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How to decrease the chance of needing emergency loans? Use forecasting and manage your cash. Plan to have some left-over cash ($5M to- $8M) because you never know exactly how much you will sell. Set the R&D upgrades properly and plan for new products to come out within the next year, so the new product does not miss out on significant sales. Also note that for revisions, the product will sell with the old parameters until the update takes place —so pricing can be tricky. There are many other aspects to take into consideration. I hope that this guide helps you clear up some things and that you can begin the simulation on a positive track.
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