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Don’t be fooled by cash flow: Tokyo Tempura founder Jorge Wieneke shares key to success

By Eileen Mencias

Always keep an eye on the bottom line.

This is the advice of Potato Corner co-founder and Tokyo Tempura founder Jorge Noel Wieneke to entrepreneurs who may be lulled into complacency by a strong cash flow.

Wieneke recently hosted fellow entrepreneurs and served as a sounding board for their frustrations.

During the gathering, Wieneke observed that “one lesson stood out—a fundamental truth that often gets forgotten in the hustle and bustle of business: the sales of your company are not entirely yours to claim.”

Payment to suppliers, employees, utilities, rent, and taxes will have to be set aside. Whatever is left is the net profit that the entrepreneur can lay claim to.

“While cash flow is undeniably important for keeping the wheels of your business turning, it’s your net profit that ultimately determines your success,” Wieneke explained.

“Cash flow-oriented thinking can sometimes be a trap, leading you to prioritize short-term gains over long-term sustainability. By shifting your focus to net profits, you can ensure that your business remains profitable and resilient in the face of challenges,” he said.

While a huge cash flow builds confidence, it is important to remain grounded by looking at the bottom line, as it will provide direction and help entrepreneurs navigate the ups and downs of the business and ensure sustainable profitability.

“In the ever-evolving landscape of entrepreneurship, it’s easy to get caught up in the whirlwind of activity, losing sight of the bigger picture,” Wieneke said.

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