For many founders, financials feel like a postscript — something to be dealt with at tax time, pulled together for a pitch deck, or handed off to a bookkeeper. But when used correctly, your profit and loss statement (P&L, also referred to as your Income Statement) is more than a summary of revenue and expenses…
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Strategic Financial Management for CPG Entrepreneurs: Tips for Sustainable Growth Running a Consumer Packaged Goods (CPG) business involves navigating a complex financial landscape. In this article, we'll delve into technical strategies for effectively managing your CPG business finances, including how to: Maximize financial efficiency through automation and integration Leverage advanced financial tools tailored for CPG…
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Fun-Gal Snacks, the innovative force behind Popadelics Crunchy Mushroom Chips, is redefining the healthy snacking landscape. Launched in April 2022, this women-owned CPG brand has achieved remarkable traction, landing their products in over 3,000 stores nationwide, with a Whole Foods launch on the horizon. But rapid growth often brings financial complexity. This is how myPocketCFO…
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Clayton Christensen is a Harvard Business School Professor who coined the term "disruptive innovation." His research shows that 30,000 new consumer products are introduced each year in the U.S., with a failure rate of up to 95%. And unfortunately, more than 80% of new CPG companies never reach the $1 million mark in revenue. If…
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As a Consumer Packaged Goods (CPG) founder, you’ve faced sleepless nights perfecting your product and growing your brand. But when it comes to convincing investors and lenders to back your vision, all that hard work can feel like it’s not enough. Whether you’re explaining profit margins on your best-selling products or answering questions about your…
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As a consumer packaged goods (CPG) entrepreneur, maintaining precise financial oversight is akin to navigating a complex landscape filled with intricate details, regulatory requirements, and investor expectations. Balancing revenue streams, managing expenses, and satisfying both investors and tax authorities can be daunting. However, by meticulously designing your Profit & Loss (P&L) statements and understanding the…
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Running a successful CPG brand requires more than just a great product. It demands a deep understanding of your financials, a keen eye for optimizing resources, and the ability to make data-driven decisions. While many CPG founders come from product-focused backgrounds, mastering your financial strategy is what truly unlocks sustainable growth. This comprehensive guide, based…
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B.T.R. NATION is a woman-owned California-based snack company that has been in business for 3.5 years. With just 2 full-time employees, this dynamic startup is dedicated to providing healthier snack options. Despite its small size, this powerhouse CPG business has made significant strides in the food and beverage industry. Customer Challenges In September 2021, BTR…
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As hands-on business owners and leaders, managing cash and financing while scaling your brand is a constant hurdle. With long production cycles, intricate supply chains, and tight margins, cash flow issues can quickly threaten your business's viability. However, with the right strategies and financing options, you can turn these obstacles into opportunities for growth and…
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Cash flow management is one of the most critical areas of financial planning for startups as they are often lightly capitalized and do not have access to the capital that larger businesses can tap for working capital needs, capital expenditures, and investments. We have outlined the best practices for cash forecasting, how to evaluate your…
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Understanding the differences between cash and accrual-based accounting seems like a daunting task for many small business owners. However, after learning the core concepts of what constitutes accrual accounting, understanding how your business transactions flow through the various accounts and ultimately how your financial statements reflect the underlying nature of your business becomes rather intuitive…
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