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Cash Flow Specialist: Your Partner for Growth, Stability, and Profitability

Cash Flow Specialist: Your Partner for Growth, Stability, and Profitability

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Your Path to Cash Flow Mastery: Why Hire a Specialist?

Mastering cash flow is crucial for business survival. As a cash flow specialist, I’m here to help you with that mastery.

As a chartered certified cash flow specialist and accountant based in London, England,  I’ve worked with businesses like yours, reaching £53.8m in various industries over the last two decades, helping them navigate cash flow challenges.

BANNER

Discover how I’ve helped businesses like yours thrive. [Click here for success stories]

Bonus Material

Take This Cash Flow Assessment Quiz: How Healthy Is Your Cash Flow?

Importance Of Cash Flow Management For Small Businesses

Did you know?

Over 80% of small businesses shut down due to cash flow problems.

Graphs in the Intro: A simple bar graph illustrating the 80% failure stat

As a business owner, you’re incredibly busy optimizing their products or services. Perhaps you neglect cash flow management. It’s often too late when you become aware of the damage that has been done.

So, if you want your business to be successful, acknowledge the importance of cash flow management from the beginning.

Walkthrough Of What’s Covered In This Article

Click the video below as I summarize this article and explain why you should read it now.

What Does A Cash Flow Specialist Do?

One of the frequent questions I often get is, what does a cash flow specialist do?

As an expert, I do these things for my clients so that you can expect similar actions from my fellow colleagues.

  • Prepare cash flow statements to analyze the cash flow and predict the future cash needs of the company.
  • Perform cash flow analysis to measure metrics and develop customised KPIs to reach financial goals.
  • Create a Cash Flow Forecast to find out the short-term gap.
  • Build a Cash Flow Projection to guide the business to the next level, looking for long-term growth.
  • Work closely with banks to secure the right type of lines of credit and the level of funding the client needs.
  • Develop cash flow strategies to create consistent positive cash flow without over-relying on sales revenue to meet business goals.

How Does A Cash Flow Specialist Help Business Owners?

Look, you’re the expert in your business – that’s where your focus should be. However, many business owners lack the specific financial skills to master money aspects, which is a skill that financial professionals possess.

From my experience working with my clients, a cash flow specialist can:

  • Take the stress of cash flow management off your shoulders
  • Identify underperforming areas to boost capacity
  • Create a financial forecast to check whether the business can cover working capital and make loan payments to reduce debts.
  • Free up time to secure profitable opportunities
  • Gain mental space for strategic growth decisions
  • Set up a customised, effective cash flow system
  • Provide financial clarity on your cash position
  • Fix current cash flow issues and do cash planning to identify gaps before the problem arises.

A seven-figure dental practice owner client invited me for dinner a few weeks ago. I asked him how much time he spends looking at financials in Xero accounting software. He said 5- 6 hours a month.

Then, I asked for the opportunity costs. He could have used the time to provide dental implant treatment, he said, in thousands of pounds.

I told him that he would still be in profit if he had a cash flow expert to take care of this.

Tips On Improving Cash Flow

Want in-depth, actionable cash flow management strategies?

While there’s no one-size-fits-all solution, check out these 27 ways to improve cash flow in three areas.

If you still do not find what you are looking for, you can fill out this Google form—ask me anything—and I will answer your specific query. Your query will be updated in the faq section. You can find all the other questions asked by business owners like you by clicking here.

Is It Time to Hire a Cash Flow Specialist?

I believe that whether you are a start-up, in the growth phase, or mature, all stages and sectors could benefit from expert input.

When your business is still tiny, you might be able to keep track of the incoming and outgoing cash for a while.

However, once it reaches significant proportions, you must seek the assistance of a finance professional for sustenance and growth.

Here’s how to know if working with a small business cash flow management specialist is right for YOU.

Startups

Did you know that, according to Experian UK, 50% of businesses fail in the first three years?

Many start-ups fail not because of incompetent service but because of poor cash flow management. Entrepreneurs can get lost in the process of improving and promoting their products. Then, one day, they discover themselves in a grave financial situation.

It reminds me of a tech educational start-up that never took off. I cannot name them for confidential reasons. They got to series B funding, generating £375k, but they spent the money on software that was never released. Their quest to launch the software fast meant their cash burn rate was unsustainable.

When they needed the next funding to keep their dreams making big, investors pulled the plug, and the start-up became part of 50% of new businesses that failed in the first three years, as shared above in cash flow data from Experian.

Businesses Experiencing Growth

You may have managed money independently up until now. This was possible because your business was progressing slowly.

However, as your business grows, so do the movements of cash inflow and outflow, and keeping track of them can be tricky and time-consuming. You may be out of your depth to grasp your money.

