Cash Flow Management is Not Just for Cash Flow.
⚫You don’t just manage Cash Flow for the sake of your bank account.
⚫You manage Cash Flow for several other business strategic reasons as well.
✅Here are 15 reasons why you should make Cash Flow Management your No. #1 Business Priority:
1// Improve profitability
⚫You manage Cash Flow for several other business strategic reasons as well.
✅Here are 15 reasons why you should make Cash Flow Management your No. #1 Business Priority:
1// Improve profitability
🎯Benefit from supplier discounts and reduce late charges.
🎯Reduce your collections management and inventory holding costs.
2// Enable growth
🎯Fund your sales growth, product development and expansion.
🎯Reduce your purchasing and logistics costs.
🎯Reduce your collections management and inventory holding costs.
2// Enable growth
🎯Fund your sales growth, product development and expansion.
🎯Reduce your purchasing and logistics costs.
3// Finance capital projects
🎯Improve your access to capital to finance maintenance and growth CAPEX.
🎯Leverage valuable investment opportunities as they arise.
4// Build operational resilience
🎯Improve your stability in times of economic uncertainty.
🎯Improve your access to capital to finance maintenance and growth CAPEX.
🎯Leverage valuable investment opportunities as they arise.
4// Build operational resilience
🎯Improve your stability in times of economic uncertainty.
🎯Reduce your risk of insolvency during periods of downturn.
5// Improve operational efficiency
🎯Improve your resource allocation to reduce inefficiencies.
🎯Invest in technology and systems to reduce your process waste.
6// Meet financing obligations
5// Improve operational efficiency
🎯Improve your resource allocation to reduce inefficiencies.
🎯Invest in technology and systems to reduce your process waste.
6// Meet financing obligations
🎯Ensure timely payment of your debt obligations.
7// Avoid covenant breaches
🎯Improve cash flow planning to ensure you meet covenant obligations.
🎯Increase financial flexibility to ensure coverage of all your business payment obligations.
7// Avoid covenant breaches
🎯Improve cash flow planning to ensure you meet covenant obligations.
🎯Increase financial flexibility to ensure coverage of all your business payment obligations.
8// Improve financing negotiations
🎯Reduce your business risk to lower your cost of external capital.
🎯Reduce your urgency to improve your negotiated terms and conditions.
9// Reduce reliance on outside capital
🎯Reduce your business risk to lower your cost of external capital.
🎯Reduce your urgency to improve your negotiated terms and conditions.
9// Reduce reliance on outside capital
🎯Improve your flexibility by reducing reporting and compliance costs for external capital.
10// Reduce cost of capital
🎯Reduce your dependency on expensive externally sourced capital.
11// Increase business competitiveness
10// Reduce cost of capital
🎯Reduce your dependency on expensive externally sourced capital.
11// Increase business competitiveness
🎯Invest in technology advancements that improve your market positioning.
12// Increase employee attraction and retention
🎯Attract the best talent through competitive packages and workforce development.
13// Maximize workforce productivity
12// Increase employee attraction and retention
🎯Attract the best talent through competitive packages and workforce development.
13// Maximize workforce productivity
🎯Improve your proactive planning and resource availability for workforce growth.
14// Increase shareholder value
🎯Improve capital allocation to increase your shareholders overall return on investment.
15// Maximize business valuation
14// Increase shareholder value
🎯Improve capital allocation to increase your shareholders overall return on investment.
15// Maximize business valuation
🎯Increase your valuation from increased profitability and reduced business risk.
For more and full strategic breakdowns like this:
1. Follow me @IAmOanaLabes
2. Join 30,000+ newsletter subscribers for weekly finance gems: bit.ly
3. RT to share the knowledge:
1. Follow me @IAmOanaLabes
2. Join 30,000+ newsletter subscribers for weekly finance gems: bit.ly
3. RT to share the knowledge:
Join 30,000+ subscribers and enjoy finance gems that accelerate your career and grow your business. Every Saturday. bit.ly
Loading suggestions...