The Silent Killer in SMBs: Revenue Up, Cash Down

They hit their revenue target but nearly went bankrupt. The timing trap nobody talks about: Revenue ≠ Cash. Most founders celebrate hitting numbers. But timing kills more businesses than bad products. Your business model hides timing risks that won't show up on a P&L until it's too late. Here's what to watch: → SaaS/Subscription: - Annual contracts = big ARR. But cash arrives monthly while you pay sales commissions upfront. → Services/Agency: - Invoice on completion = revenue recognized. Cash arrives###-###-#### days later while payroll hits every 2 weeks. → Product/Inventory: - Strong sales = healthy margins. But you paid suppliers 90 days ago and customers pay in 45. → High-growth mode: Every new customer = more revenue. But scaling burns cash faster than invoices convert. The pattern? Your revenue timeline and cash timeline are different. Miss that gap and growth becomes a death spiral. One check you can do today: Map your average Days Sales Outstanding (DSO) against your average Days Payable Outstanding (DPO). If DSO > DPO, you're funding growth out of pocket. Cash flow isn't a finance problem. It's a survival problem. What timing trap have you seen catch founders off guard?