How do business services firms manage cash flows better than project-based tech companies?
- Submitted by 2 days ago
Business services firms often enjoy predictable cash flows thanks to long-term contracts, retainers, and recurring billing models. Unlike project-based tech companies that rely on inconsistent project wins, these firms benefit from steady client relationships and low capital expenditure. Their asset-light structure and service-driven model make them more resilient during downturns, allowing them to generate reliable income and maintain healthy margins—even when market conditions are volatile.
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