Q1 | 2026: Let's talk cash flow.
In lieu of our usual Trend Tuesday email, welcome to your first Quarterly Deep Dive. This is where we workshop a topic together: the research, a resource and everything you need to tackle it in the morning with a cup of coffee (or two).
This quarter's topic is the one I get asked about more than anything else: cash flow.
Let's GO.
#1 Reason why businesses fail: CASH FLOW
TLDR: 82% of small business failures are a cash flow problem, not a profitability problem. The average small business carries less than 27 days of cash on hand. That's less than a month, people.
You can have a full client roster, strong revenue, and a growing team -- and still stress about making payroll at the beginning of the month.
The root causes are almost always the same:
Late payments from clients create a ripple effect across every other obligation.
Money goes out before revenue catches up -- inventory, payroll, overhead.
Growth itself -- scaling faster than your cash position can support -- is how thriving businesses end up in crisis.
43% of small businesses consider cash flow a problem, and 74% say it has gotten worse or stayed the same over the last year.
Copy to your own Google Drive or download as Excel to get started.
The method: This workbook is your hands-on tool for getting a clear, honest picture of your cash position. Three tabs. Work through them in order. Each one builds on the last. By the end, you'll have a complete picture of where your cash actually stands.
Tab 1: Cash Flow Forecaster -- Enter your cash on hand today, then every inflow and outflow with the date each one lands. Your projected ending balance and a timing flag calculate automatically.
Tab 2: Runway Calculator -- Tells you exactly how many days your business can run if revenue stopped tomorrow.
Tab 3: Tight Cash Checklist -- If your runway number made you uncomfortable, start here. A quick list to stabilize cash flow today.
KEY RESOURCES:
QuickBooks Cash Flow Planner -- Already in QB? The Essentials plan pulls from your actual bank transactions.
The Complete Small Business Cash Flow Guide (2026) -- A thorough breakdown of forecasting, common mistakes, and when to bring in professional support.
SCORE: The #1 Reason Small Businesses Fail -- Free resource from the organization that advises millions of small business owners. Worth bookmarking.
If you’re still feeling stuck, shoot me a note by replying directly.
Cheers to better cash flow, JDP
Thank you to our founding members who showed up first. Click on their names to learn more about them and / or their businesses.
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