20. Dan Major, fractional CFO: The hidden cash in your D2C brand (and how to find it)

Financial health in D2C fashion brands depends on rigorous visibility into unit economics and the cash conversion cycle rather than simply securing more capital. Founders often struggle with cash flow because they lack up-to-date financials and over-invest in dead stock, failing to distinguish between core "A-list" products and slow-moving "C-list" items. Optimizing the cash conversion cycle—the time between paying suppliers and receiving customer payments—serves as a primary lever for liquidity. Furthermore, marketing budgets should not be fixed; instead, brands should maximize operating margins to outspend competitors on acquisition channels. By treating marketing as a strategic investment rather than a cost, brands can achieve rapid growth while maintaining profitability. Establishing clear financial processes and leveraging fractional CFO expertise allows founders to move beyond reactive, high-interest debt and build sustainable, scalable operations.