Business owners have the tendency to focus on sales and overall profit, which is good, but without healthy systems in place to manage cash flow, the health of an organization can be compromised as situations fluctuate. There are three critical principles you must follow to keep an organization’s cash flowing in a healthy manner.
- Know what customers owe you and get that money as quickly as possible.
- Keep up with what you owe others and make sure you pay them on time
- Be aware of when there are shortfalls so you can fix them quickly
If you’re like most people, you understand these principles in general but find putting them into practice in an organization a much bigger challenge. That’s where learning best practices becomes essential. If you want to get some great practical tips on cash flow management, check out this article on Entrepreneur.com. Click here to read the article.
If you need additional assistance with setting up systems and procedures for successful cash management, I welcome you to contact me at 817-505-5453 or email me at firstname.lastname@example.org.
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