Mastering Cash Flow Analysis: A Guide for Small Business Success

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Mastering Cash Flow Analysis: A Guide for Small Business Success

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Introduction to cash flow analysis

From my experience working with established small business owners doing multiple seven figures and eight figures over the last two decades as their trusted accountant, in this comprehensive guide I’ll share how you can analyze your cash flow statement.

You will also learn how to find cash flow problems and opportunities for cash flow creation just by looking at your cash flow statement.

The knowledge you’ll get by analyzing your cash flow statement will safeguard you from a potential cash flow collapse and move you toward cash flow improvement.

I’ll start with the basics and explain three main components of a cash flow statement divided across cash flow from operations, investing activities, and financing activities, which are essential for understanding your balance sheet and income statement.

To help you analyze your cash flow statement yourself, I’ll show you step-by-step instructions on how to analyse cash flow with my proprietary process with you with an example of Mega Profit Limited

We’ll use this cash flow analysis template for this purpose.

Download this cash flow analysis template to follow along.

Here’s what I believe.

The ability to look at your cash flow and find out what is going on with cash flow in your business is a superpower.

With this superpower, you will keep moving forward in business because cash flow problems won’t hold you back.

Before we go further, you might be wondering …

Who am I to guide you?

As a Fellow Chartered Certified Accountant (FCCA) and Cash Flow Specialist with over two decades of experience, I have assisted hundreds of clients in analysing cash flow across diverse sectors such as dental practices, retail, marketing agencies, fine arts, and e-commerce, with annual revenues ranging from £40k to £53.8m.

I have been featured in leading media sites like Independent and global brands like QuickBooks Online, Zoho, and Float app.

I am the founder of Hungry Cash Flow software and the creator of The Cash Flow Hub- The world’s most comprehensive cash flow resource online. I serve my clients through my consulting company, Hungry Cash Flow Ltd.

In 2021, I analysed a cash flow statement of a seven-figure dental client based in Andover and gave advice to go for an overdraft facility instead of a bank loan. After 18 months, he went from cash red to black and bought another dental practice.

In 2023 I advised a retail client doing £9.2m annual revenue by performing a cash flow analysis and reviewing the income statement and the balance sheet.

We saved £35,537.29 monthly overheads.

I am sharing these credentials to make you feel comfortable that you are learning from someone who does this for a living all day, every day.

3 Key Takeaways

  1. Cash Flow Analysis is Critical for Business Health: Understanding the cash flow in and out of your business is not just about preventing failure; it’s about positioning for success. Business owners can make informed decisions that drive growth and financial stability by analysing past, present, and future cash flows.
  2. Real-life Stories Illuminate Common Mistakes: The experiences of Olivia, Chris, and Robert highlight the tangible impacts of common cash flow analysis mistakes. These narratives underscore the importance of leading with profitable products, spotting cash leaks, and acquiring financial know-how to navigate cash flow challenges effectively.
  3. Step-by-Step Analysis Offers Clarity and Direction: The detailed five-step process for analyzing a cash flow statement demystifies the concept for entrepreneurs, especially those who are not finance professionals. This method provides a straightforward way to gain cash flow clarity, enabling strategic decisions that bolster business health and growth.

Let’s dive in.

Let’s get started by understanding what cash flow analysis is.

What Is Cash Flow Analysis?

Cash flow analysis systematically analyses a company’s cash flow statement to understand its cash position clearly.

It’s a bit like analysing the dashboard while driving to find if you are driving at an appropriate speed and also do you have enough fuel to reach the destination.

The way I do this for my clients is to work out three things

1. PAST- What has happened to cash flow in the last six months

2. PRESENT- What is happening to cash flow in this current quarter

3. FUTURE– What will happen to cash flow in the next quarter.

Why Is Cash Flow Analysis Important?

Cash Flow analysis is important because, at this moment in time, you might be having these burning questions.

    • How do I accurately forecast my cash flow?

