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Let’s not sugar-coat this one, cash flow is the most important area of operational control in any dealership.

It’s also one of the most misunderstood and neglected.

Too often, dealership leaders are told they’re profitable, only to feel constantly under pressure with bills, floorplan limits, and payroll looming. As we’ve seen time and time again: you can be profitable and still go backwards, because profit on paper, isn’t cash.

In this market, cash flow stress is magnified.

Receivables from manufacturers are slowing.

Warranty and bonus payments are delayed.

New vehicle deliveries are getting stuck throughout your delivery pipeline.

Meanwhile, costs keep rolling in, wages, rent, interest, marketing, the list goes on.  I always likened this to being stuck in traffic in a taxi and the meter never stops running; the costs just keep piling up and you aren’t making forward progress!

Many of these challenges aren’t new. But what’s changed is the urgency with which they need to be managed, as margins tighten, trade ins stick and your inventory grows, not to mention the ever-increasing factory bonuses that are used to clear that stock

Here are just a few real-world pressure points that hurt dealerships if they go unchecked:

• Factory receivable not reconciled promptly, the factory is your biggest debtor
• Slow delivery processes delaying final payments and settlements
• Aged stock tying up floorplan limits and costing you every day
• Lack of cash flow visibility at the leadership level, left only to accounts to manage
• Failure to forecast cash flow routinely, no lookahead, just reactive firefighting

Strong operators tackle these challenges daily.

They don’t just monitor gross.

They keep aged stock tight.

They get vehicles delivered fast.

They talk to their floorplan providers early.

They forecast cash movement, not just track it. And importantly, they bring cash flow into the conversation across departments — not just at EOFY.

At Fusion, we work with dealerships every week to help them take back control of their cash. One tool we’ve found incredibly useful is a simple, no-nonsense Cash Flow Management Checklist — designed to identify the warning signs early and build new habits across the business.

We’re not peddling anything fancy. But if you’re a DP, GM, or senior manager trying to get on the front foot, we’re more than happy to share what’s worked for others. Just reach out and we can share the idea with you today.

Cash keeps the lights on — and getting it right might be simpler than you think.

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