In this webinar we take an in-depth look at Cash Flow Management Strategies and why they are a critical component of business success.
We have broken it into 5 key areas:
- Cash Flow Basics
- Creating a Cash Flow Budget
- Short Term Cash Management
- Long Term Cash Management
- The Right Finance Options
CASH FLOW BASICS:
In this section we look at Cash Flow and why we refer to it as ‘Cash is King’. It is about taking control back of your cash for your business success.
We also look at the difference between cash and profit. We may actually have a profitable business, but not have the cash to pay our expenses, which puts our business at risk.
CASH FLOW BUDGET:
We see many businesses get overwhelmed with their cash flow management, but we recommend keeping it really simple.
Our motto is “anything is better than none”.
You can create your own spreadsheet or we have a great free resource that you can download and adapt to your business needs.
Learning to forecast correctly will take time, but with practice you will become better at it.
SHORT TERM CASH MANAGEMENT:
In this section we look at the micro working capital that you will need to access for day to day trading, which is a critical component of every business.
It is about taking small actions to increase the cash flow in your business.
We believe that proactive timely communication is the key to your success in both your debtor management and creditor management.
We have put together a free resource that includes 16 debtor management tips which you can download here.
LONG TERM CASH MANAGEMENT:
We like to get ahead of the game.
Implementing long term cash management strategies involves looking at your macro financial information, planning for seasonal impacts and constantly reviewing your cash flow.
We believe that when you take control of your cash flow long term you eliminate operating in crisis mode.
Once again keep it simple:
+ Financial Information
+ Plan
+ Review
FINANCE OPTIONS:
There are many different short-term and long-term finance options and it is important that you find the right solution for your different business needs.
If you don’t take control of your cash flow you may need internal or external cash injections.
Working capital should be funded via short term facilities, for example an overdraft or line of credit.
Capital expenditure should be financed by long term solutions, for example bank loans, internal loans or lease arrangements.
If you dedicate time in your business to work on mastering your cash flow you will free up resources to take short term and long-term actions that will ultimately increase your business success.
To learn more, watch our free webinar replay here >> “”
