The Five Silent Killers of Cash Flow In an economy where the stakes are increasingly high and cash progressively scarce, business owners must proactively manage the balance sheet and income statement or risk falling victim to the five silent killers of cash flow. Did you know that a majority of businesses that file bankruptcy reported a net profit, yet had negative cash flow? Often the warning signs that a company is in trouble go unnoticed until it is too late. A business can improve their liquidity and create long-term viability by looking closely a few potential trouble spots. In this lesson the key learning objectives are: Using debt properly if you need it to grow. Understand how to structure debt and what type of loan product to use to buy an asset. Controlling the money that flows in an out of a business is known as expense control. Learn the rule to use to avoid an expense problem. Understanding the inventory is “dead” money until someone buys it. How much should you have and some techniques to manage it better. Learn the balance between accounts receivable and accounts payable. These are the two levers a business owner has to control short term cash flow problems.