Let’s look now at an overview of the book to see how it can help you develop that most basic of business survival and success skills, cashflowability.

PART ONE: THE ABCS OF CASH FLOW. Following this introductory chapter, we discuss the language and concepts behind cash-flow thinking, including a preliminary sketch of each of the cash drivers and how it is measured. Chapter 3 explains a few of the basic accounting concepts and mechanics you will need to apply the cash drivers to your business. Finally, Chapter 4 focuses on the structuring of cash-flow statements and their relationship to balance sheets and the income statement. The chapter includes a discussion of the relationship between cash flow and more traditional ratios analysis in terms of profitability, efficiency, liquidity and leverage.

PART TWO: THE SEVEN CASH DRIVERS. The drivers appear in descending order of importance to your business. Sales growth is the lead-off driver, both because of its typically greater significance and because of some specialized topics affecting sales growth that warrant special attention before moving on to consideration of gross margin. Gross margin, the subject of Chapter 6, is what remains after deducting the cost of production, cost of product acquisition or cost of sales from total revenue. It has both a cost side and a price side, and both will be discussed in depth from a cash-flow viewpoint.

Taken From : Cash Rules