Why More Sales Can Make Your Cash Flow Worse | Joss Milner

Send us Fan MailMore sales do not automatically create more cash.If growth increases unpaid invoices, inventory, work in progress and operating costs, a business can become less financially secure with every additional sale.In this episode, Peter Boolkah speaks with Cash Flow Story co-founder Joss Milner about helping non-financial founders understand what their accounts are really telling them.You’ll discover:Why do many entrepreneurs feel embarrassed or frightened by financial informationThe difference between revenue, profit and cashWhy traditional accounts often fail to tell a useful management storyWhich financial numbers management can directly influenceHow receivables, inventory, payables and work in progress affect cashWhy a small price increase can outperform significantly higher sales volumeHow companies can grow rapidly while moving closer to insolvencyWhat overtrading or “growing broke” actually meansWhy understanding the numbers makes better decisions possibleHow profit and cash flow influence business valueWhy owners should understand their current valuation long before an exitThe case for valuing the business every yearThe episode also explores an uncomfortable reality: founders frequently respond to cash-flow pressure by chasing more sales, even when the economics of each sale make the underlying problem worse.Revenue may be vanity, and profit may be sanity, but cash determines whether the business survives.CONNECT WITH JOSS MILNERCash Flow Story: https://www.cashflowstory.com/LinkedIn: https://au.linkedin.com/in/jossmilnerCONNECT WITH PETER BOOLKAHWebsite: https://www.boolkah.comLinkedIn: https://www.linkedin.com/in/boolkahInstagram: https://www.instagram.com/pboolkah/Facebook: https://www.facebook.com/BoolkahX: https://twitter.com/boolkahABOUT PETER BOOLKAHPeter Boolkah is a business coach, author and speaker who has spent more than 20 years helping business owners build stronger, more valuable businesses that do not depend on them for everything.He is the creator of The Hamster Wheel Trap® and author of Your Business Sucks: Build a Business That Works Without Destroying Your Life.Peter works with founders and leadership teams on the issues that ultimately determine whether a business creates freedom or becomes another job: leadership, founder dependency, people, profit, execution, scaling, exit readiness and enterprise value.His approach is direct, practical and built around one simple question:Do you own the business, or does the business own you?Learn more at https://www.boolkah.com