Cash is king.  Everybody knows it and yet businesses are lax in their cash flow reporting and forecasting.  CEO and founder of TGG accounting, Matt Garrett explains why “cash is king” and what you can do to have more of it and move the cash you have more wisely.

55% of businesses are failing in the first four years. According to The Brookings Institute 11% fail every year thereafter.  This is all attributed to lack of cash. Here are 6 elements of cash flow management to watch: 

  • DSO (how fast you get paid)
  • DPO (how fast do you pay people)
  • Discounts – give them to get paid faster, ask for them to reduce expense
  • Human capital management (utilization)
  • Inventory management
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