Entrepreneurs' Blog

Posts Tagged ‘Cash Flow

In our experience at RCapital there are three key areas of weakness among business owners: a lack of understanding of the meaning of cash flow management; a tendency towards over trading; a reluctance to ask for advice from those who have had practical business experience – until it’s too late.

We interviewed Colin Stevens, founder and managing director of Better Bathrooms, for this month’s “Business in the Spotlight”. Here’s what we discovered about the business, the man behind the business and his journey as a member of the Entrepreneurs’ Business Academy.

Businesses need cash to be able to pay staff on time, buy supplies, repay debts on time and to pay dividends etc. If you don’t have cash to pay a supplier when the payment is due, you might find you lose the trust of the supplier and the outlet AND they may declare your business insolvent.

In a recession or not, controlling cash is totally critical for business survival. Once they have been recognised, many cash flow problems can be reduced or turned around – many business owners are slow to pinpoint the problem, and then it’s too late.

Whether in a recession or not, controlling cash is absolutely critical for small firms. Often cash flow problems can be reduced. However, 90% of firms are still failing because of lack of knowledge and skills of the business owner.



  • Morgan Grage: I like this post, enjoyed this one regards for putting up. "No man is wise enough by himself." by Titus Maccius Plautus.
  • Derek: Brilliant article Bev, thanks for sharing. coincidentally the kilimamjaro example used is on my 2014 to do list! Ps thanks for the tips you gave me
  • jackson: thanks for your great article about developing your business idea to great business Jackson mutebi

About EBA

The Entrepreneurs' Business Academy is a unique and highly practical one stop resource for business owners and aspiring entrepreneurs, providing a range of courses , EVENTS and materials that give step-by-step guidance for entrepreneurs on their business journey. The EBA's courses have been put together by James Caan and Bev James MD of EBA and The Coaching Academy, and specifically designed to teach its participants the skills required to take an idea and turn it into a reality. Read more...

 

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