The Financial Mistakes that Small Businesses Make that Cost Them the Most Money

Did you make this mistake with your business finances? 🤔

For the most part, small business owners get tangled up with PROFIT and CASH FLOW. The fact that money exists within the bank account doesn't automatically mean that the business's profitability is healthy.

The reality is the following:

 ✅ Profit is what is left over after everything is paid for.
 ✅ Cash flow is the actual cash that comes in and goes out of the business.
 ✅ If you don't manage your cash correctly, you may have profit but struggle with paying your bills.

 How to fix this issue:
 📌 Track receivables closely because late payments can stop your cash flow from getting better.
 📌 Ensure both business and personal expenses are properly separated for easy clarity.
 📌 Prepare yourself and look out for trends on the cash flow statements on a monthly basis.

When was the last time you checked your cash flow? Be sure to leave a 💰 in the comments if you are on top of it!