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Cash Flow Management Tips for Fort Myers Businesses

  • Writer: Aashir Abbas
    Aashir Abbas
  • Sep 15
  • 2 min read
Cash Flow Management Tips for Fort Myers Businesses

Cash flow is one of the most critical measures of a business’s health. Even profitable companies can run into trouble if money isn’t flowing in and out smoothly. In Fort Myers, where industries like construction, healthcare, and real estate are common, managing seasonal and cyclical cash flow challenges is especially important.

At MarkhamNorton, we’ve helped businesses of all sizes build strong cash flow systems that support stability and growth. Here’s what every Southwest Florida business owner needs to know.


Why Cash Flow Matters

Cash flow represents the money moving in and out of your business. Unlike profitability, which looks at long-term earnings, cash flow shows whether you have enough liquidity to pay bills, payroll, and expenses today. Poor cash flow is one of the leading causes of small business failure.


1. Invoice Promptly and Follow Up on Payments

  • Send invoices as soon as work is complete.

  • Automate reminders for overdue invoices.

  • Offer incentives for early payment (e.g., 2% discount for payment within 10 days).


2. Forecast Seasonal Highs and Lows

  • Construction firms often face lulls between projects.

  • Retail businesses in Florida may peak during tourist season.

  • Use a rolling 12-month forecast to anticipate slow periods.


3. Negotiate Vendor and Supplier Terms

  • Ask for 30–60 day terms to keep more cash in the business.

  • Compare vendor contracts annually to find savings.


4. Build and Protect Cash Reserves

  • Aim for at least 3 months of operating expenses in reserve.

  • Keep reserves separate from daily operating accounts.


5. Work Closely With a CPA

  • CPAs track trends, identify red flags, and recommend adjustments.

  • They can help secure financing if additional capital is needed.


FAQ

Q: How is cash flow different from profit?A: Profit looks at revenue minus expenses, while cash flow measures actual money movement. You can be profitable but still run out of cash.

Q: How often should I review my cash flow?A: Monthly at minimum, but weekly reviews are best for businesses with high transaction volume.


Don’t let cash flow problems hold your business back. Partner with MarkhamNorton CPAs in Fort Myers to build stronger financial systems and achieve long-term stability.



 
 
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