For most businesses, the single largest cash drain is the extent to which they need to carry working capital. The benefits of good cash/working capital management should never be underestimated.
Questions for consideration
- Do you know how much cash you have?
- Are you accurately forecasting your cash flow?
- Are your debtor days increasing or are you experience high levels of bad debt?
- Are you under pressure from your creditors for payments?
- Are your levels of stock increasing?
How can we help…
There are no easy answers to managing working capital, and there isn’t a one size fits all solution. Whichever way you solve your problem, it is important to do so in a sustainable way
Short term solutions such as delaying payments to suppliers may be detrimental to the business in the longer term.
- Working with you to optimise your cash operating cycle through implementing and embedding processes that enable you to transact commercially and professionally with your customers and suppliers.
- Establishing a sustainable cash generating strategy that helps facilitate faster payments from debtors.
- Often working capital is seen as an area of security to the Bank, as something to lend against, but often too little attention is paid as to the ability to convert this to cash.
