--- title: "Meaning & Key Takeaway of: Money goes out first to pay expenses and…" description: "\"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..." image: "https://sms4smile.com/quotes/i/fc7/thomas-sowell-247_clear_money-goes-out-first-to-pay-expenses-and_2842863.jpg" --- # Money goes out first to pay expenses and then comes back… ![“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.” quote by Thomas Sowell](https://sms4smile.com/quotes/i/fc7/thomas-sowell-247_clear_money-goes-out-first-to-pay-expenses-and_2842863.jpg) [Download](https://sms4smile.com/quotes/i/fc7/thomas-sowell-247_clear_money-goes-out-first-to-pay-expenses-and_2842863.jpg) [Open image](https://sms4smile.com/quotes/i/fc7/thomas-sowell-247_clear_money-goes-out-first-to-pay-expenses-and_2842863.jpg) > “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.” [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. 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. ★ ★ ★ ★ ★ No ratings yet [Clear](https://sms4smile.com/quotes/about/clear/) [Comes Profits](https://sms4smile.com/quotes/about/comes-profits-3737224/) [Coming back](https://sms4smile.com/quotes/about/coming-back/) [Customer](https://sms4smile.com/quotes/about/customer/) [Expenses](https://sms4smile.com/quotes/about/expenses/) [Firsts](https://sms4smile.com/quotes/about/firsts/) [Ifs](https://sms4smile.com/quotes/about/ifs/) [Inevitable](https://sms4smile.com/quotes/about/inevitable/) [Money](https://sms4smile.com/quotes/about/money/) [Money Coming](https://sms4smile.com/quotes/about/money-coming-1184092/) [Money Goes](https://sms4smile.com/quotes/about/money-goes-793615/) [New business](https://sms4smile.com/quotes/about/new-business/) [Pay](https://sms4smile.com/quotes/about/pay/) [Profit](https://sms4smile.com/quotes/about/profit/) [Profits](https://sms4smile.com/quotes/about/profits/) [Profits Later](https://sms4smile.com/quotes/about/profits-later-1763865/) [Rate](https://sms4smile.com/quotes/about/rate/) ## Related quotes > [Typically, we make money when we buy things. We count the profits later, but we know we have captured them when we buy the…](https://sms4smile.com/quotes/seth-klarman/typically-we-make-money-when-we-buy-things-we-count-the-profits-later/) [Seth Klarman](https://sms4smile.com/quotes/author/seth-klarman/) > [Having a company that's successful is a wonderful platform to do new things. You don't have to raise money for it; you can take…](https://sms4smile.com/quotes/kevin-systrom/having-a-company-that-s-successful-is-a-wonderful-platform-to-do-new/) [Kevin Systrom](https://sms4smile.com/quotes/author/kevin-systrom/) > [To the economically illiterate, if some company makes a million dollars in profit, this means that their products cost a million dollars more than…](https://sms4smile.com/quotes/thomas-sowell/to-the-economically-illiterate-if-some-company-makes-a-million/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [We will never get anywhere with our finances till we pass a law saying...every time we appropriate something, we...pass another bill...stating where the money…](https://sms4smile.com/quotes/will-rogers/we-will-never-get-anywhere-with-our-finances-till-we-pass-a-law/) [Will Rogers](https://sms4smile.com/quotes/author/will-rogers/) > [During the Eighties, when I was hurting for money, I thought, 'Hang on a minute - I can paint.' I was living in New…](https://sms4smile.com/quotes/ronnie-wood/during-the-eighties-when-i-was-hurting-for-money-i-thought-hang-on-a/) [Ronnie Wood](https://sms4smile.com/quotes/author/ronnie-wood/) > [If he got money, then I'm coming, if he got a job then ima be ballin, if he treat a girl right, then I'll…](https://sms4smile.com/quotes/anonymous/if-he-got-money-then-i-m-coming-if-he-got-a-job-then-ima-be-ballin-if/) [Anonymous](https://sms4smile.com/quotes/author/anonymous/) > [Quit being 'busy' and start actively owning and operating your company, and you'll be able to understand where the money is coming from and…](https://sms4smile.com/quotes/michael-gerber/quit-being-busy-and-start-actively-owning-and-operating-your-company/) [Michael Gerber](https://sms4smile.com/quotes/author/michael-gerber/) > [If you're going to be successful, you better have a goal, you better find really good people, better understand where all the money's coming…](https://sms4smile.com/quotes/rick-scott/if-you-re-going-to-be-successful-you-better-have-a-goal-you-better/) [Rick Scott](https://sms4smile.com/quotes/author/rick-scott/) > [The vast sums of money that are coming in at the top end of the game are stretching the rest