Increasing Cash, Profit and Value with Joss Milner

​If nurturing Fortune 100 businesses to transform humanity from Fear Consciousness to Love Consciousness for people to Have It All is our big hairy audacious goal, then Financial Mastery to increase cash, profit and value of our businesses is a learning milestone on our Good to Great journey. And, we want to get to that milestone sooner than later.

Financial acumen is important in creating an effective business strategy. One of my favourite examples is how Michael Dell changed his business strategy through better understanding of his financial model to not only avoid bankruptcy but also propel Dell to become a highly successful and profitable enterprise.

Dell adopted a direct-to-consumer sales strategy, requiring customers to pay upfront for their computers. This customer-funded business model allowed Dell to operate with negative working capital, effectively financing the company's growth through customer payments rather than relying heavily on external funding.

I am happy and grateful to share that we have a new partner on our Good to Great Journey to get us to the learning milestone of Financial Expertise, which will enable us to lead our businesses to be Fortune 100 with greater clarity, confidence and courage - Joss Milner, CEO and Co-founder of Cash Flow Story. 

They are Scaling-up partners for the Cash component of the Scaling-up methodology. I feel, as a community, we are ready to learn and become experts of Cash, Profit, Value and everything Finance to step up our game.

Joss will be leading a session for us as a way to initiate us on the Finance Learning Expedition as part of our RYD Community EXPAND Event on 11-Apr-25 Friday 5:23 to 8:23 am IST.

Joss Milner has dedicated his working life to producing software that helps businesses understand their numbers and improve their performance. Everything Joss has developed has had one common theme – help businesses improve performance by improving their profit, cash and value.

​As co-founder of Inmatrix (known as Optimist software and ProfitOptimiser) in 1998, Joss and the Inmatrix team took Optimist to the world with banking and accounting users in over 50 countries.
 
In 2014, Joss co-founded Cash Flow Story which is today used by thousands of advisors and businesses in 97 countries around the world.

Joss is a Chartered Accountant and is also an experienced Business Mentor. Joss has mentored over 200 companies and has shares in a number of software companies.
 
Joss is the author of the Cash section of the global best-selling book by Verne Harnish - Scaling Up.

Learning Finance needn't be boring or difficult, as Joss will make it fun and easy for us. Sharing below an interesting case study from him for you to read and reflect on before our session with him on 11-Apr-25. 

You can Be, Do and Have whatever you intend and dream. Believe it till you create it 💜

Loving you,
j.

Milok Proprietary Limited 
Case Study

Milok Pty Ltd was founded in 2010 by George Milok who was a hairdresser by trade. He was unhappy with the quality of various shampoos and conditioners and saw a gap in the market for organic products. The market for professional hair care products is about $300 million. Milok has 5 major competitors in the market, representing about $250 million of the market.
 
He started manufacturing locally, but when volumes grew, he started to source from China and import.  In 2015 he purchased a warehouse, where he stores, and distributes his range of 200 products. Staff of 55, of which 40 are based at the warehouse. The balance of the team are sales people who are geographically spread.
 
His distribution channel includes hairdressers, beauty salons, pharmacies. The business has 300 customers. Approximately 20% of his customers represent 70% of his revenue.   Recently the company created an online presence by developing an online shop with the idea of selling direct to consumers. This strategy has not been well received by Milok’s existing customers.
 
Milok has debt with a Tier One Bank. His banking relationship is sound and as far as the Company knows, their bank is happy with their numbers. 
 
Milok’s strengths are in product innovation and sales. Whilst business has been going very well, he wants to Scale Up his business and is aiming to exit in 3 years for $40 million. Recently, Milok has created a board consisting of 5 senior managers of the company and two external advisors.
 
Below is the extract of the Financial Report for the January 2025 board meeting, prepared by the CFO.

Milok Proprietary Limited 
Financial Board Report
January 2025 Board Meeting

Profit & Loss Statement

​Balance Sheet