Cash flow management

In its broadest term, cash management refers to the collection and redistribution of a company’s finances. 

Cash management is an important strategy for any business owner; taking proper control of a company’s finances will help to fund the day-to-day running of the business, prevent outstanding debts mounting up, and reduce the risk of insolvency. 

Stephensons is a leading business law firm, with many years’ experience of advising business owners on cash management practices, helping them to properly manage their company’s finances, and stave off the threat of insolvency in struggling organisations. 

For expert, impartial advice about the best cash management practices for business owners, from a team with years of legal experience, get in touch with Stephensons, by calling 0203 816 9303.

 

loading staff

Tips for business cash management

  • Make realistic estimations of your business’s cash needs on a daily, weekly and monthly basis, and set your budget accordingly. It can be tempting to overspend sometimes, but ensure you stick to your budgets as best you can. Communicate this clearly with your bank manager.
  • Offer a variety of payment methods to your customers - credit card facilities, and online payment services such as PayPal, are vital for boosting cash flow. Early settlement incentives such as discounts can also encourage customers to clear their invoices in good time.
  • Invoice a client or supplier as and when a job is completed, rather than waiting till the end of the month to send invoices for all of the preceding month’s work. 
  • Always monitor which payments are outstanding, and send firm reminders to these clients about their payment obligations; if not yourself, assign these responsibilities to an experienced, reliable employee within the company.
  • Credit avenues, such as business loans and overdrafts, are a viable short-term solution for when cash flow is slowing down. However, this should not be seen as a long-term cash flow solution, and you should not let your company fall into the position where the day-to-day running of the business is reliant on these credit incomes. 
9.3 out of 10
Trustpilot logo5-stars on trustpilot Based on count 551

We're Great

It is our business to deliver legal services that work for our clients, and you can trust our specialists to take care of things on your behalf.

Our Trustpilot reviews

From the first meeting we were provided with a realistic assessment of our claim with a strategy to reach specific objectives. Communications at all stages were clear and concise.
View from a business recovery client

Updated HMO licensing rules

New rules relating to Houses in Multiple Occupation (HMO) came into effect in England on 1 October 2018 without much fanfare and under the radar of many landlords. As a result of the new rules properties that did not require licencing previously may...

Read more

Twitter commercial

Stephensons to close its Lord Street office in Leigh as it expands its Wigan HQ

The national law firm, Stephensons, is to close its office on Lord Street, Leigh at the end of June.  The firm, which has offices in Wigan, St Helens, Bolton, Manchester and London will close its Leigh office on Friday 28 June, with staff...

Read more

Commercial reorder

  • Jonathan Chadwick
  • Louise Hebborn
  • David Baybut
  • Kate Bullen
  • Chris Graves
  • Alistair Gregory
  • Philip Richardson
  • Julie Ball
  • Martha McKinley
  • Paul Davies
  • Jonathon Waterhouse
  • Christopher Carney
  • Jessica Charnock
  • Matthew Halton
  • Julie Hunter
  • Adam Pennington​​
  • Andrew Whitehead
  • Mark Williams​
  • Brea Carney-Jones
  • Christopher Marsden
  • Laurence Searle
  • Gemma Wilson
  • Neil Marshall
  • Declan Gilroy​
  • ​Kerrie Ainscough
  • Matthew Smith

We're always here for you

As an award-winning top 150 law firm, with over 450 staff based in offices across the country, you're never far from the advice you need.

Find your nearest Stephensons office and arrange a meeting

As an award-winning top 150 law firm, with over 450 staff based in offices across the country, you're never far from the advice you need.