Fail to Plan, Plan to Fail - 7 Cash Flow Management Mistakes

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FAIL TO PLAN, PLAN TO FAIL 7 CASH
FLOW MANAGEMENT MISTAKES
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7 Cash Flow MANAGEMENT MISTAKES
Cash Flow is critical to the survival and success
of any business, club or charity. The latest
statistics back this fact up over 70 of UK SMEs
experienced late payments in the last 12 months.
43 cited this as a reason for lost profits, and
many businesses paid the ultimate price, with
26,000 dissolved in June 2013 alone - Cash Flow
was the most common reason given. But even armed
with this information, it remains a challenge for
the right person to get buy-in from other
departments and install the processes that will
ensure Cash Flow is being managed
efficiently. AccessWallet has identified 7 key
areas where good Cash Flow management is likely
to be lacking. Recognise the warning signs and
tackles these issues robustly to increase your
Cash Flow and avoid becoming a casualty.
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7 Cash Flow MANAGEMENT MISTAKES
WHERES THE PLAN?
It sounds obvious, but often the biggest flaw in
a companys Cash Flow Management is not to have a
plan.
A successful Cash Flow Management plan will
include a Cash Flow statement, define targeted
inflows and outflows, and help you make
month-by-month projections.
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7 Cash Flow MANAGEMENT MISTAKES
NO LIMITS Another common Cash Flow error made by
businesses is not defining various credit and
debit limits. For example, it is usually
worthwhile setting a limit on your monthly
outflow. BLURRED VISION Any business will
struggle without visibility of due dates for
credits and debits. Although this information
wont always be predictable, it should give you a
fairly accurate picture of your Cash Flow. LOST
CONTROL A lack of internal controls and processes
is the root cause of many Cash Flow issues, from
minor mistakes to major fraud. You should take
time to carefully define relevant internal
controls, and establish processes to protect your
business at all levels.
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7 Cash Flow MANAGEMENT MISTAKES
SHORT TERM THINKING Cash Flow can be seriously
impacted by committing short-term funds to
purchases that could be considered long-term.
It usually makes good financial sense to divide
funding into short-term and long-term
investments. A LACK OF SECURITY Unfortunately, a
lack of security often goes hand-in-hand with
unexpected cash losses. This scenario can be
avoided by combining improvements to your
internal controls with a robust audit of your
security, including password upgrades, vetting of
your employees and credit checks for
customers. STALE REPORTING Proactive, in-depth
and informative reporting is integral to the
success of many businesses. On the other hand, if
your reporting relies on tired or obsolete
hardware and software, you may be at a
disadvantage! If you are unable to view your Cash
Flow figures at anytime, anywhere in the world,
then it may be time for an upgrade.
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7 Cash Flow MANAGEMENT MISTAKES

• Quick Recap
• WHERES THE PLAN?
• NO LIMITS
• BLURRED VISION
• LOST CONTROL
• SHORT TERM THINKING
• A LACK OF SECURITY
• STALE REPORTING

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Now more than ever, its vital for businesses,
clubs and charities to do all they can to save
money and operate more efficiently. Thats why
many of them are turning to AccessWallet.
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7 Cash Flow MANAGEMENT MISTAKES
AccessWallet helps businesses, clubs and
charities automate their payment systems and
improve their Cash Flow, by using next-generation
Cloud-based technology backed up with bank-grade
security that protects all incoming and outgoing
data. Because our Direct Debit and cash
management solutions are Cloud-based, we are able
to manage and maintain the infrastructure that
supports our service - so our clients dont need
to invest any time or money installing product
updates or configuring hardware.
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To find out how AccessWallet can help transform
your payments and take control of your Cash Flow
visit www.accesswallet.com
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Place,259-269 Old Marylebone Rd, London NW1
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