Here's how you can overcome the key financial challenges as an entrepreneur.

Remember this formula: cash, inventory, accounts receivables, REPEAT cash, inventory, account receivables… this is the money flow cycle…Use cash, to buy inventory, and collect your account receivables, repeat, take that CASH, buy more Inventory, and collect account receivables, REPEAT!

Not cash flow, but 'goodwill' is the lifeblood of a business. Cash flow is an outcome. Now goodwill can be generated through sincerity, integrity, consistency and better quality. Establishing this may take some time, but, it works wonders.

Remember this high overhead costs KILLS business, and FAKING IT delays the inevitable. Either use differentiation in your prices, or customize and perfect one strategy.

One must make different time horizon and risk adjusted investment buckets. Some investments that are less risky and more liquid and some that are slightly less liquid, longer term and have possible higher earning potential. Deploying all money to a single purpose may be fine in rare cases. Generally better to use funds with frugality and always focus on better quality buys. Budgeting activity needs to be revised and close tracking of investments is required in some cases. If your projects timeline and milestones are clear then it will help greatly in financial planning.

We see so many businesses constantly working to increase turnover, yet they end up making very little extra profit. There are obviously a number of reasons why this is the case, but the main one we come across is that they spend more because they have more. I like the analogy of it being like a tube of toothpaste, when you have a full tube you tend to use more. I encourage our clients to separate various types of expenses and savings into different bank accounts, leaving only the bare minimum in what we call the trading bank account. This makes them become more cost conscious and look for ways to reduce wastage and become more efficient. That way there's more profit and more available for dividends or reinvestment!

As an entrepreneur I feel that we can have more satisfaction by investing maximum in: 1. Building meaningful relationships with clients, team-members and vendors. 2. Processes. Internal as well as external. Create your own benchmarks. Don't just copy-paste the industry standards. Someone is already breaking those barriers. Be that someone. 3. Diversifying business accross products and markets. This reduces risk. 4. Arrive at suitable segmentation in your market and create focused strategies to penetrate that market/group. 5. Compensate everyone adequately from day 1 and and sync this with revenues and profits. Make rewards programs so that there is light at the end of the tunnel &/or plan profit-sharing to reward trust & loyalty.