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LEADERSHIP FOR RESILIENT ENTREPRENEURS
Business Plan or Cashflow Plan: Which Fits Your Business Best?
Not sure if you need a business plan or cashflow plan? Here’s how to decide, from private households to startups. But cash always comes first.
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Cash is king — an old saying that nothing else matters in business. No cash, no business.
The same is true for your private household: No cash, no food on the table.
So it’s easy to argue that you cannot run a business without a cashflow plan. However, I would argue that you don’t need a business plan for all types of business.
Let’s look into different kinds of business.
Private Household
In a way, your private household is a business. I run our household on the same cashflow plan template as Yonder, the company I co-founded.
Private household finance is quite simple — if you don’t spend more in the long run than you earn, then there will always be enough cash available to put food on the table. And if you can keep a cash reserve on top to replace a…
