Today on I talk all about how profit is vastly different than cash flow! You ever looked at your profits and thought it was a healthy month then looked at your bank balance and wondered where in the world did the money go?!

I’m sharing all about why that’s the case. If you’re trying to better understand how cash flows in and out of your business, this episode is for you.

Here’s what I cover: 

Why profit is not the same as cash flow cashflow

1. Beginning bank balance
2. Incoming cash - revenue, owner’s investments, loan
3. Outgoing cash - expenses, owner’s draw, paying off credit card/loan, purchase of asset
4. Ending cash balance

How to review the statement of cash flow

1. Operating activities 
2. Investing activities 
3. Financial activities 

They tell us different things that can happen outside the P&L

Resources to help you get the full picture

1. The Classy Cash Flow Kit
2. The Major Margins Bundle

Email: [email protected] | Instagram: instagram.com/lovelyfinancials | Facebook: facebook.com/lovelyfinancials