Hope You Didn’t Need That Cash This Week

As we wrap up another month, AR (receivables) should be top of mind as a new business owner/leader! Let’s discuss why today!

When you step into a new leadership or financial role, you’re juggling strategy, operations, and people, but one thing that quietly makes or breaks cash flow? Receivables.

Accounts Receivable (AR) is often misunderstood by new business owners and junior finance hires. It seems like a “back office” task, but in reality, it’s front and center to your company’s liquidity, growth, and ability to operate smoothly.

So if you're new to managing receivables, here’s what you really need to know that’s helped me lead global organizations to success over the years:

1. AR Is Earned, But Not Collected — Yet: Just because an invoice is out doesn’t mean the money is in. That’s the fundamental gap AR creates. It’s the difference between what you’ve earned and what you’ve actually received. Managing that gap is your responsibility now and you should be overly proactive in addressing issues and making sure payments are timely.

2. You Need a System from Day One: Don’t wait for overdue invoices to start tracking or uncovering issues. Set up a simple dashboard that shows:

• Customer name

• Invoice date

• Due date

• Amount owed

• Status (Paid, Pending, Overdue) I’d move paid to another tab. Even a spreadsheet works if it’s updated daily/weekly. Many teams miss this early and get buried in unpaid invoices later.

3. Your Terms Matter More Than You Think: New leaders often inherit chaotic terms such as Net 10 here, Net 45 there, and no standard late fee policy. If you don’t think late fees can make a difference, think again. Pick one set of terms, publish it on all quotes and invoices, and stick to it. This creates predictability for both you and your clients. A very common one is Net 30.

4. Follow-Ups Are a Leadership Skill: New accountants and business leaders sometimes hesitate to chase payments. But remember: following up isn’t nagging, but it’s protecting the business. Build a polite but firm reminder cadence. (7, 14, and 30-day intervals are a great start.)

5. AR Tells a Story — Learn to Read It: Look for patterns. Are certain clients always late? Are your net terms too generous? Do you have revenue but no cash? The AR report can become one of your sharpest tools for decision-making as long as you pay attention.

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These Are The Skills That Could Actually Build You Wealth

“Almost no one in the history of the Forbes list has gotten there with a salary. You get rich by owning things.” – Sam Altman

The future he’s building won’t reward budgeting hacks… It’ll reward ownership.

That’s why we created Main Street Millionaire Live, a 3-day virtual event designed to teach the “ownership stack”:

• Sept. 19th: Deal Sourcing

• Sept. 20th: Financing & Negotiation

• Sept. 21st: Ownership & Scaling

Whether you’re in a W-2, looking to buy your first business, or already own one, this event gives you the tools, tactics, and network to accelerate your path (at a very low cost). Plus, you’ll get $1k+ worth of digital products, just for showing up.

Most people coast into the end of the year. Owners play offense. The only question is: how will you spend yours?

Grab Your Ticket Here

NEW FOR 2025!

I have a high focus helping other vets out there and want you all to succeed, so I created this Skool group below called the Profit Platoon. Would love to have you there!

Contact me if you’d like to network or partner together. I’d love to chat with you more about the services I offer on the side through Guernsey Consulting. If you do not know, I work full time in Treasury Management and do consulting on the side. Would love to chat or network with you about it.

Some of those services are listed below that we can help you with!