Scoreboard - Cash Flow Metric

The biggest cash flow variable for a contractor is their projects.

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Cash flow is a critical scoreboard metric for contractors.

Scoreboard: Project Cash Metrics for Work-In-Progress (WIP)

While there are other factors that can impact cash flow at the company level, such as debt service or lack of overall company profitability, the metric track is still typically at the project level.  

This simple metric lets you know if you are either:

  • Financing the projects to some degree if the score is less than 1, or
  • In a positive cash flow position if the score is greater than 1

This metric is explained in more detail here.

  • Where is your current cash flow?  
  • Where has it been trending?  

18 tips for improving your cash flow.




Cash Flow Tip 13 - Projecting Cash Flow and Driving Awareness
Projecting Cash Flow drives awareness, learning, actions and, ultimately, improved cash flow.
Cash Flow Explained
Contractors run on very thin profit margins however cash flow is even more important for sustainable growth. Poor cash flow is a primary reason for contractors failing or their profitable growth being seriously constrained.
Competitive Advantage
A contractor’s market strategy is the most highly leveraged decision leadership can make. Getting this right then executing effectively can easily have a 2X+ positive impact on earnings over the next 5 years.