In 2019, three friends - Ronak Shah, Ash Melwani, and Ankit Patel- joined forces to create Obvi, a DTC brand focused on making supplements feel younger. Just four short years later, Obvi, a completely bootstrapped business, has scaled to an 8-figure collagen-focused supplement brand with over 50 different products and an active Facebook community of 66,000.
Finaloop spoke with Obvi’s CEO, Ronak Shah to find out how Obvi utilizes real-time cash flow to successfully grow and scale their business.
Watch the full YouTube video here How Obvi scaled faster using real-time financials
In the meantime, here's a summary:
Cash flow is king
According to Ron, most business owners, especially ecommerce brand owners, don't realize that cash flow is the true king in any business—o matter how much cash they have in the bank, how big their gross margins are, or how great their unit economics look.
What really matters is how much cash is flowing through your business. This helps you really understand where you can invest and understand if you even have a viable business that can grow.
Before discovering Finaloop
Prior to Finaloop, Ron’s biggest problem was that he could never really understand the impact his cash flow was having on his business, as he would always be waiting for a few weeks for his bookkeepers to close his books. He therefore couldn't make daily, or weekly changes based on the opportunities his cash flow opened up for him.
After discovering Finaloop
This all changed for Ron, as soon as he switched to Finaloop. Now he is able to finally start understanding his true cash flow on a daily basis and can risk a little bit more on a new product, manufacturing or even scale back on things that were definitely not going to work.
Ron says that the biggest benefit of using Finaloop is that the real-time numbers empowers ecommerce brand owners more than any other tool out there. Thanks to Finaloop, Obvi can now scale up and move much faster by proving Ron with a real-time cashflow which helps him to identify the areas where he should be doubling down on growth.
By effectively tracking their revenue and expenses in real time, Obvi is able to make data-driven decisions that maximize their profits.
Only accurate and real-time financials will give you the full picture of your financials and can help you plan for how to use your cash and spot opportunities to grow your ecommerce business.
Sign up HERE to get your financials set up today.
We are a technology company providing automated end-to-end accounting service to ecommerce businesses. Our system connects to your apps, syncs all your data and reconciles your books in real-time, replacing your bookkeeper, your accounting software, and your ecomm integrations. We offer reconciled books available 24/7, tax-saving insights, and a single place for all your financial data.
*The information provided on this website does not, and is not intended to, constitute legal advice. All information, content, and materials available on this site are for general informational purposes only. Readers are advised to consult with their attorney or accountant with any questions or concerns.*