Good question! I hope to see a lot of responses.
I think the key is understanding that there is a difference between cash and cash flow. Finding cash to move product can just be an excercise in creativity. If your product or service turns over and gives you a decent margin, you will begin to have cash flow. You can do anything with cash flow.
Cash is KING
Mortgage rates are rising.
Builders broke ground on fewer houses in Feb. than Jan.
BUT overall housing starts are on the rise.
The boom in natural gas production has hit a new pressure point.
The U S is running out of storage space for natural gas
AND yet the price at the pumps keep going up.
There is a lot of cash flow, not counting the donations to super PAC's
You're very optimistic, David . Where does that come from?
In order to understand your cash flow, use a cash flow projection. This will allow you to track the actual cash that comes into the business and the cash used to pay for expenses. Once you set up your cash flow projection it's important to keep updating it each month. Then you'll truly see how your cash is being used.
Great Suggestion Kristen! Thanks for posting.
When you think of your business and your bank account, what do you think of: peace of mind? Or perpetual anxiety?
The truth is, many clients tell me they re feeling less than peaceful when it comes to their cash flow.
Many business owners live with inconsistent and insufficient cash flow for years.
That s years of struggle, frustration and high anxiety.
When you re in this place, it s even harder to strategize and build your business so the cycle goes on.
Some business owners not only generate cash flow but continue to increase their cash flow, year after year.
It s rarely due to luck. Any comments or stories you would like to share??