In this guide
Educational guide. All numerical examples are hypothetical; adapt the ideas to your own circumstances.
Five things to check
Mixing household and business spending; pricing without counting all costs; treating unpaid invoices as available cash; ignoring taxes and records; and expanding before understanding demand can weaken a business.
Put a simple control in place
Keep a daily record of receipts and payments. Compare a weekly forecast with actual cash. Before a new expense, ask whether there will still be enough money for suppliers and essential obligations.
Put it into practice
Check one product or service
List the costs needed to make and deliver one sale, including packaging, transport and a share of recurring costs. Compare these with the selling price. Separately, list when the customer pays and when suppliers need payment.
Key takeaways
- A sale can be profitable while cash is still unavailable.
- Include overlooked costs in pricing decisions.
- Plan payment timing before expanding.
Sources & further reading
- US Small Business Administration — Managing business finances ↗
- US Small Business Administration — Separating business and personal finances ↗
These sources explain general principles. International sources may describe rules and products specific to their countries; those details are not Zimbabwean guidance. Examples on this page are illustrative, not current economic data.
Money with Elisha provides financial education for general informational purposes only. Content is not personalised financial, investment, legal or tax advice. Investments involve risk, and returns are not guaranteed. Consider your circumstances and consult an appropriately qualified professional where necessary.