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Cash Flow

A quiet month was visible three months earlier

Gaps in income are almost always preceded by gaps in the pipeline, and the delay between the two is what makes them look like sudden bad luck.

By Hannah Whitfield3 min read

Businesswoman in retro office attire on phone call with typewriter, papers on desk.
Photograph by MART PRODUCTION via Pexels
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The delay that hides the cause

Work arrives through a sequence: somebody makes contact, a conversation happens, a quote is sent, a decision is taken, the work is scheduled, delivered and eventually paid. Each stage takes time, and the total from first contact to money in the account is longer than most people estimate.

That delay means the cause of a quiet month isn’t in that month. It is in whatever was or was not happening at the start of the cycle, several weeks or several months earlier, and by the time the effect appears the cause has been forgotten.

The trap sits inside a busy period

When the diary is full, selling feels unnecessary and slightly absurd. There is no capacity anyway, the work is there, and the hours available go to delivery because delivery is what is due.

So the top of the pipeline empties while the bottom of it is producing well. Nothing appears wrong for as long as the current work lasts. Then the work finishes, and there is a stretch with nothing behind it, which will itself last as long as the sales cycle takes to refill.

This is the sawtooth that so many independent businesses describe: too busy, then too quiet, then too busy. It is not caused by an erratic market. It’s caused by selling and delivering being done in alternation by the same person.

Measure your own cycle length

The number that makes this manageable is the typical time from first contact to accepted work, and it’s specific to your trade and your clients. Some work is commissioned within a week. Some takes several months, particularly where the client has to obtain approval from somebody else.

Once you know it, the current pipeline becomes a forecast rather than a hope. Enquiries this month determine income roughly that far ahead, which means a thin patch of enquiries is an early warning with enough lead time to act on.

Recording it takes almost nothing: the date of first contact and the date work was agreed, on each job. After a dozen jobs the pattern is clear enough to use.

Keep something running during the busy weeks

The fix is not a marketing campaign in the quiet month, which arrives too late by exactly the length of the cycle. It is a small amount of sustained activity that continues regardless of how busy the delivery is.

What that consists of varies. Following up past clients, replying properly to enquiries you cannot currently serve, keeping visible where your buyers look, asking for introductions when a job goes well. The particular activity matters less than that it never stops entirely.

An hour or two a week, protected the way a client appointment is protected, is usually enough to prevent the sawtooth. It is also the first thing dropped, which is why saying it plainly is worth the space.

Seasonality is a schedule, not a surprise

Most trades have a shape to the year. Certain months are reliably slow, others are compressed, and holidays interrupt decision-making for weeks at a time in ways that are entirely predictable once you have seen a couple of cycles.

Recording what actually happened each month, year by year, turns that into a planning input. A month known to be slow is a month to schedule maintenance, development work, or a break, and a month known to be compressed is one to protect from anything optional.

What causes trouble is treating a predictable quiet period as a crisis each time it arrives. The cash position is the part that needs preparing, and preparing it is straightforward when the date is known in advance.

When the pipeline is thin and the cycle is long

There is a limit to what can be done inside the delay. If your sales cycle runs to months and the pipeline is empty, no amount of activity produces revenue next week, and pretending otherwise leads to bad decisions — accepting poor work, cutting prices, taking on a client who was declined for good reasons.

The honest responses are the unglamorous ones: reduce what is going out, use the buffer that exists for exactly this, and take the opportunity to do the work on the business that the busy period displaced. Then restart the pipeline, understanding that the results appear on the other side of the cycle rather than immediately.

It is worth writing down what the quiet stretch cost, while it’s fresh. The figure gives the weekly selling habit something concrete to defend it, which is otherwise hard to justify against work that is due on Friday. Nobody protects an hour a week on principle for very long. They protect it once they have seen what its absence produced.

Cash Flowcashflowpipelineseasonalityplanning
Hannah Whitfield
Senior writer, Biz Wealth Focus

Hannah covers starting out, pricing, cash flow and the questions readers actually send in and prefers a plain explanation to a clever one.