Cash management risks and controls is an important concept for businesses to understand. It is defined as the risks and controls associated with managing a company’s cash flow. This includes managing cash inflows, such as sales and investments, and cash outflows, such as payments and investments. Cash management risks and controls involve assessing the risks associated with each transaction, such as the potential for fraud or errors, and putting in place controls to mitigate these risks. This includes setting up internal controls, such as segregation of duties, to ensure that cash is managed properly. Additionally, businesses should have a plan in place to ensure that cash is managed in a timely manner, such as setting up a system to monitor cash flow. Finally, businesses should also have a plan in place to ensure that cash is managed in a secure manner, such as setting up a system to detect and prevent fraud. By understanding and managing cash management risks and controls, businesses can ensure that their cash flow is managed in a safe and efficient manner.