- [Host] Let's see how someone might answer this one. I'll be right back at the end with some thoughts. - The first thing I'd immediately recommend to the CEO and CFO is to develop a forecasted income statement to assess potential revenue and profit. A cashflow forecast to determine short-term cash needs and a risk assessment. The forecasted income statement will show when the initiative will become profitable for the company and account for all the possible costs. It also gives them the opportunity to develop various possible outcomes in the event, it doesn't play out as they expect. The cashflow forecast will help them plan for short-term cash needs like paying staff and suppliers. And when they need to access short-term financing through a line of credit, if they don't have the cash on hand or if things don't go according to plan. Even though the initiative shows profitability, it doesn't mean it's a contributing to cash…
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