Episode 60 - Day 16 of 30 Days To More Sales - Revenue vs. Profit vs. Cash Flow: What Actually Matters?

You can have your biggest sales month ever and still be standing in the kitchen on Thursday night wondering if there’s enough money for payroll on Friday.

That feeling will mess with your head.

Shopify is celebrating like you won the Super Bowl.

Amazon says sales are up.

The packing table is full.

Everybody is telling you what a great month it was.

Meanwhile, your bank account is sitting there with its arms crossed.

If you’ve ever thought:

We sold all that product. Where did the money go?

This episode is for you.

Day 16 of 30 Days to More Sales is where we start talking about the money side of your product business.

Because revenue, profit, and cash are three different conversations.

And when we treat them like they’re the same thing, it’s very easy to make decisions with only part of the story.

IN THIS EPISODE, YOU’LL HEAR:

Why a record sales month can still leave you feeling short on money
Why revenue is usually the loudest number in the business
What your sales dashboard can tell you and what it can’t
Why profit and cash can move very differently from sales
How inventory can make a growing product business feel cash poor
Why discounts, advertising, fees, expenses, and payment timing matter
How borrowed money can make the bank account look healthier than the business really is
The simple money check I want product-business owners to start using

YOUR ONE CLEAR NEXT STEP

Pull the numbers from your last complete month.

Don’t start with an entire year.

One month.

Then look at your sales, what was left after the cost of those products, and what happened to the cash in the bank during that same period.

The important part isn’t just writing down the numbers.

Ask yourself:

Why did these numbers move differently?

That answer can tell you a lot more about what’s really happening in your business than the sales number alone.

GET THE FREE DOWNLOAD

Three-Number Money Check

I created the Three-Number Money Check to make this easier.

You’ll be able to put the important numbers from one month on one page and start seeing why strong sales don’t always turn into strong cash.

There’s also a completed example so you can see how the numbers work before you use your own.

Get the Three-Number Money Check FREE here.

When you join, you’ll get access to all 30 FREE downloads that go along with the 30 Days to More Sales series.

30 DAYS TO MORE SALES

This is Day 16 of 30 Days to More Sales.

For 30 days, we’re looking at one place your product business could be losing sales and giving you one clear next step to fix it.

One problem. One fix. One clear next step.

Find all Product Biz Made Easy episodes here.

COMING NEXT

Day 17: How to Price Products for Profit — Not Just Revenue

Tomorrow, we’re taking the money conversation down to the product level.

Because a product can sell beautifully and still leave your business doing a whole lot of work for very little money.

And one of the biggest pricing mistakes product-business owners make is looking at the product cost while forgetting all the other expenses that follow the sale.