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  • Writer's pictureEmily Inman

Why You Should Obsess Over Your Cash!

In the construction sector, financial health is a complex puzzle with several key pieces, but if I had to pinpoint the most crucial aspect, I'd say it's cash flow management. The nature of the construction industry - where you're dealing with long project timelines, staggered payments, and sometimes unpredictable costs - makes effective cash flow management a make-or-break skill.


Cash flow impacts your ability to pay subcontractors, purchase materials, meet overhead costs, and take on new projects. Poor cash flow management can lead to a cascade of issues like project delays, damaged supplier relationships, and even bankruptcy in extreme cases.


But cash flow isn't just about having enough money to cover expenses. It's also about timing. Even profitable companies can face cash crunches if they don't align their inflows and outflows properly.


Obsessing over your cash will help you to:

  • Avoid Delays: Time is money. Delays hurt your rep and future jobs.

  • Fund New Projects: Cash lets you grab new opportunities

  • Risk Safety Net: Extra cash helps you dodge those curveballs life throws

  • Play Smart: Timing cash in and out makes your month easier

  • Supplier Flex Good relationships & terms with suppliers give you breathing room

  • Happy Team: Pay your crew on time, keep the work flowing.

  • Get Supplies: Balance cash so you've got what you need, when you need it.

  • Cover Basics: Overheads are a given be ready for them!

  • Lower Stress: A well-managed cash flow takes a weight off your shoulders, letting you focus on what you do best.










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