0403: Cash Flow Management And How To Track Income

<h1 style="text-align: center;"><span style= "color: #0000ff;"><strong>This Podcast Is Episode Number 403, And It's About Cash Flow Management And How To Track Income</strong></span></h1> <p><span data-preserver-spaces="true">A wise business owner once said, "Happiness is positive cash flow." As a business owner, I'm sure you agree. Everything is better when your cash-in exceeds your cash-out.</span></p> <p><span data-preserver-spaces="true">A cash crisis can be emotionally devastating, and it can even kill your business. If you've ever had to beg, borrow, and steal to cover tomorrow's payroll, you know what I mean.</span></p> <p><span data-preserver-spaces="true">Having a proper cash management system allows you to:</span></p> <ul> <li><span data-preserver-spaces="true">Know when, where, and how your cash needs will occur.</span></li> <li><span data-preserver-spaces="true">Know what the best sources are for meeting your additional cash needs.</span></li> <li><span data-preserver-spaces="true">Be prepared to meet these needs when they occur by keeping good relationships with bankers and other creditors.</span></li> </ul> <p><span data-preserver-spaces="true">The starting point for avoiding a cash crisis is allowing your accountant to develop a cash flow projection for you. Your construction accountant can help you develop both short-term (weekly, monthly) cash flow projections, help you manage daily cash, and long-term (annual, 3-5 year) cash flow projections to help you develop the necessary capital strategy to meet your business needs.</span></p> <div> <h4 style="font-weight: normal;">Also, a well kept historical cash flow statements help you understand where all the money went.<br /> <br /> Having an accurate cash flow projection has several benefits and will make many procedures easier for your construction company.<br /> <br /> <span style="font-weight: bold; color: #0600ff;">The one burning question contractors want to know: When is it income?</span></h4> <h4 style="font-weight: normal;">When money comes in