Cash flow transparency works for MicroISV-types, most of whose customers uniformly don't read their blogs.
I'm gravely concerned that it will not work for professional services. Clients hold preconceived notions about the value of an hour of work. And it's blissfully unencumbered from any of the risk factors that produce true (2-3x FTE) consulting bill rates.
More importantly, very few --- maybe none! --- consultancies are surefooted enough to have a consistent bill rate established across all their clients. Contract rates happen on a case-by-case basis. As the dynamics of your business change, so will your rates. Publishing your cash flows just invites drama.
And who, exactly, is it helping? Other people with 92 days to dig themselves out of a hole? Get yourself out of the hole first.
I absolutely agree, thanks, Thomas. I should better take myself out of the pit first. So, I will go on thinking about how to do that in another way. I think I got a hint I searched for.
The way to do it is to work hard. No hints, secret strategies, or clever tricks. Just work hard, deliver results, and get referrals from happy customers.
I'm gravely concerned that it will not work for professional services. Clients hold preconceived notions about the value of an hour of work. And it's blissfully unencumbered from any of the risk factors that produce true (2-3x FTE) consulting bill rates.
More importantly, very few --- maybe none! --- consultancies are surefooted enough to have a consistent bill rate established across all their clients. Contract rates happen on a case-by-case basis. As the dynamics of your business change, so will your rates. Publishing your cash flows just invites drama.
And who, exactly, is it helping? Other people with 92 days to dig themselves out of a hole? Get yourself out of the hole first.