10 Cash-Flow Surprises That Could Kill Your Startup

Posted by martinzwilling under Startups
From http://blog.startupprofessionals.com 3914 days ago
Made Hot by: PMVirtual on August 8, 2013 7:44 am

The sad truth is that cash flow surprises kill many startups, even though they should have been adequately funded to survive. Overall, 90% of small business failures are caused by poor cash flow, according to the D&B Small Business website. Cash is king when it comes to the financial management of a growing company, so this is not the place for shortcuts and sloppy practices.

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Comments

Written by lyceum
3907 days ago

Martin: As an experienced purchaser I learned to understand the power of cash-flow. If I could negotiate beneficial terms of payment, say 90 days net, and the sales department could get paid in advance or within 30 days, that would improve the cash flow in a great deal.

I am a bit surprised that "small businesses now wait nearly 50 days on average to get paid." What is the general payment period on the North American market nowadays?

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