    • What are the key indicators data I should be watching?

    • How to integrate cash flow into the overall business plan?

    • How much do I pay myself as a shareholder dividend or to an investor, when it looks like I haven’t enough cash left for working capital?

You will find the answers to your pressing queries when you perform cash flow analysis.

From what I have seen working with ambitious, growth-minded small business owners, they want to grow their businesses faster. To do this, they need to do a cash flow analysis to know their cash position before making big investments.

This is interesting.

From my internal records to monitoring my clients financial health, #1 frustration of my clients is cash flow clarity.

I recently sat down with multiple seven-figure dental practice owner clients running four dental practices, and he said he needed cash flow clarity more than ever. This is what he is craving for.

So, how do you have cash flow clarity?

It’s by analysis of cash flow.

Let me explain with a simple everyday-life example.

How do you check who is winning and losing in any sport?

You check the score.

Let’s say you watched a tennis match between Anna and Beth.

You joined long after the match had started and could sit through the last couple of games in the final set.

Anna won the match.

Now, you wanted to know why she won. So, you go and check out the analytics.

Number of first serve in

Number of second serve in

The number Of breakpoints won.

It’s the same in business.

There are wins, and there are losses.

And, you want to know why?

But it’s not easy in a business with many moving parts.

There are blind spots.

To uncover those blind spots and check the health of a business, cash flow-wise, you do a cash flow analysis.

When you don’t know how to analyze cash flow, it’s like seeing through foggy eyeglasses.

According to a survey by score.org, 82% of businesses fail due to a poor understanding of cash flow.

You will clearly understand cash flow and avoid business failure when analyzing cash flow.

Mistake To Avoid:

You see, most entrepreneurs follow bank balance accounting. They look at their bank balance and make crucial financial decisions. They make these decisions without considering a dip or increase in sales or costs, current receivables, and payables. It leads to “Oh shit- I haven't got cash for this” moments. You can avoid such moments and the undue stress of it by analyzing your cash flow.

When you perform a cash flow analysis, you can answer your questions like:

    • How do I get a grip on my cash flow?

    • how do we get cash flowing when there is none?

    • how do you manage the flow of cash better?

    • Is my cash balance healthy or not?

    • Why is my profit different from my cash flow?

Do periodic cash flow analysis to find out the answers to these questions. It is the only way to have cash flow clarity in your business.

Here is the video if you prefer to watch rather than read.

When analyzing cash flow, evaluate cash flow from 3 types of activities.

    • Cash flow from operating activities.

    • cash flow from investing activities

    • cash flow from financing activities

Let’s look at each one by one.

Cash Flow From Operating Activities

The operating cash flow listed on the cash flow statement is the total cash generated from the trading activities of the business.

It is the most accurate cash flow statistic of a business. Many investors use operating cash flow to determine whether they should invest in the said business.

Operating cash flow includes all the irregular expenditures, accounts payable, and accounts receivable assets, affecting the company’s liabilities and cash flow forecasting reflecting the core business activity during the accounting period. It paints a mathematically accurate picture of the financial condition of a business by highlighting the overall situation.

It shows how much cash a business generates from profits, which is an engine to run and grow your business.

Olivia’s Cash Analysis Story – Not Leading With A Profitable Product

Who she is

Olivia runs a freelance organizational leadership program. She has been in the business for over ten years. She has a lot of repeat clients and a lot of work to do. Being a creative entrepreneur, she introduced more product lines to serve her clients.

What did she do, and what went wrong?

She was saying yes to every sale that came her way. Although she was very busy with her work, she was sick of seeing revenue going down the drain, and on top of that, she felt like she got a slap in the face with a massive tax bill.

What was the biggest cash mistake she made, and what was the misconception he had?

Her biggest mistake was not leading with her most profitable products. A business without a path to profit is just more work.

Lessons learned

Olivia worked up to 16 hours a day to meet her client’s expectations.

