Every company faces cash flow problems. Here are a few tips to help you keep cash burn under control:
Don’t Have Tunnel Vision. Too many growth companies are focused solely on profit without considering cash flow, says Gregory Wank, accounting and advisory partner at Anchin, Block & Anchin. “I have a client who just raised a million dollars last fall. They did their operating budget for 2014 on a profit and loss (P&L) basis, not on a cash-flow basis. So I said to them, ‘based on a P&L, when are you going to run out of money’? And they said they had no idea.” Firms should give equal weight to cash management, remembering that they “have a finite pool of cash, and they should have a reasonable expectation of what they are going to spend and what their sales are going to be,” Wank says. […]
Read full article Five Tips for Controlling Cash Burn | CFO.
Organizations like MITRE, U.S. Army, Whirlpool, Standard Bank, and Iomega go to Jim Woods when they need a keynote speaker or workshop leader.