Working Capital: The Number That Separates Growing Businesses from Stalled Ones
You just landed the biggest contract in your company's history. You hang up the phone and stare at your desk. You should feel a massive surge of adrenaline. You should jump out of your chair and celebrate the victory with your team. Instead, a cold knot forms in your stomach. You look at your bank balance and realize the terrifying operational truth. To execute this massive project, you must order thousands of dollars in materials tomorrow morning. You must pay your technicians for the next four weeks of intense labor. You must cover the extra fuel, the insurance premiums, and the staging costs. You must pay all these expenses long before the client ever cuts you a single check. You just became a victim of your own success.