Cash is the ultimate thermometer. The closer you get to 0, the more you sweat and the colder your business becomes. When it hit 0 for any length of time - you're business is dead.

If your business is struggling, you are living the impact of little or no liquidity. Even if you are in a more comfortable cash position, there you never should take your eye of the cash position. It is the report card on how your business is doing.

Following well founded profit improvement business practices each day is difficult. It seems to go against the grain of  most people's nature. It is easy to "let the cash position analysis including the two month rolling cash flow position, forecast and financial flash slide today" and then before you realize it, a month has gone by, then more months.

One day you wake up and your business is in trouble. The successful companies follow a rationalized management system consistently. That is The Profit System. The Exec Net Consulting Process, coaches management on the adoption of a management system for long term success. 

The first module of The Profit System is the cash flow position, rolling two month forecast and financial flash. Start today with knowing your cash position. That means cash available to spend. Move onto this week's cash receipts and disbursements forecast. Once you have that, take it out 8 weeks. What does it tell you? More on the financial flash piece in the ncxt article.

All the best,

Steve Pohlit, President

Exec Net Consulting

The Profit System