Management accounting that keeps your company's money under control

Looking at your quarterly P&L.

Revenue is indeed up +14%. But net profit fell −22%. Three reasons:

• Payroll +38% — you hired two people in May; accruals started, but their output hasn’t caught up yet.
• COGS +19% — materials were bought at higher prices and in bulk: $14k is frozen in inventory.
• Receivables grew to $38k — clients are simply late paying for work you’ve already done.

Critical for cash, not for profit.

The payment calendar shows a cash gap of ≈ $7k in 8 days: payroll and a supplier advance are due on the 12th, while two large client payments are stuck.

Good news — the gap closes without a loan. Of the $38k in receivables, $21k is already overdue across three counterparties. Collect even half of it and there is no gap.

I suggest three steps:

1. I’ll assign your manager Alena a “Call the debtors” task — with the list of 3 counterparties, amounts and overdue terms, and message her on Telegram.
2. I’ll send the $5.4k supplier payment to you for approval — we’ll hold it until client money arrives so the balance stays positive.
3. I’ll pause the automatic materials purchase — current stock covers 6 weeks.

Shall I proceed?

Done.

I’ll check the payments in 3 days and message you myself.