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Dominic,
I prefer the third part of the aphorism.....”cash is reality”

I reckon that HMRC did many businesses a disservice when the rules on recognition of WIP were changed, for a one off bonanza for the tax revenue. It encouraged increased recognition of WIP on the balance sheet, kept the banks (who for all their due diligence and highly paid staff don’t seem to understand the illusory nature of WIP) at bay, and enabled many financially illiterate partners who didn’t understand balance sheets to be profligate with their drawings.

I am not suggesting that this is the case with Ince and Co, who I had always thought to be a well managed business.