In business, there is such a thing as a ‘good problem’.
One example is a business which provides a good product or service in high demand by customers. The business needs to produce more and invest in marketing, sales, and customer management. There’s an opportunity to grow which should be good news… but what happens when the business doesn’t have the cash to fund this growth?
Read MoreTopics: Business Improvement, Wealth creation, growth
In some ways, managing a business is not so difficult, at least from a financial perspective. By attracting more customers or selling more to existing customers, you grow revenue. You also try to ensure that revenue greatly exceeds expenses – in which case profits are high!
Simple, right? But what’s missing from this analysis?
Read MoreTopics: Business Improvement, Wealth creation, cashflow, profit, growth