of the sides to…](https://sms4smile.com/quotes/sam-allardyce/the-vast-sums-of-money-that-are-coming-in-at-the-top-end-of-the-game/) [Sam Allardyce](https://sms4smile.com/quotes/author/sam-allardyce/) > [Private planes on my jet way. A hundred joints in my ashtray. A couple grand to get just the hate. My money coming up…](https://sms4smile.com/quotes/wiz-khalifa/private-planes-on-my-jet-way-a-hundred-joints-in-my-ashtray-a-couple/) [Wiz Khalifa](https://sms4smile.com/quotes/author/wiz-khalifa/) > [“The soap opera was followed by a game show: money for nothing was coming back into fashion.”](https://sms4smile.com/quotes/zin-murphy/the-soap-opera-was-followed-by-a-game-show-money-for-nothing-was/) [Zin Murphy](https://sms4smile.com/quotes/author/zin-murphy/) > [You can become a star overnight, guys. You can be on the street walking one day, and you're on your way to the corner…](https://sms4smile.com/quotes/booker-t/you-can-become-a-star-overnight-guys-you-can-be-on-the-street-walking/) [Booker T](https://sms4smile.com/quotes/author/booker-t/) > [Money coming in says I've made the right marketing decisions](https://sms4smile.com/quotes/adam-osborne/money-coming-in-says-i-ve-made-the-right-marketing-decisions/) [Adam Osborne](https://sms4smile.com/quotes/author/adam-osborne/) > [I worked in a call centre for three-and-a-half years. I've tried to find something funny to include in my stand-up but I could never…](https://sms4smile.com/quotes/chris-mccausland/i-worked-in-a-call-centre-for-three-and-a-half-years-i-ve-tried-to/) [Chris McCausland](https://sms4smile.com/quotes/author/chris-mccausland/) > [So that it cannot be denied, but the lowering of Interest may, and probably will keep some Money from coming abroad into Trade; whereas…](https://sms4smile.com/quotes/dudley-north/so-that-it-cannot-be-denied-but-the-lowering-of-interest-may-and/) [Dudley North](https://sms4smile.com/quotes/author/dudley-north/) ## More by Thomas Sowell > [The vision of the left, full of envy and resentment, takes its worst toll on those at the bottom - whether black or white…](https://sms4smile.com/quotes/thomas-sowell/the-vision-of-the-left-full-of-envy-and-resentment-takes-its-worst/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [There is no bigger waste of time than doing 90% of what is necessary.](https://sms4smile.com/quotes/thomas-sowell/there-is-no-bigger-waste-of-time-than-doing-90-of-what-is-necessary/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [If you have always believed that everyone should play by the same rules and be judged by the same standards, that would have gotten…](https://sms4smile.com/quotes/thomas-sowell/if-you-have-always-believed-that-everyone-should-play-by-the-same/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [“In 1962, Democratic President John F. Kennedy, like both Democratic and Republican Presidents and Secretaries of the Treasury in earlier years, pointed out that “it…](https://sms4smile.com/quotes/thomas-sowell/in-1962-democratic-president-john-f-kennedy-like-both-democratic-and/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [Ideological bigotry has become the norm on even our most prestigious campuses, where students can go for years without reading or hearing anything that…](https://sms4smile.com/quotes/thomas-sowell/ideological-bigotry-has-become-the-norm-on-even-our-most-prestigious/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [Bailing out people who made ill-advised mortgages makes no more sense that bailing out people who lost their life savings in Las Vegas casinos.](https://sms4smile.com/quotes/thomas-sowell/bailing-out-people-who-made-ill-advised-mortgages-makes-no-more-sense/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [“One third of all Scots in the mid-nineteenth century moved from one county to another”](https://sms4smile.com/quotes/thomas-sowell/one-third-of-all-scots-in-the-mid-nineteenth-century-moved-from-one/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [The difference is that we have the hardest and most painful evidence that there was a Holocaust. But, for the global warming scenario that…](https://sms4smile.com/quotes/thomas-sowell/the-difference-is-that-we-have-the-hardest-and-most-painful-evidence/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [“Just as price fluctuations allocate scarce resources which have alternative uses, price controls which limit those fluctuations reduce the incentives for individuals to limit…](https://sms4smile.com/quotes/thomas-sowell/just-as-price-fluctuations-allocate-scarce-resources-which-have/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [The