# Stop Running Your Shop Like A Charity

Page: https://stenobird.com/podcast/repair-shop-reckoning-7416916/rsr-cash-vs-accrual
Text version: https://stenobird.com/podcast/repair-shop-reckoning-7416916/rsr-cash-vs-accrual.md
Podcast: [Repair Shop Reckoning](https://stenobird.com/podcast/repair-shop-reckoning-7416916)
Published: 2026-05-29T11:00:03+00:00
Episode link: https://www.spreaker.com/episode/stop-running-your-shop-like-a-charity--72212722
Audio file: https://api.spreaker.com/download/episode/72212722/rsr_cash_vs_accrual.mp3
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JSON: https://stenobird.com/v1/public/podcasts/repair-shop-reckoning-7416916/episodes/rsr-cash-vs-accrual
Duration seconds: 4453

## Resource

In this episode of Repair Shop Reckoning, Kevin breaks down one of the biggest problems killing repair shops right now: Owners are doing the work… but they are not controlling the money. What starts as a conversation about cash basis vs accrual accounting quickly turns into a much bigger discussion about billing discipline, cash flow, overhead, collections, labor rates, and why so many shop owners stay broke while working themselves into the ground. Kevin explains the real difference between cash accounting and accrual accounting in plain English, why your numbers can lie to you if you do not understand what you are looking at, and how a shop can look busy every single day while still losing money behind the scenes. But the biggest takeaway in this episode is simple: If you are not invoicing your customers and collecting your money properly, none of the rest of it matters. You’ll hear why: Cash flow problems are usually discipline problems first Waiting to invoice customers destroys profitability Why “busy” does not always mean profitable How overhead quietly eats healthy gross profit alive Why your labor rate should be based on your numbers — not the shop down the street And why too many owners rely on their accountant to tell them what is happening instead of actually learning their business Kevin also gets into: Fleet accounts and the danger of bad receivables Why some customers become liabilities The importance of savings during slow seasons How poor systems create chaos And the hard truth that many owners are acting more like charities than businesses At the end of the day, this episode is not really about accounting. It is about discipline. Because if you do not know your numbers, write your invoices, control your overhead, and collect your money… eventually the…

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## Transcript

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