Most MSPs watch cash in the bank and miss what's actually killing them. Without standardized financial statements and a normalized chart of accounts, you can't benchmark against peers or see your real problems. Cash alone tells you almost nothing.
There are so many MSPs that are— they fly blind to this day. The biggest indication is how much cash is in the bank as to whether or not they're doing well. That was David's. Yep. How much cash is in the bank? Yeah, it's like, okay, well, we got cash, we're good. It's like, well, we don't have cash. What happened? It's like, we got to back way up before that to understand why that's the case and getting the numbers right. It's the scoreboard. The finances are the scoreboard and they're the language of business. And so if you don't have your financials right, Well, you got some problems. And bonus, there's methodology for this across the industry. There's a normalized chart of accounts for MSPs, for instance, that you can use. And that way your numbers look like everybody else's so you can be benchmarked and all of those kind of things. And a lot of folks are missing that piece.
