BizSugar.com › Finance › Got Cash Flow Problems? Could your Profit Margins Be to Blame?

Cash flow problems affect 60% of small businesses each year and for many reasons: late-paying customers, too much cash tied up in inventory, and so on. However, one often overlooked reason for cash flow problems are low profit margins. If you’re at the point where you’re feeling the pinch and have already tried other ways to improve cash flow, then it may be time to reassess your profit margins.