Cash flow is the lifeblood of any business, and regularly monitoring helps ensure the company can cover its operational expenses, pay employees, and invest in growth.
Steps to manage cash flow each week:
- Track income and expenses: Record all the money coming in and going out, ensuring your financial records are up to date.
- Reconcile bank statements: Compare your internal records with your bank account to spot discrepancies early.
- Forecast cash flow: Estimate future cash inflows and outflows based on upcoming projects, sales, or payments, allowing you to anticipate shortfalls or surpluses.
- Analyse trends: Look for patterns in your cash flow to identify where you can cut costs or allocate resources more efficiently.
By focusing on cash flow weekly, you gain better visibility into your financial health and can make informed decisions to steer the business effectively.
