The Cost of Inaction
When you’re running a multi-million dollar business, the stakes are high. You’ve moved past the startup phase. You have a team, a growing customer base, and real momentum behind you. But here’s the truth many business owners don’t want to admit: even at this stage, it’s still possible to get caught off guard.
And often, the biggest risk isn’t a competitor or a market downturn. It’s inaction.
Whether it’s putting off proper financial oversight, delaying key decisions, or thinking you can “get to it later,” inaction can cost you opportunities, profit, and your ability to exit on your own terms.
Let’s break down what that really looks like.
1. Financial Issues Don’t Go Away, They Compound
Too many business owners wait until something is really broken before seeking financial help. Maybe cash flow is suddenly tight, or a tax bill arrives that you weren’t expecting. Maybe your margins have eroded, but it’s not clear why. These aren't just bumps in the road, they're signs of deeper issues that could have been identified much earlier.
Inaction in this area rarely results in a neutral outcome. If left unchecked, small issues quietly compound:
A few delayed invoices turn into a significant cash flow crisis.
One or two unprofitable clients start dragging down your business profits.
A lack of financial forecasting leads to missed payroll or sudden cost cuts.
We’ve seen businesses with $5M+ in revenue scramble to stay afloat because they waited too long to engage the right support. And often, by the time the problem surfaces, the fix is more expensive and disruptive than it needed to be.
2. Missed Opportunities Are Expensive
One of the biggest costs of inaction isn’t what goes wrong, it’s what never gets the chance to go right.
When your numbers aren’t being reviewed regularly, you're missing insights that could fuel growth. For example:
You might hold off on launching a new product because you’re unsure about the impact on working capital, even though you had room to invest.
You delay hiring a key role because you don’t have clarity on future cash flow, even though the growth potential is there.
You say no to expansion opportunities because you’re operating on gut feel instead of data.
It’s not about taking big risks. It’s about having the right systems in place so you know which risks are worth taking and when. Strategic financial advice doesn’t just prevent problems. It unlocks decisions that lead to growth, scale, and long-term success.
3. You’re Not Thinking About The End Game
Many owners put off succession or sale planning because it feels too far off. But building a business that’s ready for sale and able to run without you doesn’t happen overnight.
In fact, the groundwork needs to be laid years in advance. This includes:
Clean, accurate financials that show consistent performance.
Evidence of profitability and strong margins.
Solid forecasting and budgeting processes.
Systems that don’t rely solely on you.
If you wait until you're “ready to sell” to get your finances in order, it’s often too late to maximise value. Buyers and investors are looking for businesses that are well-run, predictable, and de-risked. If they spot poor financial visibility or over-reliance on the founder, they’ll either walk away or significantly reduce their offer.
4. Hiring Expertise is an Investment, Not a Cost
At this stage of business, doing it all yourself is no longer a strength, it’s a liability.
A Virtual CFO brings the strategic lens your business needs to make confident decisions, manage risk, and take advantage of the right opportunities. This doesn’t mean over-engineering every process or spending just for the sake of it. It means creating financial clarity, building resilience, and thinking several steps ahead.
We often hear “we’re not ready to bring in a CFO”, but the reality is, businesses usually wait too long.
Hiring the right expertise early means:
You can fix issues while they’re still small.
You’re always making decisions based on data, not guesswork.
You’re building a business that’s not just surviving today, but set up for long-term value.
Think About It
Inaction is comfortable, especially when things seem to be working well enough. But in business, “well enough” can turn quickly.
The cost of doing nothing can show up as missed opportunities, lower profitability, and a business that’s harder to scale or sell. The investment in strategic financial support isn’t just about avoiding problems, it’s about accelerating your path to the outcomes you want.
If you’ve crossed the $1 million revenue mark, now is the time to think like a CEO, not just a business owner.
You don’t have to do it alone and you shouldn’t.