Business · FORTUNE
Fortune #38
Mixed — reflect carefully
Do not treat booked orders as cash available to spend. Track sales, receipts, and outstanding amounts separately.
QUOTE CARD
A quote for you
“เงินกระดาษได้ส่งผลกระทบต่อรัฐของคุณอย่างที่มันจะมีตลอดไป นั่นคือทำลายการค้า กดขี่คนซื่อสัตย์ และเปิดประตูสู่การฉ้อโกงและความอยุติธรรมทุกรูปแบบ”
— จอร์จ วอชิงตัน
ประธานาธิบดีคนแรกของสหรัฐอเมริกา และผู้นำกองทัพภาคพื้นทวีป
- Person
- George Washington
- Source work
- Letter to Jabez Bowen (9 January 1787)
- Source text
- Paper money has had the effect in your State that it ever will have, to ruin commerce—oppress the honest, and open a door to every species of fraud and injustice.
STORY & REFLECTION
Platform sales and bank cash
Guidance-based illustration · Platform sales and bank cash
Illustrative scene: A wholesaler has its highest order total yet and pays a deposit on new equipment. The largest buyer still has forty-five days to pay.
The owner separates shipping, invoicing, expected receipt, and earlier payment dates. He postpones the equipment purchase until cash arrives and the buffer is adequate.
The SBA recommends orderly records of revenue and expenses and using financial statements to understand capital and cash flow. Sales figures are best read alongside actual receipts and payment dates.
Strong sales are good news; payment dates say when that news becomes usable cash.
Reflection
Uncollected sales cannot pay bills.
A small action today
Separate sales, receipts, and receivables.
A question to reflect on
When will this week's sales actually reach the bank?