7 critical cash flow questions

Cash flow is the most important thing in business.

Cash flowCash flow brings money in. Cash flow pays the bills. Cash flow keeps your business going after the first month… and the first year.

Without cash flow, you just have a hobby and an expense. And yes, profit is important but a high profit margin from no sales is still a hobby! It’s better to have a little bit of profit from every sale with a big flow of cash.

Here are seven questions you need to ask your self on a regular basis (monthly is good, weekly is better).

  1. How much cash is flowing in?
  2. Where did the cash come from?
  3. How can I get more cash flowing in?
  4. How much cash is flowing out?
  5. Where is the cash going?
  6. How can I reduce the amount of cash flowing out?
  7. How can I use this cash to get more cash flowing in?

Spend time tracking the answers and figuring out how to increase the stuff that needs to increase and decrease that stuff that needs to decrease.

Aaron Hoos

Aaron Hoos is a writer, strategist, and investor who builds and optimizes profitable sales funnels. He is the author of The Sales Funnel Bible and he's a real estate investor and a copywriter for real estate investors.

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