Chapter 8: For Small Business: Why Bitcoin Belongs on the Balance Sheet
Part 4: Business & Treasury Strategy
Small businesses are the lifeblood of our communities, yet they are the most vulnerable to the ravages of inflation and financial censorship. Holding a portion of your treasury in Bitcoin is not speculation; it’s a prudent strategy for defence, growth, and long-term resilience.
1. The Problem: Your Treasury is a Melting Ice Cube:
Cash held in the bank is a depreciating asset. Every day, inflation erodes the purchasing power of your business’s hard-earned profits. This makes long-term planning difficult and creates constant pressure to spend or invest, even when it’s not the right time.
2. Bitcoin as a Treasury Reserve Asset:
Large corporations are already doing it, but the case is even more compelling for SMEs.
Inflation Hedging: Allocating a small percentage (e.g., 1–5%) of your treasury reserves to Bitcoin can help protect your business’s overall purchasing power from fiat debasement.
Access to a Global Standard: Bitcoin is a global, liquid asset. It can provide your business with a stable financial base, especially if you operate in a country with a volatile local currency. It puts you on a level playing field with larger, multinational corporations.
Case Studies from Emerging Markets: Look at small businesses in Lebanon or El Salvador. They are not waiting for permission. They are using Bitcoin to preserve their capital, transact with international suppliers, and build sovereign enterprises in the face of economic chaos.
Call to Action & Reflection:
Your business creates value. Are you storing that value in something that preserves it? Start a conversation with your partners or advisors about a small, prudent allocation to Bitcoin. It’s one of the most powerful steps you can take to future-proof your business.
Disclaimer: The content of this article is not intended as financial, investment, or religious advice. Readers are encouraged to conduct their own research and consult with qualified professionals for specific guidance.