Summit Leadership Systems
Profitable on paper. Empty in the bank.
Revenue can be the best it has ever been while profit is negative and the bank account is worse. This walks you through why, using your own numbers, and shows what happens when you get paid sooner. Rough figures are fine. The shape is what matters, not the decimals.
Section 01
What comes in, and what it costs to run
Section 02
What the accountant takes off next
Both of these are real. Only one of them takes money out of the bank.
Section 03
What the profit statement never shows you
This is where most operators lose the thread. Neither of these appears anywhere on a profit and loss statement, and both of them empty the account.
Section 04
How long the money sits still
Money you have earned but not collected is not yours yet. Money you owe but have not paid is not theirs yet. The difference is what you are financing.