Should the cash flow drag make me turn work away?

Hi Aunty B,


I have won a tender, which then doubled in size! But while that is great news, and we are thrilled to have this vote of confidence and a major new client, I don’t have the resources and it will kill my cash flow.

I know I should turn it down but it’s a chance in a lifetime to land this big client and it is exactly the direction we want to take. My heart says yes and my head says no.

Should I go for it?

Nick Sinclair,




Look, I know it’s Monday and I feel a bit grumpy being inside on a sunny winter’s day in Melbourne, but really – what a question!


What’s the matter with you? Of course you should go for it!


First, can you really not scale up for this? You can’t ask for half the payment upfront so you could bring in some contractors? Of course you can.


Why not approach a contractor or competitor and subcontract out the work for a percentage off the top? That way you still control the quality of the job and form a relationship with the client.


How about going to the local colleges and offering to take a few of their graduates for a month or so over their holidays to help out? (They are ALWAYS on holidays.)


What about dragging in family or friends to do some of your chores while you run this project?


How about moving on a few pesky clients so you can focus on this? Look at your least profitable and most demanding clients and sack them.


Secondly, you are all arse about. Why on earth are you considering these “growth questions” now?

Close your eyes and imagine your business in two years time. Now work out how you are going to get there. Who will you recruit, how will they be managed? What IT systems will you need?

How will you fund the growth?


Puts this little problem in perspective doesn’t it?


Go for it!


What are you waiting for? Email your questions, problems and issues to [email protected] right now!



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