Successful businesses are able to turn cash into assets that generate revenue. The shorter the number of days between asset acquisition and revenue, the more cash the business has. In the digital business, the assets purchased or developed are in digital form and often non touchable. The digital business is unique in that unlike its product business counterpart, the cash generated during the cash development cycle could keep generating cash
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Achieving financial freedom: Part 9 -Extended cash flow cycle
[caption id="" align="alignnone" width="576"] Cash flow cycle[/caption]
In a lifestyle business a cash flow cycle, the cash flow cycle is the flow of cash that begins with payment for assets and ends with receipt of cash on those assets. The shorter the number of days in this cycle, the more cash the business has. The cash flow cycle is sometimes referred to as cash conversion cycle as it
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