Give Me 10 Minutes - I Will Give You the Secret To Business Math

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Wouldn't it be great to spend more of your time on the fun stuff in your business? The work you are uniquely gifted to do? The work that can help you increase sales, improve profitability, and grow your business into your dream of success and pride?

That's one of the key challenges we all face running a business.

We have to carve out enough time to focus on the things that matter most. We have to figure out how to focus on the things that will really move the success needle... the things that only we can do to create exciting results and dramatic improvement.

One of the obstacles in your way is the struggle... and the doubt... and the hesitancy that sets in when you are worried about your cash flow. It's a HUGE distraction.

The interesting thing I have noticed in my 28 years as an accountant and CPA is that much of that worry and struggle results from a lack of understanding about your cash flow. It's not necessarily a real cash problem.

It's that uneasy, "wake up in the middle of the night in a cold sweat", kind of feeling that is rooted in not understanding what happened to your cash last month. And not knowing how to quickly, and easily, take control of your cash flow.

There's a good chance you are in the worried category if you can't pass what I like to call The Spouse Test.

What if your spouse asked you "Honey, I noticed the business had $75,000 at the beginning of the month but only $45,000 at the end of the month. What happened to the cash?"

Your ability to answer that simple question tells you whether you understand your cash flow or not.

Profit or Loss Does Not Equal Cash Flow - I'll Prove It

Do this quick test to see if you can pass The Spouse Test.

  1. Grab your income statement (Profit & Loss statement - your P&L) for a recent month and look at your net income number (your profit or loss). Write that number down.
  2. Then calculate the change in your cash balance for the same month (by looking at the cash balance on your balance sheet as compared to the prior month). Write that number down.
  3. Now compare the two numbers. (I can 100% guarantee you the two numbers are different. Why? Because profit or loss DOES NOT equal cash flow.)

Now explain to your spouse what happened to the cash for the month. Explain what caused the cash balance to go up (or down).

As an example, let's say your profit last month was $23,000. And your cash balance went up by $12,000. When you can very quickly explain what happened to the cash to your spouse or business partner, you understand your cash flow. You know what's going on financially. Which means you can put financial management aside for a bit and focus your time and efforts where you can make an exciting difference in the business.

That's why understanding your cash flow is so important. So you know what's going on. So you know what to do to improve cash flow. And so you can skip past the struggle, the worry, and the doubt and go right to the high-payoff activities that only you can do in your business.

That's the ultimate reason to make sure you understand your cash flow each month.

I am doing a live webinar on June 11, 2013 that you are going to love.

  1. I'll show you how to understand your cash flow in less than 10 minutes, and
  2. I'll show you how to explain what happened to the cash in your business last month (to your spouse or business partner) in a 2-minute conversation

And this one is FREE.

Understanding your cash flow used to be a time-consuming, complicated, and frustrating task. Not anymore!

Click here to learn more.

Or Click here to register NOW.


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