Health Nut Harvard Case Solution & Analysis

During the afternoon of 20 January 2006, one of the owners of health nut hung up. Her manager had just called to tell her that the bank is not going to extend further credit her small retail natural health products (NHP) store located in Grand Bend, Ontario. She and her life and business partner, owned a health nut in May 2003. While they have successfully grown sales, business does not make enough money to support themselves and provide partners with adequate compensation. As a result, the business relied on borrowing from the bank. Now that the bank was no longer a source of financing, the owners were a major problem on their hands. What should they do now? Something will have to change. They had about four weeks left before the business ran out of money. Students will learn: 1. The role of emotions in decision making. 2. The nature and importance of due diligence. 3. If you release the business. 4. The importance of the availability of sufficient working capital. 5. Dangers of over-reliance on debt. 6. Problems of cash flow.

The Health Nut Case Solution

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by Colleen Sharen, Venessa M. strike Source: Richard Ivey School of Business Foundation 13 pages. Publication Date: August 11, 2009. Prod. #: 908M53-PDF-ENG

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