Clear Quote by Thomas Sowell
“Money goes out first to pay expenses and then comes back as profits later - if at all. The high rate of failure of new businesses makes painfully clear that there is nothing inevitable about the money coming back.”
About This Quote
Cash flow prioritizes expenses before profit; business success isn’t guaranteed, emphasizing risk and financial discipline.
In simple terms: Money must cover costs before profit appears.
Key Takeaway
Plan for expenses before expecting profit.
Themes
finance
entrepreneurship
risk management
Mood
pragmatic
analytical
Type
educational
inspirational
When to use this quote
- startup budgeting
- cash flow planning
- investment decisions
- profit forecasting
Key Concepts
economics
business strategy
Questions to Reflect On
- How do you prioritize cash flow?
- What strategies mitigate profit uncertainty?
A Different Perspective
Unexpected expenses can derail plans.
![“We have no clear ideas of the agency of [demonic] spirits, nor is it necessary. The Scripture says little to satisfy our curiosity; but tells us plainly that he is always watching us, and desiring to sift us as wheat. I believe we give him no more than his due, when we charge him with having a…” quote by John Newton](https://sms4smile.com/quotes/img-quotes/c75/john-newton-6629_abundance_we-have-no-clear-ideas-of-the-agency-of_2907.jpg)