She was busy and wasn’t seeing much money in the bank.

It’s not unusual to find busy entrepreneurs who work hard every day and don’t have much to show for it at month-end.

Such entrepreneurs make big mistakes of not knowing or not pushing their most profitable products.

See, it’s no good if you go out there, work long hours and put all this energy into your business without any significant return.

You can change it by focusing on your profitable products and dropping those that get you revenue but no profits.

Cash Flow From Investing Activities

Investment cash flow deals with long-term assets.

Cash flow from investing activities considers assets like heavy vehicles, machinery, buildings, and other tools one needs to run their respective businesses. These are considered “hard assets.”

This type of cash flow is associated with the sale or purchase of investments in businesses like land or equipment.

As you likely know by now, when you buy something, there is cash outflow, and when you sell, there is a cash inflow.

Chris’s Cash Flow Analysis Story – Not Able To Spot Hard-earned Cash Leaks

Who he is

Chris runs a website agency business, and he wanted to grow it.

What did he do, and what went wrong?

His business grew well, and he invested in various software and subscriptions. He didn’t realize the cash leaks in the business.

What was the biggest cash mistake he made, and what was the misconception he had?

Chris’s mistake was running the business without analyzing actual cash flow to see trends, irregular activities, patterns, and spikes (tips) for a long time, highlighting the importance of cash flow analysis example in identifying outflows of cash.”

If he had done that, he would have seen software subscriptions he no longer used, the cash he could have invested elsewhere.

Lessons learned

Benjamin franklin said, “even a small leak can sink the ship.”

Chris had too many unnecessary regular expenses, so many leaks that needed to be plugged.

He realized he needed to manage outgoing costs to ensure he only spent money on essential things to run his business smoothly.

Now he asks himself regularly, “do i need this expense in my business to run smoothly or not?” If the answer is yes, he keeps or else doesn’t.

Chris also realized he made the mistake of not reviewing cash leaks.

His advice to other entrepreneurs is to do regular cash flow analysis to spot any cash flow tips and take action as necessary.

Cash Flow From Financing Activities

This one is associated with loan payments you receive or loans you repay. Again, this can create cash outflow and inflow, depending on whether you get a loan or pay it back.

Financing cash flow lists all the financing sources of a company. It includes all the places a business owner borrows, loans, or procures money from to run the business. It also records the cash used to pay back debt or loans.

In technical terms, the financing cash flow represents all the equity and debt, e.g., insurance, loans, shares, bonds, etc. It is a crucial part of the cash flow statement because it represents financial security.

Now that you know the basics, let’s check out the stories of some entrepreneurs.

Here are some cash flow stories of entrepreneurs.

These entrepreneurs made cash flow analysis-related mistakes. Below, I am sharing the lessons they learned and how they resolved their challenges.

Robert’s Cash Flow Analysis Story – Lack Of Financial Know-how

Who he is

Robert is a Facebook ads coach who helps his clients win with paid media. Rory is obsessed with making Facebook ads work for his clients and does that very well.

What did he do, and what went wrong?

Robert only looked at the value of the project without thinking much about the time commitment. He realized that it took way longer to provide the service for some projects, and sucked his time and energy.

What was the biggest cash flow management mistake he made

His biggest cash flow mistake was a lack of financial know-how. He was able to see sales by projects but not profit by projects.

Running a business without knowing these details proved too costly for him. He could have invested his time, his most valuable resource, on profit and cash-generating activities.

Lessons learned

He needed to do cash flow analysis, which requires financial know-how to have cash flow clarity.

This was not the only challenge for Rory.

Many creative entrepreneurs think they could have managed the financial side of their business well if only they had an mba or an accounting or finance degree.

And, because they don’t have those degrees or an mba, they keep running from numbers in their business.

Good financial know-how in business means more than knowing how much tax you need to pay.

Financial know-how gives you clarity and confidence about where you are right now in your business in terms of sales, profit, and cash position.

