Top CEOs focus on five things: Vision, Cash, People, Key Business Relationships, and Learning. In this five-part series, I’m going to explore why these five focal points are the best uses of your valuable time, and how each can help Make BIG Happen for your business.
Setting a BIG vision for your company’s growth requires courage and commitment.
Fueling that vision requires cash.
Ultimately, it’s the CEO’s responsibility to make sure there’s enough cash on hand to achieve the plans you’ve made for your company.
What you want to do and your ability to do it are so intertwined that monitoring cash is not one of those things the boss can delegate. You have to be on top of the numbers and key indicators. You have to review a daily cash report, a monthly cash flow statement, and an updated monthly projection. You have to see black before you can see BIG.
But just how BIG can you get, and how quickly? That all comes down to your cash operating cycle. Whether your business is services or goods, the time from when the money leaves your business to the time you get it back in the bank looks something like this: