When we last left off, I had hinted at taking a plunge into starting the enterprise my partner and I had talked about.
Excitement? Sure. Fears? Double sure. Never mind that it was over a year since we first laid out the plan, and we were curious about whether the opportunity was still as viable as we had imagined it a year ago. It was starting, and that’s the point.
The <<previous blog>> used the analogies of being a captain and a seeker. One leads despite uncertainty, and the other tries to beat back the uncertainty through excessive planning. Today, we look at the compromise and what it means to really master the seas.
Creating Your Own Luck as an Entrepreneur
The truth is that while we want to be perfect beings, most decisions are made based on factors we can’t anticipate—they’re grounded in the everyday reality of owning a business: the good, the bad, and the downright uncomfortable.
For instance, even if you’re one year into your business, how many of these decisions are you avoiding because they are uncomfortable?
- Cutting Back on Expenses
- Changing Suppliers
- Making Staff Changes
- Reworking Finance Plans
- Dropping Low ROI Products
- Increasing Prices
- Budgeting and Analysis
- Starting a New Enterprise Entirely
While these may sound like setbacks, they have hidden opportunities. The key to turning them into growth is accountability. In other words, understanding the present for what it is—a process, not a judgment on the past.
Leveraging Hidden Opportunities
Let’s look closer at these “problems” and find the value inside.
“Problem” |
Negative Feeling |
Opportunity |
| Cutting Back on Expenses
|
Fearing how much money has been lost to poor planning.
|
Not all expenses move the business forward. Focus on those that do.
|
| Changing Suppliers
|
Letting down a supplier who has relied on you.
|
Loyalty should be earned from value—not habit.
|
| Making Staff Changes
|
It’s hard to fire someone, even if it’s justified.
|
The wrong person negatively affects energy, revenue, and growth.
|
| Reworking Finance Plans
|
Facing new uncertainties from capital providers.
|
Leasing heavy equipment is a fantastic strategy for flexible payment terms.
|
| Dropping Low ROI Products
|
Giving up on beloved products and services and preparing for backlash.
|
No matter how “liked” these offerings may be, they are diminishing your (finite) company resources.
|
| Increasing Prices
|
Customer unhappiness and a loss of competitive edge.
|
A flat bottom line is a symptom. To solve the problem, better cash flow will give you time and space to do so effectively.
|
| Budget and Analysis
|
Are you scared to see your real numbers?
|
Actual plans start with proper cash flow analysis. Everything else is sailing in the dark.
|
| Starting a New Enterprise
|
Feeling like you “failed” at your original purpose.
|
Finding a better one. After all, no one knows everything!
|
Notice that all of these ways forward can only be accomplished after spending time in the market and growing your business organically. These are problems and opportunities, after all, and while you can sit up dreaming of problems all day, solutions take effort and engagement to realize.
That’s what separates the captain from the seeker. Facing the uncertainty, deciding, and then taking responsibility for turning it into momentum. Decisions are necessary and never perfect. Maybe a decision or two taken off the list above (and the accompanying cash flow improvements) will be the lifeboat you need.
Prepare for what you can, and improvise the rest. Not every day will be smooth sailing, but you won’t know calm until you’re out on the water.
Captains and Cash Flow
Now that you’re out on the water, preparation and a healthy dose of accountability will be your saving grace. Of course, that’s not to say it’s easy. Going down with the ship may be an admirable show of accountability but also of poor planning.
There are two ways that our problems snowball and threaten our solvency. First, if the pains (costs, inefficiency, a lack of capital, etc.) weigh down your ship to the point of diminishing revenue. Secondly, if the problem is one you haven’t been able to articulate and act on through managing your KPIs. Worst of all is a hole you do know about, but you’re actively ignoring.
The cure for both? Understanding and optimizing cash flow.
With improved cash flow, you can hire more effective people, understand your upcoming expenses and forecast accordingly, strengthen your business, and prepare for taxes seamlessly. Best of all, with cash flow and the proper accounting in place, you can silence the seeker inside you since you’ll know precisely the resources you have available to take up new and even unexpected challenges.
So, how do you become a captain of your cash flow? We have a great place to start.
Join Our Free Masterclass
This VOD-style lesson will give you the power to understand, leverage, and forecast finances for better business management.
It’s absolutely free, value-focused, and designed to help you grow with confidence.
Click here to register today!
Conclusion
With the right cash flow and attitude, your hesitation can turn to healthy optimism. Without it, you could spend years waiting like I had—expecting the sea to spit up an answer that wasn’t going to come.
From my boat to yours, I wave a flag of welcome. Contact us today to get started on a powerful leasing strategy that will put you back in charge of your ship with predictable payments and a more profitable future.