And, if you are not where you want to be, financial know-how tells you what to do about it to get to where you want to be by developing a financial growth strategy.

Many entrepreneurs talk about business strategy. I believe it’s pointless without having a financial strategy in place. Without financial competence, you can’t develop a financial strategy because you need cash to run the business and implement your business strategy. So, successful implementation of your business strategy needs financial know-how.

When to Seek Professional Advice?

If you think your financial know-how is not up to the mark, invest time and resources in developing it. It will pay you dividends in the future. Work with a coach or an established expert if you have to for this.

The ability to grow your business profitably and sustainably requires financial know-how.

Otherwise, you leave your success to chance, which rarely works out.

Even the most seasoned business owners can benefit from an external perspective, especially when navigating the complex terrain of cash flow management. Consider seeking professional advice if:

    • You’re consistently experiencing cash flow shortages despite healthy sales.

    • You’re unsure how to interpret your cash flow statement and its implications for your business.

    • You need to make significant investments or changes in your business model and want to understand the cash flow implications.

    • You’re considering taking out a loan and need to understand how it will affect your cash flow.

A cash flow specialist or a financial advisor can provide targeted strategies to bolster your financial health, ensuring that your business survives and thrives.


How to analyse cash flow statement step by step?

Do you get confused analyzing the cash flow statement?

Are you not able to move forward because you don’t know what’s going on with the cash flow in your business?

Then, this section is for you.

In this section, I’ll share how to analyze a cash flow statement as an entrepreneur and go from cash flow confusion to cash flow clarity.

I’ll also share how you can safeguard yourself from a potential cash flow collapse to cash flow creation.

You’ll learn how to analyze a cash flow statement as an entrepreneur.

So, let’s dive in.

I already shared in the beginning that a cash flow statement is divided into three components:

    • cash flow from operations

    • cash flow from investing activities

    • cash flow from financing activities.

Then, there’s a direct method of preparing a cash flow statement and an indirect method of cash flow statement.

And there are specific rules about which cash flow items go where.

You may find it all boring. And it doesn’t have to be this way because you are not training to be a finance professional.

You want to be a financially savvy entrepreneur who knows how to analyze cash flow, make intelligent financial decisions, and grow your business.

You don’t need to get bogged down with details like three components of cash flow: direct and indirect, and so on.

So, from now on, you can follow this quick and straightforward 5-step process that you can use to analyze cash flow statements. You can do this even if you are number-phobic.

Step 1 | Confirm Key Balances

Check opening and closing bank account balance, ensuring total debits and credits agree with the bank reconciliation statement, a critical step in maintaining accurate bookkeeping.

Otherwise, you will be analyzing the wrong information in the cash flow statement in the first place.

If you don’t have a cash flow statement template already in hand. Use the one i have shared in the description below and make it your own.

If the key balances do not agree, you need to fix them first.

In Mega Profit Ltd, you can see the opening and closing bank balances and total cash receipts and payments agreed between the bank statement and the cash flow statement.

We have a good starting point.

Let’s move on step number 2.

Step 2 | See The Patterns Of Cash Inflow 

What is the cash inflow pattern, and how does it relate to positive operating cash flow versus negative cash flow, especially in the context of cash flow margin and outgoing cash?

Which products bring more cash flow, and which do the opposite?

This pattern is related to actual commercial activities. Remember, numbers do not appear out of a vacuum. They are the result of a commercial decision between you and your clients.

So, use your cash flow statement to compare the cash inflow by product type. Also, look at the total cash inflow and compare it to what it was at the same time last year. It tells you how your business generates cash compared to the previous period.

What did you notice? Is cash inflow increasing or decreasing?

Although the business may have received cash from other sources, such as:

    • owner investment

    • government grants

    • bank loans

The main focus here is cash received from clients.

In this example for Mega Profit Limited, cash received from Mastermind is bigger than any other product line.

