The Vault Account is your Emergency Savings. When things go bad, when revenue dries up or expenses multiply, this is your piggy bank.
Very few businesses have an emergency savings account. Most financial experts agree that a healthy benchmark is 3-12 months of expenses. This is a hefty amount to save, so this account should be grown slowly and sustainably. Though it may seem like an impossible amount to save, any bit helps and will keep your business solvent when emergencies strike. One note: Funds in this account should only be used for emergencies…not splurge buys, or business expansion.