Margins shrink. Cash feels tighter. Decisions that used to feel easy suddenly don’t. And while revenue might still look “fine” on paper, the bank account tells a different story. This isn’t poor management. It’s the result of several slow-moving financial pressures hitting at once, many of which accelerated over the last two years.

Many businesses have a choice of using cash or accrual accounting for tax purposes. If you’re one of them, which route should you take? Here are the rules.