Chris Hervochon | Understanding Your Cash Flow Statement


Manage episode 277173662 series 2818663
By Adam Lean. Discovered by Player FM and our community — copyright is owned by the publisher, not Player FM, and audio is streamed directly from their servers. Hit the Subscribe button to track updates in Player FM, or paste the feed URL into other podcast apps.
On this week’s episode of P is for Profit, we speak with Chris Hervochon, a CPA and the owner of Better Way CPA, which provides outsourced accounting and tax preparation services. This episode is all about cash flow and how to improve the cash that your business generates.
“At the end of the day, your business has to generate cash because you can't pay for your mortgage in anything but cash. You can't pay for the grocery bill in anything but cash. You can't pay your employees in anything but cash. It's got to turn into cash, and understanding specific components of your cash flow statement and where you need to be focused is super important. You need to understand it, forecast it, and model it. That's really the jumping-off point that I see a lot of small business owners struggle with,” says Chris.
We chat about common struggles faced by business owners when it comes to their cash flow, as well as:
  • Understanding your cash flow statement
  • What level of debt is healthy for your business
  • The importance of cash reserves
  • Bookkeeping best-practices
  • His book, Scaling the Data Driven Marketing Agency
  • And more

57 episodes