How to Improve Cash Flow

08rymer.hg
Mind Map by 08rymer.hg, updated more than 1 year ago
08rymer.hg
Created by 08rymer.hg about 7 years ago
150
1

Description

Business Studies Mind Map on How to Improve Cash Flow, created by 08rymer.hg on 04/11/2013.
Tags

Resource summary

How to Improve Cash Flow
1 A cash flow forecast allows businesses to see where they will be financially in the coming months
2 The business may use the forecast to spot and deal with any future problems
3 It is vital for a business to have a good cash flow
4 Net cash flow = Cash inflow - Cash outflow
5 Closing bank balance = Starting bank balance + Net cash flow
6 How can cash flow be improved?
6.1 Increase Cash Inflow
6.1.1 Get customers to pay in cash
6.1.2 Get customers to pay straight away
6.1.3 Keep a low stock level
6.1.4 Obtain an overdraft
6.2 Decrease Cash Outflow
6.2.1 Sell under-used assets
6.2.2 Spread large costs over a longer period of time
6.2.3 Negotiate longer trade credit terms with suppliers
Show full summary Hide full summary

Similar

Business Studies Unit 1
emily.mckechnie
Business Studies Unit 2
tara.springate
Marketing - Business Studies
me3zer
Unit 1: Business Studies GCSE
Libby Rose
Unit 3 Business Studies
Lauren Thrower
BUSS1
Sophie Davis
The skills needed to be a successful entrepreneur
rhiannafordx
The skills needed to be a successful entrepreneur
Rosie Wallis
AS - Buss1 - Formula Cards
Sophie Davis
1.3.1 Characteristics of Successful Entrepreneurs
Molly Hills
How to Turn Business Failure into Business Success
Micheal Heffernan