Outsourcing Guide: Cash Flow Management

We’re here to help you transform the way your business operates. In this series of guides, we’re talking about how TreyBridge Accountants can save you time and money, ensure compliance, and guide you towards sustainable business growth. 

You probably already know that cash flow is the balance between money being paid into and coming out of your business. This means that you can have either positive cash flow, where there’s more coming in than going out, or negative cash flow, which is the other way around. Needless to say, every business owner should aim for the first one, as this ensures that your business doesn’t encounter the many problems that come with a decreasing bank balance. 

 

However, ensuring ongoing positive cash flow can be very difficult, which is why TreyBridge Accountants offers a flexible and affordable cash flow management service to help you achieve it on a long-term basis. 

Negative cash flow can be caused by all kinds of financial factors. It could be a temporary situation, such as having recently purchased new office furniture and equipment, or a more ingrained problem, such as repeatedly being paid late by your customers. Either way, it’s important that you do everything you can to maintain positive cash flow, as otherwise you could find yourself low on cash and being unable to pay staff, suppliers and your own wages. 

 

In many cases negative cash flow is exacerbated by unnecessary costs. For example, you may be paying too much for certain business services or have a subscription to software that you no longer require. When this is the case, it’s time to have a think about what your business needs in order to thrive and grow, followed by the removal of any superfluous expenditure. 

 

Our role is to help you determine what’s working and what isn’t, which enables us to help you create a cash flow forecast and make your business as profitable as possible. 

Everyone wants to hear the word “positive” when talking about their financial situation. Still, as well as enjoying peace of mind, there are other benefits that come from positive cash flow, such as: 

If you’re interested in finding out more about outsourced cash flow management for sole traders and SMEs, please call our Yorkshire office on 01482 235575, our London office on 0207 885 0605, or fill in the contact form below.