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What might have happened if a business owner takes too much cash out of a business in form of drawings can affect the business how?

Asked by: 586 days ago - 1 Answers - 1304 views

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    It could leave the firm in financial distress by affecting it’s cash flow. Also, an owner who is willing to take money from the business may not have the best interests of the organization in mind. Also there are legal issues if it is being with drawn for personal use that is not clearly defined in the articles of organization.

    Answer by BusinessDictionary.com 586 days ago


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