Cash flow is the lifeblood of any business, especially for entrepreneurs. Net 60 terms can be a double-edged sword. On one hand, they allow the business more time to pay its bills, which can help with liquidity. On the other hand, if not managed correctly, they can lead to a cash crunch if the business fails to collect its own receivables in a timely manner. Proper financial planning and accounting practices are crucial to balance these effects.