FOCUS ON CASH FLOW MANAGEMENT, NOT PROFIT

​The cash flow determines the amount of money that is entering and leaving a business enterprise. The money that enters a business is usually the goods or services, while the one that leaves the business is money spent by the business to acquire various things.
It should be the objective of every business enterprise to have a positive cash flow, which means that the money that enters the business is more than the money that leaves. Due to the importance of cash flow, business enterprises have been advised to focus on cash flow management and not profit. This is because when the cash flow is properly managed, profit would be made. Basically, business would make profits. But what happens when the profit is spent more on things than being saved? If a business enterprise places focus on cash flow management, it is bound to make profit