Posted on 15 June 2020
- Cash flow refers to the money that is moving in and out of a company every month. When you have positive cash flow, you have more cash coming into your business than leaving it.
- Managing cash flow in a business is one of the biggest challenges facing Singapore companies. Companies can ease cash flow pressures by making simple changes to operational practices.
It can be tempting to become over-reliant on the main line of credit for managing cash flow in a business rather than using that money to invest in other ventures.
Companies can ease cash flow pressures by making simple changes to operational practices. For example, a third party payment provider can pay suppliers on a company’s behalf but not require payment for up to 58 days.
This helps improve cash flow, brings considerable financial benefits and strengthens relationships between the company and supplier.
Nigel Fox | Vice President and General Manager | Global Corporate Payments Singapore of American Express