Most businesses don’t fail because the idea was bad. They fail because they ran out of cash. Period.

You can have a killer product, loyal customers, and glowing reviews, but if you don’t manage your cash, you’re toast. How do you manage your cash flow?

First, get real with your numbers. Know exactly how much is coming in, how much is going out, and when. Not “I think.” Not “roughly.” Exact numbers. Every week. Track them like your life depends on it, because it does.

Next, stop spending money you hope to make. Spend from what’s real. Not projections. Not fantasies. If that shiny tool or fancy office chair doesn’t directly make you more money, skip it. Want to look successful? Fine. But smart entrepreneurs focus on staying solvent first, fancy later.

Then, get paid faster. Don’t wait for clients who drag their feet. Invoice immediately. Set clear payment terms. Follow up. Be polite but firm. You are not a bank. The longer you wait to collect, the tighter your cash flow gets.

On the flip side, stretch your payments. Negotiate with suppliers. Ask for better terms. Most people don’t ask, and that’s money left on the table.

Additionally, watch out for “profit on paper” but broke in real life. You can have profit and still be drowning in expenses. Cash in the bank is the only scoreboard that matters.

If things get tight, don’t panic. Cut what’s not essential. Protect what’s working. Focus on sales that bring in cash now, not later.

Profit looks good on reports, but cash flow keeps the lights on. Stay lean. Stay sharp. Track everything. And remember, running out of cash is a choice. Don’t make it.