Cash flow state of mind

Cash Is Your Transformation Lever — Not Just a Safety Net

Too many CEOs and CFOs still see cash as a defensive tool. A buffer to get through hard times, survive a crisis, or “hold on” until the situation improves.

But companies that perform over time know better: Cash is a strategic asset. It’s what fuels acceleration, transformation, and bold moves.

So here’s the key question: Is your company truly cash-driven—or just cash-aware?

Shift Your Mindset: Cash Is your ultimate weapon

Cash isn’t what’s left at the end. It’s what lets you start earlier, act faster, and go further.

It gives leaders the freedom to:

• Invest in long-term growth
• Pivot when market signals shift
• Seize opportunities before competitors do

Some companies get it. Others pay the price.

Several high-profile startups that had raised tens—or hundreds—of millions went under:

• Infarm (vertical farming) raised $200M in 2021 for its European expansion ; pulled out of key markets in 2023, laid off 500 people.
• Ynsect, an agritech innovator, repeatedly delayed the launch of its flagship factory. In early 2025, it entered court-ordered restructuring.
• Cubyn, a logistics platform, declared insolvent less than a year after raising €15M.

What went wrong? Poor resource allocation. Rapid cash burn. No flexibility to adjust course.

By contrast, Delair, a drone tech company, used its cash strategically to acquire Notilo Plus (a struggling underwater AI firm). A bold, opportunistic move—enabled by strong cash governance, a clear vision and the courage to execute it.

The winners of tomorrow aren't just those who raise the most. They’re the ones who smartly manage cash: available, mobilizable, strategy-aligned.

It’s Not Just About Having Cash—It’s About Using It Smartly

During uncertainty, many companies freeze budgets, delay hiring, or postpone strategic projects.

Short-term? Maybe necessary. But long-term? Risky. It paralyzes the business. It kills momentum. It discourages bold thinking.

Instead, leaders should generate cash to drive transformation. Here’s how:

• Unlock working capital, beyond supplier negotiations. Improve end-to-end cycles (order-to-cash, procure-to-pay).
• Cut or reallocate CapEx not aligned with strategic priorities.
• Streamline the portfolio: sell what no longer differentiates, invest in what will.
• Rethink the revenue model to boost predictability and recurring income.

The golden rule: Cash should be managed by—and for—the strategy.

It’s not just a KPI. It’s a strategic resource.

Put Cash at the Core of Strategic Execution

If cash is to fuel transformation and expansion, it needs a seat at the strategy table. Too often, cash is managed reactively—technically, tactically, or in silos.

A best-in-class practice? Set up a regular meeting to manage this key topic with the CEO, CFO, and business leaders. Don't call it the CashCapEx Committee, go for a more creative and engaging name like the Green Room, the Flex Board or any other name.

This meeting:

• Activates cash levers across the business
• Aligns investment decisions with strategic priorities and tracks their execution
• Reviews trade-offs based on market dynamics
• Allocates part of the cash to long-term ROI bets: AI, digitization, M&A, training, premium positioning, etc.

Simple to implement. Powerful in impact. It puts cash at the heart of execution—as a tool for agility, acceleration, and differentiation.

🚀 In Summary

Cash isn’t just a cushion. It’s a strategic option.

It gives you not just the right, but the responsibility to invest, pivot, and transform.

Leaders who wait for the “perfect timing” often miss it. The ones who make cash a lever for action? They’re ready—when others slow down or freeze.

And You—Are You Cash-Driven?

• Do you treat cash as a cushion for tough times —or a strategic enabler?
• How often do you steer your cash generation and allocation ?
• Do you apply the same attention and discipline to track daily spending and manage long-term investments?

These questions resonate with your experience or your situation? You want to spread a cash flow state of mind in your company ? Maximise your cash generation and allocation ; Let's talk about it, feel free to add a comment or contact me.

Sust.ance Helping companies take their performance to the next level.