Working with a small business cash flow specialist would be a good idea if you want to maintain business growth and take your company to the next level. Otherwise, sudden inflows and outflows can easily overwhelm your system and hinder your progress.

One of my clients in the luxury goods retailer has been working with me since May 2009, when this business had nearly £850 in annual sales revenue. This year, the business crossed over £10m in sales. We have consistently worked together as a financial co-pilot partner, providing him monthly custom support to provide cash flow solutions to improve cash flow management.

As a result, managing debt repayment while ensuring enough working capital to run business operations has been smooth.

Seasonal Businesses

If you run a seasonal business, such as selling ice cream or summer cottage holidays, you usually don’t need a finance expert all year round.

However, you risk not developing proper cash flow management strategies. As a result, when you encounter a huge rush during the business season, you might undergo extreme stress managing money.

Therefore, you should work with an expert weeks before the season starts. Although having an in-house specialist is not mandatory, you can hire an expert who work on an outsourcing basis.

Established Business Hitting Cash Flow Blocks? Here’s How I Can Help

If your business is well established, you could still benefit from input from a cash flow advisor.

I have seen that revenue is relatively stable as the business reaches its growth peak. However, an increase in overhead expenses, mainly wages, as salary increments occur, and a decrease in margin due to competition and customer taste changes lead to cash flow constraints.

In this scenario, a specialist can help you to establish cash management processes, spending goals, and debt management advice.

This reminds me of one of my cafe clients based in Margaret, UK. He approached me because he had not been able to pay his VAT bills on time in full for the last two consecutive VAT quarters.

While reviewing his income and cash flow statements, I discovered that rising ingredient costs were among the leading causes of insufficient money left in the bank account. We fixed the pricing across the breakfast menu.

As a result, his business went from negative £29,527.28 to cash positive £37,256.22 in seven months.

What Are the Factors To Consider When Hiring A Cash Flow Specialist?

Here are some of the factors you should consider when appointing the right professional.

  • Do they have prior experience in managing businesses similar to yours?
  • Educational background in financing or accounting.
  • Excellent communication skills to effectively interact with suppliers, lenders, and your staff.
  • General intelligence to find spontaneous solutions to small problems.
  • Skills to work with the latest tools and AI technology.

Accountant Vs Cash Flow Specialist: What’s The Difference?

Accountants and cash flow specialists work with financial data but have different areas of expertise and responsibilities.

Accountants are trained to manage a company’s financial records, including bookkeeping, financial statements, tax preparation, and auditing. They analyze financial data to help businesses make informed decisions about their finances and comply with financial regulations.

On the other hand, cash flow specialists like me, focus specifically on managing and moblising your company’s money.

We help businesses understand where their cash is coming from, where it’s going, and how to optimize their cash flow to meet your financial goals.

A Cash Flow Specialist: Your Financial Growth Partner?

Relying on accountants and bookkeepers to manage your money is no longer enough. They are mostly reactive by nature.

As an ambitious, growth-minded business owner, getting a complete handle on cash flow should be your number one priority. A Cash Flow specialist may just be the person you are looking for.

A cash flow specialist empowers you to focus on growth, not financial firefighting.

Your Next Step

If cash flow concerns are holding you back, a specialist’s help could be transformative. Click here to book a call.

ADDITIONAL RESOURCES

  1. Take this cash flow assessment to determine your business’s cash flow health, including a personalised, detailed action plan to implement it.Click here for the assessment
  2. If managing cash flow is your biggest concern right now, check out the cash flow management training guide, where I share actionable tips and strategies depending on your sector, size, and specific situation.
  3. Case Study- Depending on your specific cash flow situation, you can check out the successful cash flow story to inspire, inform and educate you.

 

Pick a Case Study from those listed below…

Other Case Studies

Unlocking Trapped Cash: Seizing Missed Opportunities (Kay): “Kay was sitting on a goldmine of uncollected invoices. We optimized her receivables processes, freeing up £15,000 in immediate working capital.” Click here to see more

Tax-Smart Cash Flow: Optimizing for Growth (Darren): “Darren was paying too much in taxes, limiting his growth potential. We identified tax-saving opportunities, giving him more capital to reinvest in his business.” Click here to see more

Owner’s Pay for Stability & Expansion (Steven): “Steven struggled to pay himself consistently and expand at the same time. We created a balanced plan, ensuring both his personal income and long-term business growth.” Click here to see more

Transforming Debt into a Cash Flow Advantage (Philippa): “Philippa’s debt was suffocating her business. We restructured her payments and identified new revenue streams, turning a burden into an opportunity.” Click here to see more

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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.

Cash Flow Specialist: Your Partner for Growth, Stability, and Profitability

By Shishir Khadka, FCCA.