Deconstructing Cash Flow
Cash flow is more important than profit.
That’s not me talking. That’s Peter Drucker talking.
And I happen to agree with Peter.
Simply put, cash flow = cash received – cash paid out as part of the core business operations.
Cash flow is to business what oxygen is to the body—not the point of life but without it there’s no life.
And you get cash from sales.
So far pretty straightforward, no?
But how do you sell sales?
My 2¢:
The short answer: through innovation and marketing.
P.S. How to sell sales (internally & externally) is going to be one of the hottest topics in the next 12 months.
So hot that even the people who don’t usually participate in these discussions are joining in the conversation.
Case in point: My pen pal Dan Pink. His next book? To Sell Is Human: The Surprising Truth About Moving Others. (Will be published in January 2013.)