Based on this information, wouldn’t it make sense for this business to invest time, money, and energy in getting more mastermind clients?

You see, in the same way, you can analyze your cash inflow and use the information to make an intelligent commercial decision.

So now it’s your turn. I want you to pause this video and go ahead and analyze the cash inflow and see what jumps out of the page for you. You may have some light bulb moments. Like which products are more cash-generating and which ones you probably need to let go of because they are sucking up your time and energy without any significant return.

Analyzing cash inflow will reveal

    • top cash-generating products that will clarify where you need to focus

    • efficiency to transform sales invoices to cash in the bank

    • average cash inflow in any month

    • which customer or customer segments are you profitable who pays more for you giving you less time and energy

    • trend of cash inflow – is it increasing or decreasing.

Step 3 | See The Patterns Of Cash Outflow

Once you have analyzed cash inflow, now it’s time to turn to analyze cash outflow.

We follow the same process as we did with cash inflow, comparing spending patterns for the last three months and comparing with the previous year’s figures at the same time. This way, we are comparing like with like.

So, compare across the seven categories and see what the trend is. Are there any types of costs or expenses increasing or decreasing? And why is that? Relate this to the commercial decision that took place.

Now you will be thinking, am i getting roi from cash spent?

When you analyze cash outflow as a resource, you use it to generate more sales and profit. You try to justify yourself whether you are getting value for money. That is powerful.

In the case of Mega Profit Limited, you can see the business has spent more on Google in previous months and recently on FB ads. You’ll notice FB ads are helping bring more cash inflow.

Wouldn’t it make sense for this business to focus on FB ads rather than Google ads entirely?

This is the power of analyzing cash flow; it gives you clarity.

Remember this:

“Without clarity, there’s no focus. Without focus, you have friction about what to do next, becoming financially paralyzed.”- Shishir Khadka

Step 4 | Analyse Net Cash Flow Movement

Net cash flow movement tells how much cash is generated from your profit.

Let’s say in a month, a business made:

£100 in sales

At £60 in costs

And £20 in expenses

and generated a profit of £20.

From a cash flow point of view:

Let’s say the business only collected £60

Cash inflow – £60 (balance £40 left to collect)

Cash outflow – costs- £60

Cash outflow expenses – £20

net cash movement in the month = £60- £60-£20 = – £20

You can see that profit and cash flow are not the same. This business generated £20 in profit and -£20 in net cash flow.

You can keep the business going by having a solid cash flow.

You have strong cash flow by increasing net cash flow movement monthly.

In the case of Mega Profit Limited, you can see the business has been generating positive net cash flow month by month, and it’s a very healthy business.

Now it’s your turn to go back to your cash flow statement to analyze your net cash flow movement for the last three months – and ask yourself these three questions:

    • is it positive or negative?

    • Which one is greater, monthly profit or cash flow?

    • Which has been greater in the last three months? Net accumulation of profit or cash flow?

If you have been making profits, but they aren’t reflected in your bank balance, focus first on improving the cash flow that I have shared here.

Step 5 | Notice Closing Bank Balance Trends

Your closing bank balance is your now money.

If no one pays you, from today onwards, for a few weeks or months, you want to analyze the cash flow situation to prioritize spending in your business.

I always recommend that if their cash flow balance doesn’t cover the overhead expenses, including tax payments for the next 12 weeks, it’s not a healthy cash position.

See the trend of closing bank balances for the last three months.

In the case of Mega Profit Limited, the closing cash bank balance has been consistently increasing. The balance of £32,825 covers the next 12 weeks of fixed overhead expenses (rent, salaries, and office expenses) of a total of £4,285 tax payments of £2,000.

Now it’s your turn to see your business’s closing cash balance trend. Is it increasing or decreasing? Oh, one more thing. Does the cash balance cover overhead expenses for the next three months?

There you have it.

