... For example, banks will compare cash and receivables to current liabilities. If this ratio starts slipping, you’ll likely need to push accounts receivable so money comes in more quickly or better manage ...
... but it won’t keep you operational. Business interruption coverage allows you to relocate or temporarily close so you can make the necessary repairs. Essentially, the policy will provide the cashflow ...
... it’s a question of net present values. Will the present value of the capital appreciation you ultimately gain when the property is sold be greater than the current cashflow advantage you’d likely have ...
... But a fundamental and often-overlooked way of making your cashflow statement shine is to minimize inventory or services so you have just enough to fulfill demand. Sprucing up Carrying too much inventory ...
... determine your capacity to meet your short-term liabilities with cash and other relatively liquid assets. Another KPI to regularly calculate is working capital turnover ratio (revenue / average working ...
... achieve goals such as boosting profits, improving cashflow, or diversifying products or services. Common strategies are: Research and development of new products, New market penetration via geographic ...
Every business has some degree of ups and downs during the year. But cashflow fluctuations are much more intense for seasonal businesses. So, if your company defines itself as such, it’s important to ...
... much the total project will cost. But you can still allow flexibility for making measured progress without putting your cashflow at risk. Bringing it all together There’s nothing wrong or unusual ...
... geopolitical uncertainty and exchange rate volatility. Financially feasible Your supply chain is much like your cashflow: When it’s strong, stable and uninterrupted, you’re probably in pretty good ...