
Pyaar ki ‘Cash’ti mein…
In the corporate world, many businesses chase revenue growth, market share, or valuation as key indicators of success. While these metrics are essential, they often overshadow the most fundamental measure of financial health—cash.
As the seasoned adage goes, “Revenue is vanity, profit is sanity, but cash is reality.”
Yet, despite this, businesses frequently lose sight of cash. Over-reliance on profitability metrics, aggressive expansion strategies, and investor-driven valuation games can lead even well-established companies to liquidity crises. History is littered with examples of once-thriving businesses that failed, not because they were unprofitable, but because they ran out of cash.
A CFO, in these circumstances, plays a primary role to bring cash back to the centre of strategic discussions.
This write-up explores why cash is the final yardstick of business success, how businesses lose focus on it, and what CFOs can do to ensure cash remains a strategic priority.