Cash Flow Really Is King…
because even if your business is making a profit, it may still fail due to negative cash flow.
Cash Flow is the movement of money into and out of your business and it is important to know exactly where you stand regarding the main components of cash flowing in, such as Cash Sales and Debtors’ Payments; and the main components of cash flowing out, which include Purchases, Wages and Tax Payments.
Having timely access to this key information enables accurate cash flow projection and effective cash flow management.
Cash Flow Forecasting
A Cash Flow Forecast is a future predictive tool that gives an estimate of the amount of money expected to flow in to and out of a business over a specified period of time.
Measuring your cash flow is key to establishing an accurate forecast and using this crucial analysis to build an effective cash flow management system will help ensure the growth and success of your business.
Good cash flow management involves updating your forecast monthly or weekly, if not daily, with actual figures to check if business performance is meeting your expectations. Having a precise hold on your cash flow position at all times, not only alerts you to possible future shortfalls, but is critical to the continual improvement of your cash flow – and this may be the difference between surviving and sinking.
Click to read how Debtors Days & Credit Control can affect Cash Flow.
And did you know…
Our sister company CloudKPI makes Business Intelligence & Real-time Data accessible to SMEs with an affordable, easy-to-use Key Performance Analytics App. Featuring automated Cash Flow Projection and Credit Control functionalities, managing cash flow is brilliantly simple and stress-free – allowing you more time to focus on proactive activities that help you to achieve your business goals and succeed!
Contact us for more information, and send us your email address if you’d like a copy of our FREE eBooklet
– ’Instant Cash Flow – How to get cash flowing in your business right now’
