Having a strong cash flow is imperative for any business to stay afloat. Without readily accessible cash, employees and vendors can’t be paid and the business will eventually collapse. Learning to track and ensure a dependable and balanced flow of incoming cash to meet expenses is Business 101. It’s not necessarily a simple task—some signs of cash-flow problems are obvious, but others aren’t. Still, it’s essential for a company’s owner and financial leaders to know and quickly address the signs that indicate they may be in danger of running out of ready cash. Here, 14 Forbes Finance Council members share some clear (and subtle) signs and give advice on how to right the ship. Members pictured from left to right. Photos courtesy of the individual members. 1. Your Fixed Costs Are Rapidly Increasing One of the obvious flags is when you see that fixed costs are increasing at a pace that is significantly higher than revenue. For example, in the last few years, we have seen tech companies aggressively increasing their workforces before reaching product-market fit. My advice is to optimize the usage of fractional services and the many resources offered by accelerator programs, including office space and expertise. […]
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
