Why Cash Flow Breaks Down

In our work with Plantation businesses, the most common cash flow issues include:

• Invoicing delays — waiting days or weeks to bill clients
• Overcomplicated approval processes that slow collections
• Errors in billing that result in credits or disputes
• Month-end closes that drag on, leaving no real-time visibility

Cash flow gets stuck not because the sales aren’t there, but because the systems don’t release the cash fast enough.

Why Traditional CFOs Don’t Fix It

Traditional CFO services track KPIs like Days Sales Outstanding, but they often stop there. They measure the problem without eliminating it. As we covered in Blog 1, reporting isn’t enough if the processes stay broken.

How CFO 2.0 Accelerates Cash Flow

Polaris CFO 2.0 combines finance and Lean Six Sigma to fix the root causes:

• Faster invoicing: Streamlined hand-offs and automated reminders
• Simpler approvals: Cutting out unnecessary steps to get invoices out quicker
• Error-proof billing: Standardized templates and checks that reduce disputes
• Shorter closes: Daily mini-closes and reconciliations for real-time cash visibility

The result? More cash in the bank, faster.

Plantation Business Examples

• A service company cut DSO from 45 days to 28 days, freeing up $120k in working capital
• A contractor standardized billing, eliminating 80% of disputed invoices
• A healthcare group reduced month-end close from 14 days to 6 days, improving decision-making speed

How This Fits with KPIs and Lean Six Sigma

Cash flow touches everything — from margins to efficiency. CFO 2.0 ties it directly into:

• Lean Six Sigma discipline that eliminates waste and defects
• KPI dashboards that track improvements in DSO, operating cash flow, and rework %
• Continuous improvement cycles that ensure gains stick

Next Steps

Cash flow issues won’t fix themselves. If you’re a Plantation business owner tired of waiting for payments, it’s time to bring in CFO 2.0.