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How to Manage a Business Cash Flow Windfall

It’s true—businesses can sometimes find themselves with a temporary cash surplus. If you do experience a sudden incursion of cash, you’ll want to make sure it is well-managed or else it could soon evaporate. And, in some cases, an incursion of cash can leave you worse off than you were before the windfall. So, here…

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Invoice Factoring Vs. Bank Overdraft—Which Is Best for Your Business?

Compare the Two Forms of Business Funding to Decide Which Best Suits Your Needs It is always best to look at all the options when deciding what type of finance will be a good fit for your business. And, when you need a line of credit to boost a company’s working capital, there are various…

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10 Common Cash Flow Management Mistakes to Avoid

Cash flow problems are often cited as the top cause of business failures. However, the root cause of companies going out of business is not always a lack of profit. What causes many business failures is a lack of adequate cash flow management. Cash flow management is a term that encompasses many things. Indeed, managing…

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Is Invoice Factoring Right for Your Business?

Managing cash flow is one of the biggest headaches when running a small or medium-sized business. Even if the company is making sales and a decent profit, unreliable and late-paying customers can make predicting your cash position nearly impossible. As a result, collections take up a significant amount of time, as does the constant challenge…

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Invoice Factoring or Term Loan—Which is Best for Your Business?

Key Points to Consider When Deciding Between Invoice Factoring and a Term Loan It is not uncommon for a growing business to find itself short of cash. And an immediate shortage of available working capital does not necessarily mean that the company is in trouble. Indeed, an expanding business may need to buy equipment and…

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10 Tips to Improve Cash Flow Forecasting Accuracy

Accurate cash flow forecasting is easier said than done. After all, you are at the mercy of your customers regarding how much money is received each month. And, sometimes, unplanned expenses can put an unexpected strain on financial resources. Accurate cash flow forecasting is crucial for business owners as it helps them make informed decisions about…

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10 Tips to Help Manage Your Accounts Payable

Implement Robust Controls to Allow for Healthy Business Growth It is relatively easy to keep a tight rein on expenditures when a business is small. But, as your company grows and you take on employees, purchasing can get out of control. And you could find yourself asking questions like, who ordered this? Or, why on…

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What is The Working Capital Cycle and How It Can Be Shortened?

These Ratios Help You Understand the Working Capital Cycle There are many financial ratios and key performance indicators that can help you manage your business. So many that a small business owner could tie themselves up for days calculating and annualizing the various performance indicators. But suppose your business is profitable but has been experiencing…

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How to Manage Creditors During a Cash Flow Shortage

Tips to Handle Creditors When Your Business is Short on Working Capital Cash flow issues are not uncommon for small businesses. Indeed, most small business owners will have struggled to pay the bills at one time or another. However, so long as there is a reasonable probability that a business can move out of its…