Ford. This past November, that number hit 2,991.
A profitable business can be growing, and yet it can go bankrupt. How can this happen? Often, it's because the company has failed to master the art of cash flow management. This is why companies must be diligent about watching cash flow, and more so in today's economic times.
What's happening to these cash-strapped successful companies, especially fast growing ones, is they need to make purchases in advance of doing the work and getting paid. Otherwise, how else can they support growth? Furthermore, growing companies have to pay more for insurance, taxes and other costs.
Timing plays a big role in helping businesses maintain cash flow. When clients take too long to pay, it affects your ability to pay others and causes cash flow problems. Besides, you did the job. You deserve to get paid. RocketLawyer provides eye-opening results from its debt collection survey of 937 small businesses.
The survey reports:
What Our Clients Are Saying
- Brenda and Mark Neufeld,
In our very first conversation I noticed that you not only understood our situation, but also the Oil & Gas trade. Capital Solutions has been an invaluable help... We have grown our business exponentially thanks to you. I can now probably qualify for a traditional line of credit (...but I'm not sure I want to).
B.N.M. Piloting Services
- Keri Gray,
The HUGE difference I found since we are working with you... is in the day-to-day life... Since Capital Solutions is funding us there is no "fear"... when I talk to a vendor or need to make payroll. You guys have also bent over backwards... to make it work for us. I really appreciate that.
- George Del Toro,
We were funded [in 10 days] (the approval process was very smooth). The way I spend my time has changed dramatically since then. I can spend as much time as I need visiting with customers and out on the field... In closing I would like to tell you that Capital Solutions has made it possible for GDT Well Service, Inc. to triple (300%) its business in the last year, without any of the "growing pains".
GDT Well Service