Here are some great tips on managing cash flow from StartupJournal. Effective cash flow management is the key to survival for almost every small and growing business.
“Forget the accounting-textbook definitions of working capital. For real-world entrepreneurs, it’s the cash that you need to finance your business when your expenses exceed cash coming in the door. It’s managing the ebb and flow of money, the dance between inventory and receivables on sales.”
Amen!
Dr Jeff Cornwall
Co-founder of The Entrepreneurial Mind, serial entrepreneur and professor of entrepreneurship.
Managing Working Capital
Startup Journal: Companies with a fast inventory turnover, such as a fast-food operation, don’t have severe working-capital needs because the cash register chimes “ka-ching” all day, every day. This type of company might require 10% to 15% of its annua…