Cash Flow vs. Profit: Why Lenders Decline Profitable Businesses

Strong profits don’t always mean a business is ready for financing. Lenders look beyond the bottom line to understand how well a business generates and manages cash. This presentation will help small business owners understand why lenders focus on **cash flow—not just profitability—**when making financing decisions.
Attendees will learn practical strategies to improve cash flow, strengthen their financing position, and support their business goals at every stage—from startup and growth to eventual exit.
In this workshop, you’ll learn:

• The difference between profit and cash flow
• Why lenders prioritize cash flow when making credit decisions
• Key metrics lenders use, including Debt Service Coverage Ratio (DSCR)
• How accounts receivable, inventory, investments, and existing debt can impact financing
• Common cash flow challenges that can affect loan eligibility
• Practical strategies to improve cash flow and strengthen future loan requests

Walk away with a better understanding of what lenders look for and actionable strategies to improve your business’s financial readiness.

**Register here: https://www.score.org/ut/utah/business-education/cash-flow-vs-profit-why-lenders-decline-profitable-businesses/**