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Cash is Key to Increasing Business Health and Business Success

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Cash is Key to Increasing Business Health and Business Success

March 02
18:24 2021
Cash is Key to Increasing Business Health and Business Success

“Cash flow is the number one thing business owners need to understand about business. A company might make profits each month but be bankrupt by the end of the year. How can this happen? The company may have too much debt on its books, and the cash generated from operations may not be enough to sustain the company in the long term.”
~ Debi Corrie, Strategic CFO

Strategic CFO Debi Corrie urges small business owners to get a grip on their financial health in 2021, not only to survive but to have the capacity to take advantage of new opportunities in the coming months. She has seen too many great companies close because of completely avoidable financial mistakes, and wants to change those odds by enabling businesses to make smart strategic decisions with their numbers. First thing to know: Cash is key.

“Cash flow is the number one thing business owners need to understand about business,” says Corrie, Owner, and CEO of Acumaxum, a strategic CFO company. “A company might make profits each month but be bankrupt by the end of the year. How can this happen? The company may have too much debt on its books, and the cash generated from operations may not be enough to sustain the company in the long term.”

In her #1 international best-selling book (in 21 categories, #1 in 5 categories in the U.S.), “Loving Failure: Getting Control of Your Business Health,” Corrie provides a reliable, no-nonsense guide to the basics of a financially healthy business to help companies of any size navigate financial prosperity.  Every chapter includes tips to generate cash and a cash failure to avoid. Corrie suggests four ways for business owners to increase cash flow in 2021.

Tip #1: Know their numbers — And make critical decisions around those numbers. This can make the difference between “just making it” and soaring in a company. She suggests setting up and regularly reviewing the company’s financial statements, making sure they are designed to give a true picture of where their money is. It’s also important to engage professionals who know about the numbers.

Tip #2: Increase their sales goals — Clear sales goals and implementation plan are key to reaching the company goal for the year.  It’s important to communicate those goals, and numbers, to the sales team so everyone is invested in success.

Tip #3: Create new revenue streams — Many have used the term “pivot” for 2020. Corrie likes to use  “innovation.”  Look at the new possibilities that technology and remote work offer to discover and sell new products. Is there intellectual property that the company can monetize or new programs that can be created to generate more sales and cash?

Tip #4: Reward their team for success — Behind every number in the company is an employee.  Employees drive everything that goes right and wrong in the company. Companies that have a culture of employee contribution grow at a faster rate. Rewarding employees for success will increase cash flow and company profits.

A final piece of advice from Debi Corrie which reflects her book theme, “Loving Failure:” As a business owner looks for opportunities in this economy, they should not be afraid to take risks or to try something new. They cannot generate cash for their business if they are fearful of what to do next.

Media Contact
Company Name: Acumaxum LLC
Contact Person: Debi Corrie
Email: Send Email
Phone: 314-476-4200
City: St Louis
State: MO
Country: United States
Website: www.acumaxum.com