Corporate Cash Account

For a firm's excess working capital

In response to the challenging economic conditions that existed in 2001, the Corporate Cash Account was launched. Since that time, interest rates have continued to decline and levels of corporate cash have continued to rise. This situation has made our Corporate Cash Account even more important. The goal of these accounts is to offer a higher return than available in bank products and still provide safety and liquidity for a company's excess working capital. Your business may find this program to be a desirable alternative to low yielding money market funds or bank Certificates.

Here are examples of how these accounts may be used:

A manufacturing company is hoping to land a huge new order. If they get it, they will need new equipment very quickly and they are holding cash for this purpose. They have been holding this large cash position for a few years and the loss of earnings because of investing in money market funds has been huge.

A large real estate investor wants to buy apartment complexes. They have been looking for a couple of years. In the meantime, they have been sitting on a large amount of cash and earning almost nothing on the investment. An opportunity could come soon or it could take several more years.

These are examples of situations many clients are facing in this economic environment. They are hypothetical and do not reflect any specific clients situation.

Large banks and Fortune 500 companies have departments in-house to manage their excess working capital. We perform this service for our corporate clients in the Cincinnati area.  The particular investment that we recommend will depend on liquidity needs, tax considerations and any investment policy restrictions the company may have. In any case, the goal is to provide high returns, stability of principal, and fast, easy access to funds.

* Generally, the vehicles used for Corporate Cash Accounts are investments that will fluctuate in value.  They may not perform as expected. You should consult your tax advisor to review tax consequences of these strategies.

It would be our privilege to arrange a meeting to discuss your company's needs!

513-871-0600