Cash flow is king of your financial stability and growth
Cash Flow, in any business, no matter how large or small, is one of the key factors to business success.
Sifting through odd monetary successes can often make things more difficult, you may need to look at your cash flow, build spreadsheets or implement financial processes.
“Cash Flow is king.”
Let’s get it right
Company finances are arguably one of the most important parts of your business and you can never afford to become complacent. Are you keeping a buffer? Could you improve your cash flow? These are questions that should get you thinking; you may not even know you need assistance.
A routine check, a refresh plan or help with a financial issue are all points we deal with on a regular basis. The approach to finance has evolved dramatically, there are a plethora of strategies, ways to re-focus your perception on your figures or ideas on financing and we have specialist partners we can call upon too.
Common areas of concern:
- Cash flow
- Negative cash flow
- Risk taking mitigation
You’ll be surprised at the number business owners we come across who do not actually know how well they are performing. They either do not have regular access to management information, or it’s simply not available! Profitability is simply gauged on how much, or in some instances how little, is in the company bank account at the end of the month.
Without knowing the specific financial details of each contract or being able to drill down to the actual costs attributed to what you are manufacturing or supplying, ultimately you could be busy working for little or no margin.
Be aware of all of your fixed and variable cost, and manage these so you can ensure that your pricing structure reflects the true costs and that there is a sufficient profit margin. Similarly, regular pricing reviews should be undertaken and don’t be afraid of increasing prices as in many instances those costs will simply be passed on along the supply chain.
If you feel that you would benefit from an independent review of your business, please do not hesitate to book an appointment with us on 01202 978975.