It is a simple 5-step process to analyze your cash flow and find the info to help you make intelligent decisions to grow your business and safeguard it against future cash flow problems.

Step 1: Confirm key opening balances

You need to make sure, the opening balance at the beginning of the period is correct.

What does the pattern of cash inflow suggest? Is it increasing or decreasing month by month?

What does the pattern of cash outflow suggest? Is it increasing or decreasing month by month?

Review net cash flow movement. Comparing with previous months, is it increasing or decreasing?

Finally, check out closing bank balance trend, is it going up or down or zigzag?

It is crucial to learn to analyze the cash flow if you want it to stay afloat.

Every year, many small business ventures fail due to a lack of cash flow management.

That’s why I’ve explained what cash flow analysis truly means and how you can use it to understand your business.

Advanced Techniques in Cash Flow Analysis

Delving deeper into cash flow analysis can uncover insights that propel your business forward. By leveraging advanced techniques, you can predict future trends, understand the nuances of your financial health, and make informed decisions.

Predictive Analysis and Forecasting

Predictive analysis involves using historical data to forecast future cash flows, integrating cash flow forecasting with market (economics) trends for comprehensive planning. This can be a game-changer for small businesses, allowing for:

  • Anticipating Seasonal Fluctuations: By recognizing patterns, you can prepare for periods of high or low cash flow.
  • Planning for Growth: Understanding potential future cash flows helps in making informed decisions about investments, expansions, and hiring.
  • Risk Management: Forecasting enables you to identify potential shortfalls in cash flow before they become crises.

Utilizing Cash Flow Software for Deeper Insights

Utilizing Software for Deeper Insights in cash flow statement analysis, considering cash equivalents and current liabilities as part of financial statement preparation.

In today’s digital age, numerous software tools can simplify and enhance cash flow analysis. These tools offer:

  • Automated Data Collection: Reduce manual entry errors and save time with automated data imports from bank accounts and financial systems.
  • Real-Time Analysis: Get up-to-the-minute insights into your cash flow status, allowing for quicker adjustments to your strategy.
  • Scenario Planning: Some tools enable you to test how different decisions (e.g., a major purchase or hiring a new team member) could impact your cash flow.

According to Statista.com 64.4% of SME use accounting software. So if you are not capitalising on the efficiency, hassle free, accurate application software then you are missing out on huge opportunity.

Limitations of Cash Flow Analysis

While cash flow analysis is invaluable for understanding your business’s financial health, it has limitations. 

Past performance does not guarantee future results.

Historical data trends offer insights, which can be the base for future anticipated financial performance. Having said that, from what I have seen, they don’t consider unexpected market conditions. Therefore, you cannot solely rely on it to give you an overview of whether a company has sufficient cash to meet its financial obligations.

Cash flow and profitability are not necessarily the same.

I’m sure you know that cash flow and profitability are different. This is because of accounting for profit, which includes revenues and expenses using the accrual method. Expenses include non-cash items like depreciation and amortisation, which do not have anything to do with cash inflow and outflows from the cash accounting method.

If you’re not sure,  check out cash flow vs profit guide.

Generally positive cash flow indicates the business is financially healthy. Negative cash flow may indicate the business is experiencing a shortage of cash flow.

Having said this,  a business may be profitable and show negative operating cash flow. Conversely, a company may be showing positive cash flow but trading at a loss.

Both are possible.

Therefore, cash flow analysis in isolation doesn’t provide a clear picture of the company’s financial performance.

Limited Scope

From my experience working with clients, cash flow analysis mainly focuses on analysing current cash position. It seeks answers to current working capital requirements to pay bills and salaries on time.

It reminds me of my dental practice client in Wimbledon, South West London.  In our mastermind call, he used to show me his current cash position and how he analysed the cash situation to pay the dental associates and nurses on time.

This is good.

But it didn’t help him make data-driven decisions whether he was ready to expand the business.

