Comment maintenez-vous vos compétences en analyse des flux de trésorerie à jour et pertinentes dans un environnement commercial en évolution?

The analysis and monitoring of transactions are from financial crime consideration, an increasingly important fact and measure. Whether through process optimization or system improvement, it is essential to combat money laundering and the growing global phenomenon of human trafficking. Many see the use of artificial intelligence as a way to identify patterns. The question is, who will provide these skills and experience? I still see a need for discussion regarding the ethical and moral principles and use of such data and expertise.

To keep my cash flow analysis skills updated and relevant requires a proactive and involved approach that encompasses continuous learning, networking, collaboration, technological adaptation, and professional development. By embracing this lifelong learning, staying agile and adaptive, and leveraging technological advancements, I can navigate the ever-changing business landscape with confidence and effectiveness when it comes to my cash flow needs.

Cashflow is more crucial than profitability for sustainability of business. In changing business scenario, we shall be more prudent and smart enough to identify/plan the investing/financing activities which shall align with cashflow from operation without affecting business goal. More importantly we shall monitor TAKT time instead of cycle time for all cash inflow/outflow activities. We need to see net working capital as blocked cash instead of cash required to operate business.

Three things are must to be on one’s tips 24*7 - runaway, burn rate and cash in hand. This is not information which is expected from Finance to present in monthly reviews but an everyday update for all CEOs.

Absolutely. I'm a big advocate of every business owner knowing what is going to happen to their cashflow over the next 60-90 days (by day if possible) on a rolling basis. It gives plenty of notice if there are any pinch points and 60-90 days to do something about it.

I had an experience in the past in which cash flow forecasting helped me to identify and avert a potential financial pitfall that would have ruined the company's finances. Business leaders should know that cash flow forecasting is critical for effective financial planning and management.

Parece curioso este tipo de artigo, uma compania aerea faz isso todos os dias, existe hoje muita tenoclogia que permite fazer isso, é reduzir os dias de previsão sempre colocando em meses e desta forma ir atualizando o fluxo. Um lugar com muita inflação é comum fazer isso. Brasil anos 90 era um exercicio diario.

Apart from what has already been said, we should be flexible in incorporating latest technology. AI and especially Generative AI can be game changer.

Embracing technology in cash flow management can be transformative. On one hand, forecasting tools focus on automated data collection, real-time analytics, and predictive algorithms. These features give you an in-depth understanding of your financial position, minimizing human error and enhancing operational efficiency. On the other hand, Treasury software offers a broader view, helping organizations identify cash flow trends and make data-driven financial decisions. Both are strategic assets, but their utility varies based on your specific needs.

Small businesses dont need to be shy about getting their (much larger) customers to pay invoices. Be polite and firm with those reminders - the automated ones often end up in spam folders or are ignored these days. Be personal and escalate to the CEO/lead if needed.

I've found the following best practices the most promising: 1️⃣ Diversify Projections: Blend short-term goals with mid-term strategies for a balanced financial outlook. 2️⃣ Go Automated: Use tech to free up your team's focus for actionable insights. 3️⃣ Keep Score: Consistently align your forecasts with actuals to fine-tune your approach. 4️⃣ Prepare for Anything: Employ scenario planning to stay nimble in any market condition. 5️⃣ Simplify for Execs: Offer data in a visual, easy-to-understand format for decision-making. Remember, not everything that counts can be counted. Your professional expertise is invaluable. Turn your cash flow forecast into a dynamic tool for sustained success

Compare your cash flow to your own historical data. Privately held businesses will be different for every organization. You need to know where you came from (cash wise) and where your cash is going. Look to other companies and benchmarks for inspiration and guidance, but develop your own strategies that fit your business.

Stay updated by learning from industry benchmarks and practices. Research how others manage cash flow, what metrics they use, and the challenges they face. Industry-specific benchmarks offer insights to enhance your own analysis and management strategies.

Once you understand your cashflow and what's driving it (e.g. when or how long your customers take to pay you), you can see if there are ways to improve it going forwards - major changes (how you bill your customers) or just minor tweaks (chasing your overdue debts quicker or more effectively) can have a positive impact immediately and as your business grows.

Ask your bookkeeper or whoever is maintaining your financial records. You can start with actual state of play. If they are unable to explain it to you, find a bookkeeper, finance mgr, accountant who can. From there you'll be able to confirm your understanding and/or if you have some holes to be filled.

A P&L, Cashflow and Balance Sheet are there to help business owners - a huge amount of information to help you understand and get on top of any issues quickly (e.g. your cashflow = the bottom line of your P&L + the movement of your balance sheet). Embrace it. You'll get upskilled and become a better CEO.

Keep track of past trends. One of the best ways to prepare for future cash flow is to recognize patterns that have occurred in the past.

Also important to consider the changing industry trends and what impact it can have on the cash flows, and whether it's temporary or long term. For instance any supply chain issues blocking working capital can lead to reduced operating cash flows. The sooner we are able to identify such changes, it can help to have more dynamic analysis

As the saying goes, “cash is king” - cash is the oxygen to your business. There are 3 types of cash and each should be analysed accordingly. Operating cashflow - the cash generated from the day to day running of the business. Investing cashflow - the cash you are using to invest in your business and finally, financing cashflow - the money you are borrowing to run your business. It’s critical that you monitor the trends of each area inline with the overall strategic plan and budget for your business.