The difference between Revenue and CashFlow

A company may record a lot of revenue and think it is performing well only to discover that it is failing to pay its suppliers, employees, bills and other services. This might be mind boggling to some of the managers yet in real essence what is missing is the cash flow. The revenue might be tied up in long cycles of payments by clients such that there is never enough cash to meet the immediate demands.The cause of this is failing to understand the difference between Revenue and Cashflow. Learn the difference and be achieve a better business balance.

 

 

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