Cash management
Clear cash management and forecasting is the core component of any successful business. This may sound obvious but the rigour required to both develop and manage a reliable short term cashflow forecast is frequently underestimated. There are many software options available but often a simple spreadsheet approach is best, particularly during the development approach.
the timeliness of the forecasting is critical. Monthly, weekly or daily, the timing must be approriate for the business' needs and be able to cope with several large events happening at the same time, e.g. payroll, VAT payments, rent and loan repayments.
Good communication is key to successful cashflow management. Establishing good relationships with clients and suppliers which foster reliable cash receipts on promised dates, or advanced notice of a query or delay, is central to this.
Our intention: management of liquidity requirements through development of a clear, accurate method for forecasting cashflows and running balances, regardless of the number of currencies or accounts.