greatest danger to the liberal vision are facts about the consequences of liberalism itself and the laws, policies, and ways of life that…](https://sms4smile.com/quotes/thomas-sowell/the-greatest-danger-to-the-liberal-vision-are-facts-about-the/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [Having spent years ruining the housing markets with their interference, leading to a housing meltdown that has taken the whole economy down with it,…](https://sms4smile.com/quotes/thomas-sowell/having-spent-years-ruining-the-housing-markets-with-their/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [Do all children have some inherent right to live in America if they have done nothing wrong? If not, then why should the children…](https://sms4smile.com/quotes/thomas-sowell/do-all-children-have-some-inherent-right-to-live-in-america-if-they/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [What 'eminent domain' laws mean in practice is that politicians have a right to seize your property and turn it over to someone else,…](https://sms4smile.com/quotes/thomas-sowell/what-eminent-domain-laws-mean-in-practice-is-that-politicians-have-a/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [“those parts of the British Isles without the advantage of coal deposits or ports, industrialization was as handicapped as in other countries.”](https://sms4smile.com/quotes/thomas-sowell/those-parts-of-the-british-isles-without-the-advantage-of-coal/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) > [The whole idea of equal justice under law is completely incompatible with the idea of judges deciding cases according to "empathy".](https://sms4smile.com/quotes/thomas-sowell/the-whole-idea-of-equal-justice-under-law-is-completely-incompatible/) [Thomas Sowell](https://sms4smile.com/quotes/author/thomas-sowell/) [Explore all 823 Thomas Sowell quotes ](https://sms4smile.com/quotes/author/thomas-sowell/) ## More Clear quotes > [Self-respect and a clear conscience are powerful components of integrity and are the basis for enriching your relationships with others.](https://sms4smile.com/quotes/denis-waitley/self-respect-and-a-clear-conscience-are-powerful-components-of/) [Denis Waitley](https://sms4smile.com/quotes/author/denis-waitley/) > [When I came to Chelsea, it was clear that, like many other players, I would first be loaned out. So I went to Belgium…](https://sms4smile.com/quotes/thorgan-hazard/when-i-came-to-chelsea-it-was-clear-that-like-many-other-players-i/) [Thorgan Hazard](https://sms4smile.com/quotes/author/thorgan-hazard/) > [You'll seldom experience regret for anything that you've done. It is what you haven't done that will torment you. The message, therefore, is clear.…](https://sms4smile.com/quotes/anonymous/you-ll-seldom-experience-regret-for-anything-that-you-ve-done-it-is/) [Anonymous](https://sms4smile.com/quotes/author/anonymous/) > [I think, here's what I've realized from interviewing people, and I've been very open about my Catholicism and my love of Christ and I…](https://sms4smile.com/quotes/jay-mohr/i-think-here-s-what-i-ve-realized-from-interviewing-people-and-i-ve/) [Jay Mohr](https://sms4smile.com/quotes/author/jay-mohr/) > [If the audience likes your work, if they like you, they don't think whether you are married or have children or not. I made…](https://sms4smile.com/quotes/dimple-kapadia/if-the-audience-likes-your-work-if-they-like-you-they-don-t-think/) [Dimple Kapadia](https://sms4smile.com/quotes/author/dimple-kapadia/) > [The thing about hitting kids is, think about if you were doing the same thing to another adult. Hitting your kid is really the…](https://sms4smile.com/quotes/zach-braff/the-thing-about-hitting-kids-is-think-about-if-you-were-doing-the/) [Zach Braff](https://sms4smile.com/quotes/author/zach-braff/) > [Where I grew up, learning was a collective activity. But when I got to school and tried to share learning with other students that…](https://sms4smile.com/quotes/henry-giroux/where-i-grew-up-learning-was-a-collective-activity-but-when-i-got-to/) [Henry Giroux](https://sms4smile.com/quotes/author/henry-giroux/) > [Clear moments are so short. There is much more darkness. More ocean than terra firma. More shadow than form.](https://sms4smile.com/quotes/adam-zagajewski/clear-moments-are-so-short-there-is-much-more-darkness-more-ocean/) [Adam Zagajewski](https://sms4smile.com/quotes/author/adam-zagajewski/) > [I try to listen to all music with an open head, a clear head, try not to say just because I don't