Think of it as an insurance policy. You don’t have to spend it.
I often meet entrepreneurs who have solid, profitable businesses and no debt. When I ask whether they have a line of credit for use in case of an emergency, they frequently answer that they are reluctant to get a line of credit because they are risk-averse and afraid to take on debt. This answer makes no sense to me. I share more in my 21 Hats column today.
