Cash is king, period. In this episode, the operators get real about why cash flow matters more than your P&L, EBITDA, or vanity revenue numbers. They share their worst "cash crunch" war stories, like pushing payroll or having to choose between buying inventory and paying taxes. To prove a hard lesson: even profitable businesses go bankrupt all the time.
You'll learn the backward-sounding truth of e-commerce: rapid growth bleeds cash, while slowing down can actually fill your bank account. They get into the weeds on risky trend-based inventory, and how to get your suppliers to finance your growth by trading margin for better terms. They also cover the real cost of equity (why you should probably just take the money) and why you need a serious finance team and audits long before you ever think about selling.
Chapters:
00:00:00 - Introduction
00:03:07 - Worst Cash Crunch Moments
00:18:26 - How Growth & Inventory Type Affect Cash Flow
00:34:50 - Tactical Ways to Protect Cash
00:46:26 - The Truth About Equity Financing
01:03:27 - Partnership, Paranoia, and Playing the Leverage Game
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E082: Inside Our Forecasting, Pacing, and Holiday Shipping Strategy for BFCM Success
