The Tsunami Effect


2 min read
01 Jun
01Jun

The Tsunami effect. No, we are not talking about the extremely catastrophic wave that comes after an earthquake.  We are talking about the large influx, or for the purpose of this blog, a large wave of outgoing expenses that causes bank accounts to deplete each month. 

Each month are your fixed and variable bills all due simultaneously – first of the month, the 15th, the end of the month?  Have you ever thought about that?  If so, you don’t necessarily have to pay them all at the same time or at the time the invoice arrives.  Yes, we said it, and we will repeat it.    You don’t necessarily have to pay an invoice the exact day you receive the invoice.   Depending on the vendor, some invoices are due net 30, net 45, net 60, etc.  We highly suggest you ask your vendors what terms are preferred or even ask what term is best for your business.  No shame in asking.  

Matt Buckner, Founder of ShoreSource Business Solutions, has built a custom cash flow/budgeting tool he uses with all SSBS clients.  We like to call this the ‘Shore Flow’ tool.  Yep, you guessed it.  The ‘Shore Flow’  is named after the tide because, just like the changing tide, your expenses and bank account should ebb and flow.  The Tsunami Effect occurs when your expenses wipe out your bank account entirely, leaving you crossing your fingers for future revenue.  No one needs this extra stress.  

The ‘Shore Flow’ tool was designed to help businesses understand their fixed and variable expenses, determine timelines for all invoices, and ultimately control the ebb and flow (aka the formula) for when to pay out expenses to not ‘tsunami’ bank accounts.     


Are you interested in learning more about ShoreSource Business Solutions, LLC?   
Feel free to reach us at 843.729.2961 or info@shoresourcebiz.com.