This was because he wasn’t sure whether his practice had free cash flow to sustain the long-term debt of buying another dental practice.

He needed to review full financial statements to arrive at the decision.

Furthermore, he was confused between debt and equity.

Should he go for debt from a bank like Weslyn, who specialises in this sector?

Or should we bring in an investor as a dental associate who can partner with the dental practice?

Cash Analysis in isolation does not provide answers to these critical decisions.

Common Pitfalls and How to Avoid Them

From what I have seen, most businesses experience common pitfalls.

When you are aware of these, you are in a better position to avoid them sooner rather than later.

Not having a process in place to do cash flow analysis on time.

If you don’t have a process to do cash flow analysis on a regular basis, then from what I have seen, numbers can be skewed. It wouldn’t make sense at all.

For example, one of my clients runs a dental practice based in Portsmouth. Once, I was provided a cash flow statement prepared by his bookkeeper. The cash inflows and outflows were not allocated consistently to specific nominal accounts. This shows the work hasn’t been done over a period of time.

For me, the gap between preparing a cash flow statement distorts the statement’s rhythm, flow and accuracy.

Not setting up a routine.

I have also seen that, although some businesses may have a good process for preparing cash flow statements to analyse cash from operations or investing or financing activities.

But they do not do it regularly.

This means that over a period of time, the business may have missed the opportunity to identify excess cash to invest in the right areas to increase current assets and decrease liabilities.

It reminds me of one of my clients; when I reviewed his financial statements, he had a lot of unpaid debtors. He had very limited cash in the bank to meet the salaries on the 22nd of the month.

By doing cash flow analysis in relation to reviewing the balance sheet, I advised him to be more strict on cash collection/

The result after a few weeks?

The cash flow ratio to sales was very healthy. He didn’t have to fund the business from his own personal bank account.

Not viewing as a financial management Reporting

If you have read this far, I can assume you want to be a financially savvy business owner to make data-driven financial decisions. 

To do this, you need to look into the insight into the financial management report.

I have witnessed most business owners’ pitfalls. They don’t have access to financial and cash flow analysis reporting simultaneously.

Reviewing income statements and balance sheets and not reviewing statements of cash flows simultaneously is a bit like driving; you are only looking at the left side of the mirror but not the right side. 

It doesn’t work.

Expert Trick from Shishir Khadka: How To Analyse Cash Flow Using The T.I.P.S. Technique

If you are still struggling to get your head around analysing cash flow, you can use my proprietary process to form the basis of it.

I call it the T.I.P.S Technique


T- stands for Trends

I- Irregular activities

P- Patterns

S- Spikes

If you want to see this in action, click here and tag me on LinkedIn, and I will send you the guide.

Your Next Step

Your next step is downloading the cash flow analysis template to check your statement of cash flow results. I use this same template to advise and implement in my client’s businesses to ensure they have sufficient cash to run business operations smoothly and grow the business sustainably.

If you have any questions you would like to share, let me know by leaving a comment below.

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Shishir Khadka, qualified as a chartered certified accountant in 2009. He is the creator of cashflow hub– the world’s most comprehensive cash flow resource online and is one of the UK’s leading cash flow specialist who helps busy business owners and entrepreneurs generate more profit and create consistent positive cash flow without over relying on getting new sales.

He has delivered a masterclass to a global software Zoho’s audience to create consistent cash flow. He has written articles for floatapp– one of the leading cash flow software and has also been featured in the major publications such as Independent. He has been sharing his learning and insights on his youtube channel.

He wrote about his learnings from helping an e-commerce client scaled the business cash flow positive from £500k to £1.6m in four years in “The Three Key Obstacles to Faster Growth: How You Can Overcome Them Using Cloud Accounting.

In his career spanning 18 years as the cash flow specialist, he has helped businesses of all sizes, ranging from £40K to £40M.

Mastering Cash Flow Analysis: A Guide for Small Business Success

By Shishir Khadka, FCCA.