Cash Flow Improvement
- “I am the last to be paid even though we are profitable.”
- “Cash is always or periodically very tight.”
- Implement a rolling cash flow forecast.
- Ensure monthly or more frequent reviews of accounts receivable outstandings, with clear targets for average days outstanding and tactics for collection.
- Review other working capital, including inventory.
- Review the use of technology to improve and accelerate cash flow.
- Review payment structure to see if some goods/services can be sold on a prepaid basis.
- Review and implement financing options.