Cash management risks refer to the potential losses a business may incur due to mismanagement of its cash flow. This can include any number of risks, such as an inability to access funds when needed, a lack of liquidity, or a failure to meet financial obligations. Cash management risks can also arise from the use of financial instruments, such as derivatives, or from external factors, such as changes in the economy or regulatory environment. It is important for businesses to be aware of these risks and to have a plan in place to mitigate them. Proper cash management can help to ensure that a business has the funds it needs to meet its financial obligations and to take advantage of opportunities that may arise. It is also important to have a contingency plan in place in case of unexpected events. By understanding and managing cash management risks, businesses can ensure that they remain financially secure and can continue to operate in a profitable manner.