Unveiling the Deceptive Cash Balances: The Story of a Wedding Venue in Crisis

I never tire of telling this to people. I know lots of people that have got good cash balances in their business, but they’re not making money because maybe they’re getting paid in advance. Maybe they’re getting deposits for future sales. Yeah, whatever it is. And I love telling the story of the wedding venue, and I probably. You probably heard me say this 100 times, but it’s worth quickly reminding. I helped a wedding venue. They always had half a million pounds in the bank. Coronavirus turned up and people stop paying them deposits and their cash just dwindled. And people wanted their deposits back because coronavirus forced them to stop weddings and then all of a sudden had a real cash crunch as like, oh, we’re not actually making any money. The reason we got so much in the bank is cause it’s cash for future sales.