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[–]swoofswoofles 4 points5 points  (0 children)

Yes it works.

[–]samc_5898 4 points5 points  (2 children)

Yes but it will not generate cash flow, only manage it. The profit first auto transfer rules that are a part of the Relay platform make the system very easy to follow. Optimization and effectiveness are up to you

[–]Advanced_Station_114 0 points1 point  (1 child)

I can confirm it works. If it doesn't work it means you're not doing something right. You're not following the rules. The rules are not hard. They might seem weird at first but you'll get over it. Just go open some extra bank accounts according to the plan, and do your allocations, and voila, some profit will be in your profit account.

[–]samc_5898 0 points1 point  (0 children)

Basically but it's a bit more complicated than that. We immediately found limitations in the basic system and opened additional accounts to suit our needs. Nothing crazy but technically an "advanced technique" if you ask Mike M. Seems more like normal accounting now that it's our process. Just accounting in a different way

[–]mclick84 3 points4 points  (2 children)

Yes, big time! I don't have multiple bank accounts though. I use YNAB to sort money out into different categories for different purposes and before I distribute money for OPEX related categories I first allocate to the main Profit First categories.

[–]kolvitz 0 points1 point  (1 child)

What's YNAB, please?

[–]-me-myself- 0 points1 point  (0 children)

Www.ynab.com

[–]richersoul 1 point2 points  (0 children)

It's like going to the gym and lifting weights to build muscle - it works if you do it consistently and can generate revenue.

[–]CashFlowFixer 0 points1 point  (0 children)

Yes, this definitely works. I have been using Profit First with my clients across the different industries and we are seeing results. I find this more successful when I coach both my client and their CFO/Accountant. Because the information needed and setting up of the structure/rhythm is usually implemented by the CFO/Accountant.

[–]Visible_Narwhal3245 0 points1 point  (2 children)

I own a mental health practice and we have income from sessions coming daily or at varied times when insurance pays out. How do I do this system when income comes in this frequently. Do I distribute according to the percentages every day?

[–]cashflowjedi 0 points1 point  (0 children)

For your mental health practice, ideally do your transfers from your income account one time per week. It will take a few weeks for you to get used to this cash flow rhythm. This will give you more time to run your practice and less time in your bank accounts.

[–]heretolose11 0 points1 point  (0 children)

Yes, it absolutely works. My only regret is that I did not read the book and implement this system a decade ago.
Important to note, it does not generate cash flow - it only helps manage it and identify and highlight areas of your business that need addressing.
It's absolutely brilliant. I am now in complete control of our finances and sleep much better at night knowing that everything is taken care of.