Strategy Meets Finance
Welcome to Strategy Meets Finance, the podcast for business owners and entrepreneurs who want to start, grow, and run a business that lasts.
Most business owners struggle because they treat strategy and finance as separate. But without a clear strategy, your finances won’t support long-term growth. And without strong financial planning, even the best business ideas fall flat.
On this show, we bring both sides together—so you can grow your business with confidence, improve cash flow, increase profit, and make better decisions.
Hosted by Steve Coughran, a former CFO and founder of Coltivar, each episode shares simple tools, real examples, and practical advice from working with companies of all different sizes. You’ll learn how to set smart goals, fix money leaks, build stronger teams, and create lasting value.
Strategy Meets Finance
The Difference Between Making a Profit and Making Money | Ep 263
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Know your numbers, fix your cash flow, and build a business that works for you. Schedule a call with us.
Most business owners look at the bottom of their income statement, see a profit, and assume the business is doing well. That number ignores one of the biggest costs in the business: invested capital.
In this episode Steve breaks down the difference between accounting profit and economic profit, why invested capital changes the whole picture, and how looking only at the P&L can lead you to reward the wrong things. He also shares what showed up when he mapped economic profit across hundreds of construction companies, and what that means if you're in the majority.
If your bonuses, growth decisions, and KPIs only look at the P&L, this one will change what you measure.
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Disclaimer:
The views expressed here are those of the individual Coltivar Group, LLC (“Coltivar”) personnel quoted and are not the views of Coltivar or its affiliates. Certain information contained in here has been obtained from third-party sources. While taken from sources believed to be reliable, Coltivar has not independently verified such information and makes no representations about the enduring accuracy of the information or its appropriateness for a given situation.
This content is provided for informational purposes only, and should not be relied upon as legal, business, investment, or tax advice. You should consult your own advisers as to those matters. References to any securities or digital assets are for illustrative purposes only, and do not constitute an investment recommendation or offer to provide investment advisory services. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendations. The Company is not affiliated with, nor does it receive compensation from, any specific security. Please see https://www.coltivar.com/privacy-policy-and-terms-of-use for additional important information.
