Small and Medium Enterprises (SMEs) are at the heart of economic development and job creation.

Small and Medium Enterprises are also at the heart of commercial bank lending and leasing.

The primary purpose of this website is to announce a new simple framework for visualizing the cash flow of SMEs in terms of naturally recurring, sustainable cycles.  

Cash Cycle Theory 
led to the startling discovery that there is a flaw in the balance sheet—a missing account!
The flaw and proposed solutions were first announced in the
 Journal of Accountancy (April 2012)


The article illustrates how the traditional formulas for the Current Ratio and Working Capital routinely understate liquidity. (Negative working capital is usually not negative!) The article proceeds to illustrate how CPFA—the current portion of fixed assets—corrects the flaw, thereby providing for the first time, truly useful measures of liquidity.  All bankers, CPAs, professors--anyone dealing with financial analysis--should read this article! (Click on the tab or title above--free.) 

The Book: The discovery of CPFA is only one of several revelations that emerge from the new Cash Cycle Theory.  The book provides the complete framework, practical applications, and the benefits of cash cycle theory. Click the title below to learn how cash cycle theory leads to both Better Credit & Better Sales.   

 Cash Flow 3.0—Advances in Cash Flow Lending based on Sustainable Cycles 

Available on Amazon.com



Presentations/Seminars: The author is available to conduct brief speaker presentations (gratis) for business associations and university courses, or multi-day seminars covering the complete cash flow cycle theory. Click the "seminar" tab above to see a sample outline. 

The seminar--Cash Flow 3.0--was launched in 2014 at MegaBank, in Jakarta. Pictured at the top of this page is the instructor with host Edison Mawikere and co-instructor Detamore Pussung.  Click the "Blog/news" tab above for more details.  


This is the professional website of Stephen M. Bartoletti
 Senior Banking Advisor and specialist in SME lending. 

© Bartoletti  www.SME-lending.com  August 2013, 2015