QUOTATION 4
HAROLD GENEEN ON WHY CASH IS KING
Use this to remind you that cash flow is more important than profits.
Harold Geneen (1910–97), was President of the ITT Corporation of America. In a long and distinguished career, he came to recognise the pre-eminent importance of cash to any organisation:
The only unforgivable sin in business is to run out of cash.
Harold Geneen
It is surprising how many experienced managers fail to understand the difference between cash and profit. It is entirely possible to have cash in the bank but make a loss. It’s also possible to have very little cash but be raking in large profits.
For example, a company’s sales may be rocketing. However, if the organisation is paying its suppliers every 30 days while ...
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