know it,…](https://sms4smile.com/quotes/ghostface-killah/i-try-to-listen-to-all-music-with-an-open-head-a-clear-head-try-not/) [Ghostface Killah](https://sms4smile.com/quotes/author/ghostface-killah/) > [God's Word does provide life lessons to teach us how to live. And it gives us beautiful poetry that gives voice to our human…](https://sms4smile.com/quotes/jennifer-rothschild/god-s-word-does-provide-life-lessons-to-teach-us-how-to-live-and-it/) [Jennifer Rothschild](https://sms4smile.com/quotes/author/jennifer-rothschild/) > [ We have no clear ideas of the agency of \[demonic\] spirits, nor is it necessary. The Scripture says little to satisfy our curiosity; but… ](https://sms4smile.com/quotes/john-newton/we-have-no-clear-ideas-of-the-agency-of-demonic-spirits-nor-is-it/) [John Newton](https://sms4smile.com/quotes/author/john-newton/) > [I've always made it clear that I do not believe that global government is either necessary or feasible.](https://sms4smile.com/quotes/maurice-strong/i-ve-always-made-it-clear-that-i-do-not-believe-that-global/) [Maurice Strong](https://sms4smile.com/quotes/author/maurice-strong/) > [The moment it begins to question itself, the mind becomes so clear that it starts working with itself rather than with the body's identification.](https://sms4smile.com/quotes/byron-katie/the-moment-it-begins-to-question-itself-the-mind-becomes-so-clear/) [Byron Katie](https://sms4smile.com/quotes/author/byron-katie/) > [Alec Wilkinson is a spare, clear, and lucid writer who works in stylistic simplicity with material that is not simple at all.](https://sms4smile.com/quotes/peter-matthiessen/alec-wilkinson-is-a-spare-clear-and-lucid-writer-who-works-in/) [Peter Matthiessen](https://sms4smile.com/quotes/author/peter-matthiessen/) > [ I can't imagine that I would be asked that by the president-elect \[Donald Trump\], or then-president \[Barack Obama\]. But it's - I'm very clear.… ](https://sms4smile.com/quotes/james-mattis/i-can-t-imagine-that-i-would-be-asked-that-by-the-president-elect/) [James Mattis](https://sms4smile.com/quotes/author/james-mattis/) [Browse all 7,410 Clear quotes ](https://sms4smile.com/quotes/about/clear/) ```json { "@context": "https://schema.org", "@graph": [ { "@type": "Quotation", "text": "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.", "creator": { "@type": "Person", "name": "Thomas Sowell" }, "isPartOf": { "@id": "https://sms4smile.com/quotes/#website" }, "url": "https://sms4smile.com/quotes/thomas-sowell/money-goes-out-first-to-pay-expenses-and-then-comes-back-as-profits/", "about": { "@type": "Thing", "name": "Clear" }, "@id": "https://sms4smile.com/quotes/thomas-sowell/money-goes-out-first-to-pay-expenses-and-then-comes-back-as-profits/#quotation", "image": { "@type": "ImageObject", "@id": "https://sms4smile.com/quotes/i/fc7/thomas-sowell-247_clear_money-goes-out-first-to-pay-expenses-and_2842863.jpg", "contentUrl": "https://sms4smile.com/quotes/i/fc7/thomas-sowell-247_clear_money-goes-out-first-to-pay-expenses-and_2842863.jpg", "url": "https://sms4smile.com/quotes/i/fc7/thomas-sowell-247_clear_money-goes-out-first-to-pay-expenses-and_2842863.jpg", "width": 1080, "height": 1080, "caption": "“Money goes out first to pay expenses and then comes back as profits later - if at all. The high rate of…” — Thomas Sowell", "creditText": "SMS4Smile Quotes", "creator": { "@id": "https://sms4smile.com/quotes/#organization" } } }, { "@type": "BreadcrumbList", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://sms4smile.com/" }, { "@type": "ListItem", "position": 2, "name": "Quotes", "item": "https://sms4smile.com/quotes/" }, { "@type": "ListItem", "position": 3, "name": "Thomas Sowell", "item": "https://sms4smile.com/quotes/author/thomas-sowell/" }, { "@type": "ListItem", "position": 4, "name": "Money goes out first to pay...", "item": "https://sms4smile.com/quotes/thomas-sowell/money-goes-out-first-to-pay-expenses-and-then-comes-back-as-profits/" } ], "@id": "https://sms4smile.com/quotes/thomas-sowell/money-goes-out-first-to-pay-expenses-and-then-comes-back-as-profits/#breadcrumb" }, { "@type": "WebSite", "@id": "https://sms4smile.com/quotes/#website", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "publisher": { "@id": "https://sms4smile.com/quotes/#organization" } }, { "@type": "Organization", "@id": "https://sms4smile.com/quotes/#organization", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "logo": { "@type": "ImageObject", "url": "https://sms4smile.com/quotes/wp-content/themes/sq/assets/icons/icon-512.png", "width": 512, "height": 512 } } ] } ```