Cash Flow Fix – Eliminate Bottlenecks Before Scaling
A growing business was eager to scale, but behind the scenes, its finances were unraveling. Sales were increasing, but cash was constantly tight. Invoices went unpaid for weeks, operating expenses piled up, and debt started to snowball. More revenue was making the problem worse—not better.
Scaling without fixing cash flow would only magnify the chaos. So we addressed the bottlenecks first.
Here’s how we solved it:
Identify the Bottlenecks
We used Xero’s Profit and Loss report to isolate the weakest links—late receivables, low profit margins, and unchecked overheads.Track Diligently
Weekly reviews through Xero’s Short-Term Cash Flow tool and Cash Summary report helped monitor inflows and outflows in real time—providing visibility before issues escalated.Scale Responsibly
Before increasing marketing or hiring, we reviewed Xero’s Budget Manager and Business Snapshot to confirm the business could absorb the additional cash demand.
This approach is based on common patterns we’ve seen across growing businesses that hit a cash wall just as momentum starts to build. By applying a system to control timing, margin, and expense pressure, they shifted from reactive firefighting to proactive planning.
The Outcome:
With financial clarity in place, the business restored balance. Cash reserves grew, debt stopped piling up, and new sales finally translated into sustainable growth—without financial strain dragging them down.
