Thread by @IAmOanaLabes

Profit is an accounting result.
Cash flow is a business outcome.

Here's why most leaders struggle...

Profit is easy.
It flatters the income statement.

It's hard to figure out.
And it exposes the business.

Here's what the P&L hides:

Non-cash items distort results

Capital spending drains liquidity

CapEx doesn't hit the income statement, but it hits your cash flow hard.
You look profitable while cash disappears.

Financing activity is invisible

Loan payments, equity raises, dividends? They don't show up on the P&L but they change your bank balance overnight.

You think you're doing well until:

You can't fund growth
You can't pay obligations
A deal falls apart in diligence

This shows whether your profits are converting into actual, spendable cash.

This tracks capital investments.
Healthy if strategic.
Destructive if unmanaged.

This reveals how you're funding the business
And whether you're overly dependent on external money.

You don't scale with profit.
You scale with reliable, repeatable, strategic cash flow.

Remember:
Profit tells a story.
Cash flow tells the truth.

Make 2025 your best year yet:

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