cash flow management
Cash flow management is the process of tracking how much money is coming into and going out of your business.
This helps you predict how much money will be available to your business in the future. It also helps you identify how much money your business needs to cover debts for example paying staff and suppliers.
A few pointers to help with your personal cash flow management:
1. Have a personal spending plan - Your fixed expenses are just that - predictable and fixed.
2. Map out your cash flow
3. Allocate money in each period
4. Identify your spending methods
5. Automate, Automate, Automate!
Here is a scenario to many entrepreneurs - the sales are booming and the business is growing rapidly, but suddenly, when asked for payment by a creditor, you realise that you simply don't have any cash. What has gone wrong?
This is the result of a cash flow gap, one of the most common problems that a business can face. In order to solve it, you must first understand why they occur, and what you can do when you find yourself in one.
We can provide you with everything you need to know about cash flow gaps and their solutions.
To begin this process we would ask you to fill in and complete these documents (12-Monthly Overview & Income and Expenditure) to give us an overview of your current financial situation.