oboloo Glossary

Cash Flow Management

oboloo Glossary

Cash Flow Management

Cash flow management is the process of managing the inflow and outflow of cash in a business. It is an important aspect of financial management that helps to ensure that a business has enough cash on hand to meet its short-term and long-term financial obligations. Cash flow management involves tracking and forecasting cash inflows and outflows, as well as planning for future cash needs. This involves creating budgets, setting up financial controls, and analyzing financial data to identify potential cash flow problems. Cash flow management also involves managing investments, such as cash reserves, to ensure that the business has enough cash to cover its short-term and long-term needs. Additionally, cash flow management involves managing debt, such as loans and lines of credit, to ensure that the business has the funds it needs to meet its financial obligations. Ultimately, cash flow management is essential for businesses to maintain their financial health and ensure that they have the resources they need to grow and succeed.