💎 February Regular Meeting Report: 'Surviving the Era of Soaring Precious Metal Prices: How to Retain Cash for Your Jewelry Business' Guest Speaker: Mika Yoshinaga, Tax Accountant / Representative of Bizwaku Co., Ltd.

On February 2, 2026, we held the February regular meeting of 'JC Nouveau,' a study group for jewelry coordinator qualification holders. This time, we invited Mika Yoshinaga, a tax accountant and professional management consultant, to share her insights on the essence of management: 'retaining cash.'

🧠 Starting with the topic of 'money' itself, not 'taxes'

In her self-introduction, Ms. Yoshinaga shared the story of her family's jewelry store, which served as her starting point. The shop, run by her father who was excellent at sales for over 40 years since its founding, was also a stage where she experienced the risks of a cash-based business and the difficulties of cash flow firsthand. Watching the ups and downs as a family member, she says she realized deeply how being 'indifferent to money' can shake a business to its core.

This foundational experience forms the basis of what Ms. Yoshinaga wants to convey to everyone as a tax accountant: the 'themes that business owners must truly face.'

💡 What business owners really need to know is about the 'future'

While many people associate the title of tax accountant with 'talks about tax returns and tax savings,' Ms. Yoshinaga emphasized at the beginning: 'It is more important to understand how to view the numbers of the 'future' to continue the business than to know tax techniques.' She explained that numbers should not be used just to grasp the present correctly, but should be used to
think about future moves.

🩸 Why is 'cash' the lifeblood of a business?

Ms. Yoshinaga spoke about the essence of cash as follows:

This statement succinctly expresses the reality that no matter how wonderful a product or brand story you have, if the money doesn't circulate, the business cannot function.

She also told the participants that the purpose of retaining cash is not merely a safety measure, but 'to enable the next challenge or investment.'

📊 The reason why three months of fixed costs is a benchmark

Ms. Yoshinaga posed the following questions as important indicators for judging cash:

And she introduced keeping three months' worth of fixed costs on hand as cash as a benchmark. Fixed costs here refer to 'expenses that occur even if sales are zero,' such as rent, personnel costs, utilities, and insurance premiums. Accurately grasping the money that must be paid even when not operating is the most basic yet easily overlooked perspective for a business owner.

📈 Understanding 'true gross profit' is the starting point of management

Ms. Yoshinaga explained securing profit in business as follows:

She presented the concept that the remainder after deducting these costs is the 'true gross profit,' and only after paying fixed costs from that amount does a profit emerge. Without this understanding, setting sales prices and revenue targets will be off-base.

🔄 Four Steps to Retaining Cash

In the second half of the lecture, four concepts were presented as concrete 'mechanisms for retaining cash.'

1. Profit Circulation
   Cash → Investment → Sales → Profit → Back to Cash
   Creating a mechanism to keep this cycle turning.

2. Utilizing Sound Borrowing
   Borrowing is not 'evil'; it is an effective means to scale a business or buy time during a crisis.

3. Developmental Methods such as M&A
   Purchasing another company's technology or customer base is also a form of investment.

4. Awareness of Exit Strategy
   Preparing net assets for a business owner's retirement, transfer, or succession.

(*The lecture also provided detailed explanations of the meaning and interpretation of each.)

🗣️ Participant Feedback: Lessons Directly Applicable to Daily Management

In the latter part of the regular meeting, many comments and questions were received from participants.
Practical perspectives directly applicable to daily operations were shared, such as 'I finally understood the distinction between fixed and variable costs,' 'The way of thinking about borrowing broadens the scope of management,' and 'My aversion to looking at numbers has diminished.'

✨ Applying These Lessons to the Future

This regular meeting was not limited to discussions about numbers and taxes, but became aplace of learning to face the essence of business. It served as an opportunity for each participant to think about 'what kind of cash is necessary for my business,' and I feel it was a time that provided significant hints for future challenges.

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