Cash Management

Cash management involves the process of collecting, managing, and (where possible) investing cash to ensure a company has adequate liquidity to meet short-term obligations while optimizing returns on idle cash.

Key Components:

• Cash flow forecasting.

• Accounts receivable and payable management.

• Managing bank relationships and treasury functions.

• Short-term investments for surplus cash.

Objectives:

• Maintain liquidity for operational needs.

• Minimize idle cash balances.

• Optimize interest income and reduce borrowing costs.

Tools like Timber help manage your cash easily.