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Cash Flow Management

Our Cash Flow Management service allows you to know when, where, and how your cash requirements will occur; know what the best sources are for meeting your cash requirements; and allows you to be prepared to meet the current needs and the ongoing needs, of the future, when they occur.

A cash crisis can be emotionally devastating and it can even kill your business. If you've ever had to beg, borrow and steal to cover tomorrows' payroll you know what I mean. The starting point for avoiding a cash crisis is allowing us to develop a cash flow projection plan for you. We can develop both short-term and long-term cash flow projections to help you manage daily cash, and to help you develop the necessary capital strategy to meet your business needs.

Creating an accurate short-term and long-term cash flow projection, and maintaining it, is just one of the many cash management services we can provide. You also get help obtaining an appropriate line of credit, guidance in cash collection techniques, and help obtaining the maximum rate of return on your cash.

Our Cash Flow Management services can includes:

  • Conducting a detailed review to determine how the cash flow position can be improved for accounts receivable, inventory and purchasing requirements
  • Preparing short-term and long-term cash flow spreadsheet reports, including instruction in the use of these reports as a tool for daily operations
  • Demonstrating the methods to improve the collection process of accounts receivable
  • Reducing the time required for the lender quarterly examinations, resulting in a savings to your business

From the successes of cash flow management top performers a range of general principles and specific best practices can be inferred.

Some general principles include:

  1. Commitment from top executives is crucial. Companies' effectiveness in cash flow management correlates strongly with executive level prioritization of cash flow.
  2. It's important to use rigorous cash flow management metrics to baseline your performance and track your progress.
  3. Strategic segmentation of customers, suppliers, and inventory is a key driver of cash flow optimization.
  4. Process automation is another key driver, particularly in its potential for building good cash flow management practices directly into routine transactions.
  5. There's great potential for cash flow optimization in next-generation technologies that can increase your visibility into your supply chain process.