Kristen&Tom.jpg Continued growth is CSC Insurance's policy CSC Insurance has 35 employees and has been in business for more than four decades. CSC Insurance endured a two-month shutdown in the spring. A second-generation insurance pro, Tom Svrcek was accustomed to face-to-face interaction with clients. Then he and his staff, and the rest of America, came face to face with the coronavirus pandemic in early 2020. After enduring a two-month shutdown in the spring, Svrcek, chief executive officer of CSC Insurance Options, wanted to ensure the well being of the agency he had nurtured more than four decades, as well as his 35 employees and those they serve. So he implemented safety measures – “insurance coverage” in the truest sense. Clients were not allowed to enter his Rostraver Township building. Workers with family health best site concerns had the option of doing their jobs at home. Staffers got business cell phones.


However, these are all balance sheet accounts that do not immediately affect the income statement. Therefore, they have no impact on profitability. It is absolutely possible for a business to be profitable and be hemorrhaging cash at the same time. The fact that you never seem to have cash and haven’t been able to pay down the balance on your loan indicates that you may have cash flow issues. We suggest that you ask your accountant to analyze your monthly cash flow over the past couple of years. It is possible that your cash is being spent to grow assets. If this isn’t the case, we suggest that you have an independent third party do a thorough check for embezzlement. We’ve seen thieves pull amazing stunts to make the books look right on the surface while they siphon cash out of the business. It is possible to have a profitable business and even have a positive cash flow, but not be getting a good return on investment, or ROI. You initially funded your enterprise with a $150,000 investment (we’re assuming that you didn’t put any other cash into your business). Let’s assume your annual profit is $1,500 and that this is also your cash flow.


Post Navigation