New York SBDC Research Network

By  Marco Carbajo , Guest Blogger For every business, the cash flowing into a company is essential for covering the day to day expenses necessary to operate a business. It keeps lights on and doors open; cash flow is truly the life blood of a business. Unfortunately, it’s not uncommon that companies of all shapes and sizes have to slow business growth due to lack of cash flow needed for expansion. To combat this, a business owner may increase the amount of cash coming in by generating more sales and converting those sales into cash as soon as possible. Another way is to conserve the company’s cash flow. While there are many ways to conserve cash flow such as cutting costs, bartering, re-negotiating with creditors, and cutting inventory; one method in particular is through Net 30 accounts. By asking for  credit terms from your suppliers  you enable your business to hold onto cash for a longer period of time. You can obtain products and services your business needs and defer the payment

CIMA is the Chartered Institute of Management Accountants. Its members are trained and qualified in the vital area of management accountancy. Businesses can only compete effectively if they have the best financial information and the best people to make decisions based on that information... CIMA is the world”s leading and largest professional body of management accountants. Its training means it produces financial managers with the many and varied skills necessary to handle global competition. From its headquarters in London and 11 offices outside the UK, CIMA supports over 172,000 members and students in 168 countries. This case study looks at how management accountants forecast, monitor and control cash flow in order to maintain the ongoing financial health of businesses. Read more: Business Case Studies Follow: @Thetimes100 on Twitter | thetimes100casestudies on Facebook