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12/06/2017
Cash flow is what sustains your business. Will there be enough cash to stay afloat? Even if you know money will be coming in soon, it won’t help if you can’t pay your bills now. The good news is with knowledge of your cash inflows and outflows you can predict how healthy your account will be in the future – and plan accordingly.
What it all boils down to is having more money coming in, than going out. Pretty simple really. The trick is making it happen.
The best way to maintain a healthy cash flow is to always know what’s happening with it. Take the time to regularly review your bank statements so that you become familiar with how and when cash is flowing through your business. You can make it easier by using:
Managing and improving your cash flow is largely down to common sense and maintaining an excellent understanding of what your costs are. Anything you can do to reduce costs will benefit your cash flow, which should be one of your main goals as a business.
A healthy cash flow means you’ve got more working capital to reinvest in your business, which will mean you’ll enjoy greater freedom and more profitability.
This blog is not financial advice. The content of the blog is reliable at the time of publishing, but we can’t guarantee it is entirely free from error or omission beyond our knowledge. Links are provided for you to explore, but we have no connection with third party sites or responsibility for their content.
POSTED IN: Day to Day Banking,2017,Pricing,Cash Flow
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