Do you have your cash flow financing priorities straight? But when we talk to clients about what's important to them when it comes to the business working capital they tell us they spend a lot of time on this issue but are concerned that they don't have the resources or information they need to get the help they desire.
And when it comes to size, it unfortunately counts; because small and medium-size firms just don't have the same access to ' financing talent ' for the liquidity to fund their operations. And it's a two-edged sword, gravitating between survival and growth.
You can get cash flow from assets from best income producing assets to invest in the financial market.
What business owners and financial managers can do is to in fact spend their time a bit more wisely on what solutions make sense for their firm.
And by the way, some of those solutions, as we'll discuss, are internal, not necessarily external! The obvious ones are spending properly, trying to self-finance from within (yes you can by the way) and ensuring you have got some controls and tools in place to manage your cash flow financing needs and information.
Growing your business requires working capital. We (hopefully) all agree on that. You need to have solutions in place to finance inventories and convert receivables into access to cash.
As we have always maintained you don't need to be a rocket scientist to manage working capital and improvements to it. One business pundit describes it as a ' block and tackle approach '! That approach is as basic as it comes – collecting money from your suppliers, generating better terms with your vendors and key suppliers, and turning those inventories.